Prospective licensees will be excited to hear about the addition of another license to the NMLS, which we understand will be the South Dakota non-residential mortgage lender license. According to a contact at the South Dakota Division of Banking, the license is expected to be added on or around July 1.
While a transition plan has yet to be published, it’s a safe assumption that applicants will be required to upload to their NMLS Company Forms many of the same documents required to be submitted with the current version of the application, such as financial statements for the current and past four years, a business plan, OFAC and BSA compliance policies, a spreadsheet of all South Dakota mortgage loans currently owned, and a list of mortgage loan originators.
We’re especially curious to see how South Dakota deals with the 40+ companies that currently maintain the license. These companies may be given the option to maintain their licenses off of the NMLS or may be required to transition their licenses to the NMLS by a specified deadline. We’ll be sure to let you know once we learn more.