MEDIA RELEASE / November 5, 2007

Conference of State Bank Supervisors
1155 Connecticut Avenue NW , 5th Floor, Washington, DC 20036

American Association of Residential Mortgage Regulators
1255 23rd Street, NW, Suite 200, Washington, DC 20037

40 STATE AGENCIES COMMIT TO PARTICIPATE IN NATIONWIDE MORTGAGE LICENSING SYSTEM

WASHINGTON, DC —The Conference of State Bank Supervisors (CSBS) and the American Association of Residential Mortgage Regulators (AARMR) announce that, to date, 40 state agencies have committed to participate in the Nationwide Mortgage Licensing System (NMLS), scheduled to launch on January 2, 2008.

Furthermore, seven states plan to begin using the NMLS as soon as it goes live in less than 60 days. They include Idaho, Iowa, Kentucky, Massachusetts, Nebraska, New York and Rhode Island.

The NMLS is a web-based system that will allow state-licensed mortgage lenders, mortgage brokers, and loan officers to apply for, amend, update or renew a license online for all participating state agencies using a single set of uniform applications.

The Statement of Intent signed by the 40 state agencies outlines the reasons for state participation:

• To improve the efficiency and effectiveness of state supervision of the U.S. mortgage market;
• To fight mortgage fraud and predatory lending that costs consumers and the mortgage industry hundreds of millions of dollars in losses each year;
• To increase accountability among mortgage industry professionals;
• To unify and streamline state license processes for mortgage lenders and mortgage brokers.
  

"Participating states have stepped up to the plate to take a leadership role in creating a unified and modern system of state mortgage supervision", stated Neil Milner, CSBS president and CEO.  "By announcing their intent to participate, these state agencies will be heavily involved in the initial phase of development of the NMLS."

"The importance of this initiative is underscored by the seven state agencies that will come on the System when it goes operational in January,” said David H. Bleicken, AARMR president.  "These states are creating the initial critical mass necessary for a successful launch of the System," he added.

Licensees in the seven states are encouraged to consult the state agencies’ websites for information about pre-registering for the NMLS. Each state agency will communicate with its licensees over the next several months concerning steps to be completed to transition their licenses onto the NMLS.

The NMLS will be used by state residential mortgage regulators to accept and process uniform license applications and renewal forms that have been created by state regulators over the past two years.  Licensees will be able to electronically manage a single record in the System to apply for, amend, renew, and surrender licenses with one or more regulators.  The NMLS will manage state licenses for mortgage companies, branches and individuals.

Additional states will transition onto the System on a quarterly basis during 2008 and 2009.  Other state agencies have expressed interest in participating in the System, but are still determining the appropriate time frame for their participation.

To view a map of participating states, click here http://www.csbs.org/AM/Template.cfm?Section=Project_Status&Template=/CM/ContentDisplay.cfm&ContentID=12087

To view the Statement of Intent click here http://www.csbs.org/AM/Template.cfm?Section=Project_Status&Template=/CM/ContentDisplay.cfm&ContentID=11905

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CSBS is the nationwide organization for state banking, representing the bank regulators of the 50 states, the District of Columbia, Guam, Puerto Rico and the Virgin Islands, and approximately 6,200 state-chartered financial institutions. The Conference is responsible for defending state authority to determine banking structure and the products and services state-chartered institutions can offer and for improving the quality of state bank supervision by providing department performance evaluation and accreditation programs and supervisory education/training programs for state banking department personnel.

AARMR is the national organization representing state residential mortgage regulators. AARMR's mission is (a) to promote the exchange of information between and among the executives and employees of the various states who are charged with the responsibility for the administration and regulation of residential mortgage lending, servicing and brokering.

CSBS Information Contact:
Bill Matthews, President, State Regulatory Registry LLC, bmatthews@csbs.org (202) 728-5711

AARMR Information Contact:
David H. Bleicken, Director, Pennsylvania Bureau of Licensing, Investigation & Consumer Services, dblaicken@state.pa.us (717) 346-9351