Bill > H762

This bill modernizes North Carolina's mortgage lending regulations by making comprehensive updates to the Secure and Fair Enforcement (S.A.F.E.) Mortgage Licensing Act and modifying maximum permissible fees for second mortgage loans. The bill introduces extensive changes to mortgage industry oversight, including new definitions, licensing requirements, registration processes, educational standards, and prudential standards for mortgage servicers. Key provisions include establishing more rigorous licensing requirements for mortgage loan originators, creating a new registration category for mortgage origination support entities, implementing detailed corporate governance and risk management standards for larger mortgage servicers, and adjusting the maximum fees that can be charged on second or junior lien real estate loans. The bill aligns state regulations more closely with federal mortgage lending standards, introduces more comprehensive background checks and continuing education requirements for mortgage professionals, and provides the Commissioner of Banks with expanded regulatory authority to investigate and enforce mortgage lending regulations. Additionally, the bill updates fee limitations for second mortgage loans, allowing lenders more flexibility while still protecting borrowers from excessive charges by tying fee restrictions to federal qualified mortgage standards.

Budget and Finance, Business and Industry, Government Affairs

https://www.ncleg.gov/BillLookUp/2025/H762