Remote Work Guidance for Mortgage Loan Originators
Shumaker Williams has been closely following the issue of teleworking MLOs. Currently, the majority of states do permit some flexibility with respect to MLO work locations, subject to various conditions and requirements.
The ability of a Mortgage Loan Originator (MLO) to work from home depends on various factors including the laws and regulations in the state and the policies of the employer. During the pandemic, there was a shift to allowing MLO’s and employees of mortgage lenders and brokers to work from home or an unlicensed remote location. Mortgage companies learned that in many cases, MLOs can work from home successfully, especially with the advancements in technology that allow remote work.
Shumaker Williams has been closely following the issue of teleworking MLOs. Currently, the majority of the states do permit some flexibility with respect to MLO work locations, subject to various conditions and requirements. There might be specific licensing requirements or regulations that dictate where certain aspects of the work can be conducted. Mortgage regulations often include provisions about the location from which certain activities, such as soliciting loans or meeting with clients, can be carried out.
It’s necessary to ensure that any work conducted from home complies with licensing requirements, regulatory guidelines, and company policies. Additionally, supervision and data security measures should be in place to comply with regulatory requirements and maintain confidentiality. Many states that currently permit MLOS to work from a remote location require or expect employers to have remote work policies that address these and other concerns.
Contact Shumaker Williams for specific information and remote work policies tailored to your business and applicable regulations.
The information contained herein is provided for general informational purposes only and may not reflect the current law in your jurisdiction. No information contained in this blog should be construed as legal advice from Shumaker Williams P.C. or the individual author, nor is it intended to be a substitute for legal counsel on any subject matter. This blog is current as of the date of original publication.
November 20, 2023