IA Streamlines Regulations for MBMBCA, State SAFE Act

The Iowa Division of Banking has significantly revised and renumbered its regulations for the Mortgage Bankers, Mortgage Brokers, and Closing Agents Act (MBMBCA rules) and the Iowa Secure and Fair Enforcement for Mortgage Licensing Act (Iowa SAFE Act rules), primarily to remove rule language that merely duplicates the authorizing statutes.

Several substantive changes are worth noting:

• The MBMBCA rules will no longer contain a definition of the phrase “makes at least four mortgage loans,” which in turn is part of the definition of Mortgage Banker;
• A new section will be added to each set of regulations, providing that all application and licensing information must be submitted through NMLS, including (but not limited to) the original application information, changes in application information, license renewal information, and notices of significant events–and, for the MBMBCA rules, changes in name, location, and control;
• The rules for both laws will allow an applicant to withdraw an application at any time before the superintendent grants or denies it;
• The standard to trigger a duty to update information that has changed since an initial application under the MBMBCA will be relaxed, to require only that an applicant must report changes material to the application (within 10 days of the change); and
• The regulations for both laws will now specifically require a renewal applicant, including an MLO, to report any material change to information in the original application.

These and other changes to the rules will become effective on October 21, 2026.