By Tom Harlow, CSBS executive vice president of products and solutions 

Technology and innovation are steadily empowering change. That is good for the state system of financial regulation – from local mortgage, consumer finance, debt and money service businesses to the consumers we are committed to protecting.  

Together, we experienced the unyielding benefits of technology as CSBS hosted the NMLS Annual Conference & Training online for the second year. Nearly 500 state regulators and more than 500 industry professionals engaged with one another over four days. That is impressive, and it reveals that whether we gather in-person or online, the Nationwide Multistate Licensing System (NMLS) and the State Examination System (SES) matter to you. They are the technology platforms – managed by CSBS on behalf of state agencies – that enable licensing and more recently examination for your business. 

In addition, new legislative priorities and policy developments influencing how you will use NMLS and SES in the future also have your attention. The NMLS Annual Conference continues to serve as a venue to address, reflect on and prepare for these bourgeoning changes.                           

It is our technology platforms that will enable us to collectively make advancements in how state regulators manage licensing and examinations. For example, SES launched in 2020. While many state agencies have made strides in adopting this new system, we heard from several companies during the conference that if more state agencies used SES, there would be greater uniformity when it comes to companies responding to information requests as part of the examination process. Our work to improve uniformity and standardization within SES has already begun.              

In addition to CSBS’s ongoing efforts to improve the NMLS and SES user experience, including tough lessons learned during the recent NMLS renewals period, we shared progress on several Networked Supervision priorities during the conference. These included updates on prudential standards for nonbank mortgage servicers, the One Company, One Exam Program pilot for mortgage, CSBS Money Transmitter Model Law and cybersecurity needs. Attendees also heard more about next steps on the path to modernizing NMLS, including establishing mortgage business-specific requirements for mortgage company licensing.                         

Progress on these various efforts will continue and they will take time. They will also require ongoing involvement from both regulators and industry. That is why we encourage you to stay connected and engaged beyond the 2022 NMLS Annual Conference.  

Here are some ways you can stay connected:      

• Join us for the spring NMLS Ombudsman meeting, Thursday, April 7, from 2 p.m. – 5 p.m. EDT. Contact [email protected] for information on how to access this public meeting. In addition, you can email [email protected] with feedback related to NMLS, state agencies use of NMLS or thoughts on other relevant matters at any time. 
• Participate in public comment periods. We anticipate a public comment period for mortgage business-specific requirements coming soon this year. Go to the NMLS Resource Center for public comment period announcements and proposals for comments.   
• Look for NMLS and SES representation at industry conferences throughout the year. CSBS staff will be representing NMLS and SES at the AARMR 32nd Annual Regulatory Conference & Training, Aug. 8 – 11, Indianapolis, Indiana. 
• Join us for next year’s NMLS Annual Conference in Phoenix, Ariz., April 3 – 6, 2023.