WBK Industry News - State Regulatory Developments

Indiana Removes Loan Broker Principal Manager Requirement

Indiana recently amended its loan broker law to remove the principal manager license and related provisions, effective July 1, 2024.  Currently, a principal manager is required for each loan broker licensee and office, and that person must hold a principal manager license, among other requirements.  A single principal manager could supervise up to five loan broker offices.

Under the amended law, instead of a licensed principal manager, a manager will need to be designated for each office, and the manager, while still required to be a licensed mortgage loan originator, will not be required to have a separate manager license.  The amended law also allows a manager to supervise up to five loan broker offices, but adds the limitation that these offices must all be under a single company.