Credit Union Compliance with the SAFE Act

The following information highlights basic Credit Union compliance with the SAFE Act.  The NCUA has announced that Credit Unions must adopt a written SAFE Act compliance policy by October 1, 2010.  A sample SAFE Act Policies/Procedures is attached to this Law Letter for your review.  If you have any questions or concerns with SAFE Act compliance, please contact Morton Baird, Karen Miller or Kim Selsor at (210) 828 5844.

 1.      The Secure and Fair Enforcement of Mortgage Licensing Act of 2008 (SAFE Act) requires residential Mortgage Loan Originators (MLOs) who are employees of agency-regulated institutions (Credit Unions, Banks, Savings Associations, Farm Credit Institutions) to be registered with the Nationwide Mortgage Licensing System and Registry (Registry) ( This Federal Registration page of the Registry should be monitored regularly to determine when and what action is required by Credit Unions.

2.      Credit Union SAFE ACT Registration Requirements:

          a.     Individual Credit Union MLOs employed by the Credit Union must:

                   i.      Register with the Registry and maintain their registration.

                   ii.     Obtain a unique identifier through the Registry that will remain with that originator, regardless of employment changes. MLOs and their employing Credit Union                                       must provide their unique identifiers to consumers.

b.        Credit Unions must:

i.       Require their employees who are MLOs to comply with these requirements.

   ii.         dopt and follow written policies and procedures to assure compliance with the registration requirements (by October 1, 2010)

3.      Registration of Credit Union MLOs through the Registry may begin as early as January 28, 2011.

4.      On July 28, 2010, the NCUA (joined by the other regulatory agencies), issued their final rules for implementation of the SAFE Act. (       

5.      The NCUA has established a SAFE Act website to assist credit unions with compliance issues. (

Questions to the NCUA regarding compliance may be directed to the NCUA as follows:

Regina Metz, Staff Attorney, Office of General Counsel, (703) 518-6561 or Lisa Dolin, Program Officer, Division of Supervision, Examination & Insurance, (703) 518-6360, National Credit Union Administration, 1775 Duke Street, Alexandria, VA 22314-3428.



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