{"identifier":"/us/usc/t12/s5102","title":12,"num":"\u00a7\u202f5102.","heading":"Definitions","text":"\u00a7\u202f5102.\nDefinitions\nFor purposes of this chapter, the following definitions shall apply:\n(1)\nBureau\nThe term \u201cBureau\u201d means the Bureau of Consumer Financial Protection.\n(2)\nFederal banking agency\nThe term \u201cFederal banking agency\u201d means the Board of Governors of the Federal Reserve System, the Office of the Comptroller of the Currency, the National Credit Union Administration, and the Federal Deposit Insurance Corporation.\n(3)\nDepository institution\nThe term \u201cdepository institution\u201d has the same meaning as in\nsection 1813 of this title\n(4)\nLoan originator\n(A)\nIn general\nThe term \u201cloan originator\u201d\u2014\n(i) means an individual who\u2014\n(I) takes a residential mortgage loan application; and\n(II) offers or negotiates terms of a residential mortgage loan for compensation or gain;\n(ii) does not include any individual who is not otherwise described in clause (i) and who performs purely administrative or clerical tasks on behalf of a person who is described in any such clause;\n(iii) does not include a person or entity that only performs real estate brokerage activities and is licensed or registered in accordance with applicable State law, unless the person or entity is compensated by a lender, a mortgage broker, or other loan originator or by any agent of such lender, mortgage broker, or other loan originator; and\n(iv) does not include a person or entity solely involved in extensions of credit relating to timeshare plans, as that term is defined in section 101(53D) of title 11.\n(B)\nOther definitions relating to loan originator\nFor purposes of this subsection, an individual \u201cassists a consumer in obtaining or applying to obtain a residential mortgage loan\u201d by, among other things, advising on loan terms (including rates, fees, other costs), preparing loan packages, or collecting information on behalf of the consumer with regard to a residential mortgage loan.\n(C)\nAdministrative or clerical tasks\nThe term \u201cadministrative or clerical tasks\u201d means the receipt, collection, and distribution of information common for the processing or underwriting of a loan in the mortgage industry and communication with a consumer to obtain information necessary for the processing or underwriting of a residential mortgage loan.\n(D)\nReal estate brokerage activity defined\nThe term \u201creal estate brokerage activity\u201d means any activity that involves offering or providing real estate brokerage services to the public, including\u2014\n(i) acting as a real estate agent or real estate broker for a buyer, seller, lessor, or lessee of real property;\n(ii) bringing together parties interested in the sale, purchase, lease, rental, or exchange of real property;\n(iii) negotiating, on behalf of any party, any portion of a contract relating to the sale, purchase, lease, rental, or exchange of real property (other than in connection with providing financing with respect to any such transaction);\n(iv) engaging in any activity for which a person engaged in the activity is required to be registered or licensed as a real estate agent or real estate broker under any applicable law; and\n(v) offering to engage in any activity, or act in any capacity, described in clause (i), (ii), (iii), or (iv).\n(5)\nLoan processor or underwriter\n(A)\nIn general\nThe term \u201cloan processor or underwriter\u201d means an individual who performs clerical or support duties at the direction of and subject to the supervision and instruction of\u2014\n(i) a State-licensed loan originator; or\n(ii) a registered loan originator.\n(B)\nClerical or support duties\nFor purposes of subparagraph (A), the term \u201cclerical or support duties\u201d may include\u2014\n(i) the receipt, collection, distribution, and analysis of information common for the processing or underwriting of a residential mortgage loan; and\n(ii) communicating with a consumer to obtain the information necessary for the processing or underwriting of a loan, to the extent that such communication does not include offering or negotiating loan rates or terms, or counseling consumers about residential mortgage loan rates or terms.\n(6)\nNationwide mortgage licensing system and registry\nThe term \u201cNationwide Mortgage Licensing System and Registry\u201d means a mortgage licensing system developed and maintained by the Conference of State Bank Supervisors and the American Association of Residential Mortgage Regulators for the State licensing and registration of State-licensed loan originators and the registration of registered loan originators or any system established by the Director under\nsection 5108 of this title\n(7)\nNontraditional mortgage product\nThe term \u201cnontraditional mortgage product\u201d means any mortgage product other than a 30-year fixed rate mortgage.\n(8)\nRegistered loan originator\nThe term \u201cregistered loan originator\u201d means any individual who\u2014\n(A) meets the definition of loan originator and is an employee of\u2014\n(i) a depository institution;\n(ii) a subsidiary that is\u2014\n(I) owned and controlled by a depository institution; and\n(II) regulated by a Federal banking agency; or\n(iii) an institution regulated by the Farm Credit Administration; and\n(B) is registered with, and maintains a unique identifier through, the Nationwide Mortgage Licensing System and Registry.\n(9)\nResidential mortgage loan\nThe term \u201cresidential mortgage loan\u201d means any loan primarily for personal, family, or household use that is secured by a mortgage, deed of trust, or other equivalent consensual security interest on a dwelling (as defined in section 1602(v)\n1\n1 See References in Text note below.\n(10)\nDirector\nThe term \u201cDirector\u201d means the Director of the Bureau of Consumer Financial Protection.\n(11)\nState\nThe term \u201cState\u201d means any State of the United States, the District of Columbia, any territory of the United States, Puerto Rico, Guam, American Samoa, the Trust Territory of the Pacific Islands, the Virgin Islands, and the Northern Mariana Islands.\n(12)\nState-licensed loan originator\nThe term \u201cState-licensed loan originator\u201d means any individual who\u2014\n(A) is a loan originator;\n(B) is not an employee of\u2014\n(i) a depository institution;\n(ii) a subsidiary that is\u2014\n(I) owned and controlled by a depository institution; and\n(II) regulated by a Federal banking agency; or\n(iii) an institution regulated by the Farm Credit Administration; and\n(C) is licensed by a State or by the Director under\nsection 5107 of this title\n(13)\nUnique identifier\n(A)\nIn general\nThe term \u201cunique identifier\u201d means a number or other identifier that\u2014\n(i) permanently identifies a loan originator;\n(ii) is assigned by protocols established by the Nationwide Mortgage Licensing System and Registry and the Bureau to facilitate electronic tracking of loan originators and uniform identification of, and public access to, the employment history of and the publicly adjudicated disciplinary and enforcement actions against loan originators; and\n(iii) shall not be used for purposes other than those set forth under this chapter.\n(B)\nResponsibility of States\nTo the greatest extent possible and to accomplish the purpose of this chapter, States shall use unique identifiers in lieu of social security numbers.","url":"https://projectusc.org/usc/t12/s5102.html","content":[{"t":"sec","id":"/us/usc/t12/s5102","children":[{"t":"num","text":"\u00a7\u202f5102."},{"t":"heading","text":"Definitions","tail":"\n"},{"t":"chapeau","text":"For purposes of this chapter, the following definitions shall apply:"},{"t":"para","id":"/us/usc/t12/s5102/1","children":[{"t":"num","text":"(1)"},{"t":"heading","text":"Bureau"},{"t":"content","children":[{"t":"p","text":"The term \u201cBureau\u201d means the Bureau of Consumer Financial Protection.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t12/s5102/2","children":[{"t":"num","text":"(2)"},{"t":"heading","text":"Federal banking agency"},{"t":"content","children":[{"t":"p","text":"The term \u201cFederal banking agency\u201d means the Board of Governors of the Federal Reserve System, the Office of the Comptroller of the Currency, the National Credit Union Administration, and the Federal Deposit Insurance Corporation.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t12/s5102/3","children":[{"t":"num","text":"(3)"},{"t":"heading","text":"Depository institution"},{"t":"content","children":[{"t":"p","text":"The term \u201cdepository institution\u201d has the same meaning as in ","children":[{"t":"ref","text":"section 1813 of this title","href":"/us/usc/t12/s1813","tail":", and includes any credit union."}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t12/s5102/4","children":[{"t":"num","text":"(4)"},{"t":"heading","text":"Loan originator"},{"t":"subpara","id":"/us/usc/t12/s5102/4/A","children":[{"t":"num","text":"(A)"},{"t":"heading","text":"In general"},{"t":"chapeau","text":"The term \u201cloan originator\u201d\u2014"},{"t":"clause","id":"/us/usc/t12/s5102/4/A/i","children":[{"t":"num","text":"(i)"},{"t":"chapeau","text":" means an individual who\u2014"},{"t":"subclause","id":"/us/usc/t12/s5102/4/A/i/I","children":[{"t":"num","text":"(I)"},{"t":"content","text":" takes a residential mortgage loan application; and","tail":"\n"}],"tail":"\n"},{"t":"subclause","id":"/us/usc/t12/s5102/4/A/i/II","children":[{"t":"num","text":"(II)"},{"t":"content","text":" offers or negotiates terms of a residential mortgage loan for compensation or gain;","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5102/4/A/ii","children":[{"t":"num","text":"(ii)"},{"t":"content","text":" does not include any individual who is not otherwise described in clause (i) and who performs purely administrative or clerical tasks on behalf of a person who is described in any such clause;","tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5102/4/A/iii","children":[{"t":"num","text":"(iii)"},{"t":"content","text":" does not include a person or entity that only performs real estate brokerage activities and is licensed or registered in accordance with applicable State law, unless the person or entity is compensated by a lender, a mortgage broker, or other loan originator or by any agent of such lender, mortgage broker, or other loan originator; and","tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5102/4/A/iv","children":[{"t":"num","text":"(iv)"},{"t":"content","text":" does not include a person or entity solely involved in extensions of credit relating to timeshare plans, as that term is defined in section 101(53D) of title 11.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t12/s5102/4/B","children":[{"t":"num","text":"(B)"},{"t":"heading","text":"Other definitions relating to loan originator"},{"t":"content","children":[{"t":"p","text":"For purposes of this subsection, an individual \u201cassists a consumer in obtaining or applying to obtain a residential mortgage loan\u201d by, among other things, advising on loan terms (including rates, fees, other costs), preparing loan packages, or collecting information on behalf of the consumer with regard to a residential mortgage loan.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t12/s5102/4/C","children":[{"t":"num","text":"(C)"},{"t":"heading","text":"Administrative or clerical tasks"},{"t":"content","children":[{"t":"p","text":"The term \u201cadministrative or clerical tasks\u201d means the receipt, collection, and distribution of information common for the processing or underwriting of a loan in the mortgage industry and communication with a consumer to obtain information necessary for the processing or underwriting of a residential mortgage loan.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t12/s5102/4/D","children":[{"t":"num","text":"(D)"},{"t":"heading","text":"Real estate brokerage activity defined"},{"t":"chapeau","text":"The term \u201creal estate brokerage activity\u201d means any activity that involves offering or providing real estate brokerage services to the public, including\u2014"},{"t":"clause","id":"/us/usc/t12/s5102/4/D/i","children":[{"t":"num","text":"(i)"},{"t":"content","text":" acting as a real estate agent or real estate broker for a buyer, seller, lessor, or lessee of real property;","tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5102/4/D/ii","children":[{"t":"num","text":"(ii)"},{"t":"content","text":" bringing together parties interested in the sale, purchase, lease, rental, or exchange of real property;","tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5102/4/D/iii","children":[{"t":"num","text":"(iii)"},{"t":"content","text":" negotiating, on behalf of any party, any portion of a contract relating to the sale, purchase, lease, rental, or exchange of real property (other than in connection with providing financing with respect to any such transaction);","tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5102/4/D/iv","children":[{"t":"num","text":"(iv)"},{"t":"content","text":" engaging in any activity for which a person engaged in the activity is required to be registered or licensed as a real estate agent or real estate broker under any applicable law; and","tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5102/4/D/v","children":[{"t":"num","text":"(v)"},{"t":"content","text":" offering to engage in any activity, or act in any capacity, described in clause (i), (ii), (iii), or (iv).","tail":"\n"}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t12/s5102/5","children":[{"t":"num","text":"(5)"},{"t":"heading","text":"Loan processor or underwriter"},{"t":"subpara","id":"/us/usc/t12/s5102/5/A","children":[{"t":"num","text":"(A)"},{"t":"heading","text":"In general"},{"t":"chapeau","text":"The term \u201cloan processor or underwriter\u201d means an individual who performs clerical or support duties at the direction of and subject to the supervision and instruction of\u2014"},{"t":"clause","id":"/us/usc/t12/s5102/5/A/i","children":[{"t":"num","text":"(i)"},{"t":"content","text":" a State-licensed loan originator; or","tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5102/5/A/ii","children":[{"t":"num","text":"(ii)"},{"t":"content","text":" a registered loan originator.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t12/s5102/5/B","children":[{"t":"num","text":"(B)"},{"t":"heading","text":"Clerical or support duties"},{"t":"chapeau","text":"For purposes of subparagraph (A), the term \u201cclerical or support duties\u201d may include\u2014"},{"t":"clause","id":"/us/usc/t12/s5102/5/B/i","children":[{"t":"num","text":"(i)"},{"t":"content","text":" the receipt, collection, distribution, and analysis of information common for the processing or underwriting of a residential mortgage loan; and","tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5102/5/B/ii","children":[{"t":"num","text":"(ii)"},{"t":"content","text":" communicating with a consumer to obtain the information necessary for the processing or underwriting of a loan, to the extent that such communication does not include offering or negotiating loan rates or terms, or counseling consumers about residential mortgage loan rates or terms.","tail":"\n"}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t12/s5102/6","children":[{"t":"num","text":"(6)"},{"t":"heading","text":"Nationwide mortgage licensing system and registry"},{"t":"content","children":[{"t":"p","text":"The term \u201cNationwide Mortgage Licensing System and Registry\u201d means a mortgage licensing system developed and maintained by the Conference of State Bank Supervisors and the American Association of Residential Mortgage Regulators for the State licensing and registration of State-licensed loan originators and the registration of registered loan originators or any system established by the Director under ","children":[{"t":"ref","text":"section 5108 of this title","href":"/us/usc/t12/s5108","tail":"."}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t12/s5102/7","children":[{"t":"num","text":"(7)"},{"t":"heading","text":"Nontraditional mortgage product"},{"t":"content","children":[{"t":"p","text":"The term \u201cnontraditional mortgage product\u201d means any mortgage product other than a 30-year fixed rate mortgage.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t12/s5102/8","children":[{"t":"num","text":"(8)"},{"t":"heading","text":"Registered loan originator"},{"t":"chapeau","text":"The term \u201cregistered loan originator\u201d means any individual who\u2014"},{"t":"subpara","id":"/us/usc/t12/s5102/8/A","children":[{"t":"num","text":"(A)"},{"t":"chapeau","text":" meets the definition of loan originator and is an employee of\u2014"},{"t":"clause","id":"/us/usc/t12/s5102/8/A/i","children":[{"t":"num","text":"(i)"},{"t":"content","text":" a depository institution;","tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5102/8/A/ii","children":[{"t":"num","text":"(ii)"},{"t":"chapeau","text":" a subsidiary that is\u2014"},{"t":"subclause","id":"/us/usc/t12/s5102/8/A/ii/I","children":[{"t":"num","text":"(I)"},{"t":"content","text":" owned and controlled by a depository institution; and","tail":"\n"}],"tail":"\n"},{"t":"subclause","id":"/us/usc/t12/s5102/8/A/ii/II","children":[{"t":"num","text":"(II)"},{"t":"content","text":" regulated by a Federal banking agency; or","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5102/8/A/iii","children":[{"t":"num","text":"(iii)"},{"t":"content","text":" an institution regulated by the Farm Credit Administration; and","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t12/s5102/8/B","children":[{"t":"num","text":"(B)"},{"t":"content","text":" is registered with, and maintains a unique identifier through, the Nationwide Mortgage Licensing System and Registry.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t12/s5102/9","children":[{"t":"num","text":"(9)"},{"t":"heading","text":"Residential mortgage loan"},{"t":"content","children":[{"t":"p","text":"The term \u201cresidential mortgage loan\u201d means any loan primarily for personal, family, or household use that is secured by a mortgage, deed of trust, or other equivalent consensual security interest on a dwelling (as defined in section 1602(v)\u202f","children":[{"t":"ref","text":"1"},{"t":"num","text":"1","tail":"\u202fSee References in Text note below."},{"t":"text","text":"\u202fSee References in Text note below.","tail":" of title 15) or residential real estate upon which is constructed or intended to be constructed a dwelling (as so defined)."}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t12/s5102/10","children":[{"t":"num","text":"(10)"},{"t":"heading","text":"Director"},{"t":"content","children":[{"t":"p","text":"The term \u201cDirector\u201d means the Director of the Bureau of Consumer Financial Protection.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t12/s5102/11","children":[{"t":"num","text":"(11)"},{"t":"heading","text":"State"},{"t":"content","children":[{"t":"p","text":"The term \u201cState\u201d means any State of the United States, the District of Columbia, any territory of the United States, Puerto Rico, Guam, American Samoa, the Trust Territory of the Pacific Islands, the Virgin Islands, and the Northern Mariana Islands.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t12/s5102/12","children":[{"t":"num","text":"(12)"},{"t":"heading","text":"State-licensed loan originator"},{"t":"chapeau","text":"The term \u201cState-licensed loan originator\u201d means any individual who\u2014"},{"t":"subpara","id":"/us/usc/t12/s5102/12/A","children":[{"t":"num","text":"(A)"},{"t":"content","text":" is a loan originator;","tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t12/s5102/12/B","children":[{"t":"num","text":"(B)"},{"t":"chapeau","text":" is not an employee of\u2014"},{"t":"clause","id":"/us/usc/t12/s5102/12/B/i","children":[{"t":"num","text":"(i)"},{"t":"content","text":" a depository institution;","tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5102/12/B/ii","children":[{"t":"num","text":"(ii)"},{"t":"chapeau","text":" a subsidiary that is\u2014"},{"t":"subclause","id":"/us/usc/t12/s5102/12/B/ii/I","children":[{"t":"num","text":"(I)"},{"t":"content","text":" owned and controlled by a depository institution; and","tail":"\n"}],"tail":"\n"},{"t":"subclause","id":"/us/usc/t12/s5102/12/B/ii/II","children":[{"t":"num","text":"(II)"},{"t":"content","text":" regulated by a Federal banking agency; or","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5102/12/B/iii","children":[{"t":"num","text":"(iii)"},{"t":"content","text":" an institution regulated by the Farm Credit Administration; and","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t12/s5102/12/C","children":[{"t":"num","text":"(C)"},{"t":"content","text":" is licensed by a State or by the Director under ","children":[{"t":"ref","text":"section 5107 of this title","href":"/us/usc/t12/s5107","tail":" and registered as a loan originator with, and maintains a unique identifier through, the Nationwide Mortgage Licensing System and Registry."}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"para","id":"/us/usc/t12/s5102/13","children":[{"t":"num","text":"(13)"},{"t":"heading","text":"Unique identifier"},{"t":"subpara","id":"/us/usc/t12/s5102/13/A","children":[{"t":"num","text":"(A)"},{"t":"heading","text":"In general"},{"t":"chapeau","text":"The term \u201cunique identifier\u201d means a number or other identifier that\u2014"},{"t":"clause","id":"/us/usc/t12/s5102/13/A/i","children":[{"t":"num","text":"(i)"},{"t":"content","text":" permanently identifies a loan originator;","tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5102/13/A/ii","children":[{"t":"num","text":"(ii)"},{"t":"content","text":" is assigned by protocols established by the Nationwide Mortgage Licensing System and Registry and the Bureau to facilitate electronic tracking of loan originators and uniform identification of, and public access to, the employment history of and the publicly adjudicated disciplinary and enforcement actions against loan originators; and","tail":"\n"}],"tail":"\n"},{"t":"clause","id":"/us/usc/t12/s5102/13/A/iii","children":[{"t":"num","text":"(iii)"},{"t":"content","text":" shall not be used for purposes other than those set forth under this chapter.","tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"subpara","id":"/us/usc/t12/s5102/13/B","children":[{"t":"num","text":"(B)"},{"t":"heading","text":"Responsibility of States"},{"t":"content","children":[{"t":"p","text":"To the greatest extent possible and to accomplish the purpose of this chapter, States shall use unique identifiers in lieu of social security numbers.","tail":"\n"}],"tail":"\n"}],"tail":"\n"}],"tail":"\n"},{"t":"text","text":"\n"},{"t":"text","text":"\n"}]}]}