On March 21, 2019, Governor Ralph Northam signed into law House Bill 2251, which revises certain requirements pertaining to mortgage loan originators (MLOs).
The bill removes provisions regarding the issuance of transitional MLO licenses and replaces them with provisions that grant temporary authority to act as an MLO. It appears that the replacement provisions were made to ensure that Virginia law conforms with changes made to the federal S.A.F.E. Mortgage Licensing Act of 2008 under the Economic Growth, Regulatory Relief, and Consumer Protection Act, which provide for granting authority to individuals on a temporary basis to act as MLOs in certain circumstances.
Among other things, the bill also addresses expiration rules and consequences for MLO pre-licensing education courses and makes various administrative revisions.
The changes made by House Bill 2251 go into effect on July 1, 2019.