The definition of insanity: doing the same things over and over and expecting different results. Welcome to the mortgage business! Mortgage company owners and recruiters often entice new Mortgage Loan Originators (MLOs) into the industry with the allure of minimal entry requirements. However, this approach frequently leads to a puzzling outcome: these new entrants struggle to succeed. The critical question arises: where is the emphasis on truly understanding the mortgage business? Beyond the basics of …
In the fast-paced world of mortgage lending, a crucial yet often overlooked issue is always lurking between companies and those mortgage loan originators they employ; the misclassification of mortgage loan originators. Often labeled as independent contractors, many of these financial professionals find themselves in a precarious position, unable to meet the stringent criteria that truly define independent work. This mislabeling is not just a minor error in terminology, but a significant concern that raises questions …
I usually write about mortgage or real estate professionals, but since I teach Anti-Money Laundering classes, I thought it would be helpful for all small businesses to know what’s coming. On September 18, 2023 the Financial Crimes Enforcement Network (FinCEN) published the final rules for the new Corporate Transparency Act (CTA). These rules become effective January 1, 2024 and in typical government practice, there is a Small Entity Compliance Guide. This new law is related …
In a startling turn of events, two major players in the mortgage and real estate industry have been dealt a hefty blow with fines totaling a staggering $1.95 million. The penalties come as a result of their failure to comply with the Real Estate Settlement Procedures Act (RESPA), a federal law designed to safeguard consumers in real estate transactions. The mortgage company, known for its prominence in the market, and the real estate agency, a …
Do you know how money is actually laundered through real estate transactions? Do you know your Anti-Money Laundering (AML) Training Requirements? Between 2015 and 2020, at least $2.3 billion was laundered through US real estate, with estimates by Washington, D.C. think tank Global Financial Integrity (GFI), putting the number much higher. The real estate sector is now coming under increased scrutiny from government regulators and enforcement agencies for its compliance with anti-money laundering and reporting …
Ready to embark on a rewarding career as a mortgage loan originator? Look no further! We’re thrilled to announce our latest offering: the comprehensive 20-Hour Safe Pre-Licensing Education Program Our newest course was written by and taught by veteran mortgage loan originator Debra Killian. It’s packed with valuable insights, industry knowledge, and expert guidance and is designed to equip you with the essential skills needed to thrive in the mortgage industry. We believe that high-quality …
In the last 3 weeks, I spent 7 hours in front of 125 real estate agents! A captive audience. Curious how I got there? If you’ve read this far, this is not a brag post. It’s an opportunity for you to get in front of your target audience and with someone else driving them into your seats! It’s to make you realize, you have to be different from your competitors to get different results than …
Join Jeanne Kelly Credit Coach and Debra Killian on Credit Over Coffee as they discuss getting into the mortgage industry and Debra’s E-Course, Mortgage Origination Practices. 2023 will be a challenging year for most mortgage companies and originators. Everyone wants purchase business. This podcast will change the way you you invest time and money. Learn why knowledge will become essential for 2023 and beyond. Debra Killian (866) 256-3766 deb@cloes.online cloes.online
On October 13, 2022 the Federal Department of Labor published findings in Vol. 87, No. 197 of the Federal Register. The W-2/1099 controversary hits many businesses. As stated in previous posts, there is no special 1099 consideration for mortgage loan originators. Regardless of which state you work in or which type of employer your work for, Mortgage Loan Originators are required to have their income reported on IRS Form W-2. There are many companies that …
How does a mortgage company meet the statutory requirement for Anti-Money Laundering education? The question comes up because many companies do not comply with the annual education requirement for all employees. In our opinion the law and regulations on AML training is purposely not specific because the term education is defined by the outcome and not the input. More simply put if you understand the requirements of the law you are educated. To be sure …