June 22, 2015
Notice Regarding State-Specific Pre-Licensure Education Requirements for
Massachusetts Division of Banks (DOB) Beginning September 1, 2015
Purpose
The purpose of this notice is to inform NMLS approved course providers of pre-licensure
education (PE) requirements that must be met as a condition for obtaining a mortgage loan
originator (MLO) license with the Massachusetts Division of Banks beginning September 1,
2015.
Background and Reason for the Notice
The Massachusetts Division of Banks (DOB) has informed NMLS that effective September 1,
2015, it will continue to require individuals seeking a mortgage loan originator license to
complete three (3) hours of MA-specific pre-licensure (PE) education but these hours will now
have the specific content requirements detailed below.
MA-DOB State-Specific Education Requirements and Reference List
DOB pre-licensure education requirements will be as follows:
 3 hours of Federal Law;
 3 hours of Ethics (must include fraud, consumer protection, and fair lending issues);
 2 hours lending standards for Non-Traditional mortgage products;
 3 hours of DOB defined electives pertaining to Massachusetts consumer protection laws
and other related laws and regulations;
 8 hours of General Electives
Total PE: 20 Hours
DOB has established the following course content standards that must be met as a condition for
NMLS course approval of a PE course:
3 hours instruction covering the following statutes and regulations:
I.
License Law and Regulation – 30 minutes
A. Licensing of Mortgage Loan Originators: MGL c. 255F; 209 CMR 41.01 –
41.09 (15 minutes)
B. Licensing of Mortgage Brokers and Mortgage Lenders: MGL c. 255E; 209
CMR 42.01-42.12 (15 minutes)
II.
Consumer Protection – 120 Minutes
A. Reverse Mortgage Loans: MGL, c. 167E section 7; 209 CMR 55.00 (20
minutes)
B. Predatory Home Loan Practices Act: MGL, c. 183C (10 minutes)
C. Prohibited Acts and Practices: MGL, c. 255F, section 15; 209 CMR 41.10;
209 CMR 42.12A (30 minutes)
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D. Refinancing in the Borrower’s Interest: MGL c. 183, section 28C; 209 CMR
53.00 (15 minutes)
E. Unfair or Deceptive Acts or Practices: MGL c. 93A (5 minutes)
F. Fees and Charges MGL c. 183, section 59; 209 CMR 32.32; 209 CMR 32.34
(20 minutes)
G. Advertising: 940 CMR 8.04; 209 CMR 41.12; 209 CMR 42.15 (15 minutes)
H. Recordkeeping: 209 CMR 42.09; 209 CMR 48.00 (5 minutes)
III.
Unique State Test Areas -30 minutes
A. Community Reinvestment Act (CRA) and Fair Lending: MGL c. 255E,
section 8, 209 CMR 54.00 (10 minutes)
B. Foreclosure Prevention Options: MGL, c. 244, sections 35A and 35B, 209
CMR 56.00 (15 minutes)
C. Foreclosure-Related Services: 940 CMR 25.00 (5 minutes)
In accordance with the SAFE Act, NMLS is the approval authority for courses that are intended
to satisfy the PE requirement for an MLO to be licensed by a state-agency. Courses intending to
satisfy new MA-DOB requirements must also meet NMLS course approval standards as detailed
in the Functional Specification for All NMLS Approved Courses.
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