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Disciplinary Actions
To fulfill the requirements of the Consumer Financial Protection Bureau’s (CFPB’s) Regulation G, the NMLS Federal Registry collects information regarding disciplinary actions covered by the disclosure questions that individual mortgage loan originators (MLOs) are required to complete, and update as necessary, as part of the SAFE Mortgage Licensing Act of 2008 federal registration process.
Disciplinary Actions Reference Guide
Federally registered mortgage loan originators are required to use NMLS in order to provide information regarding Disciplinary Actions covered by the MU4R’s Disclosure Questions.
Example Four: Associating a State Regulatory Action (SRA) to a Disciplinary Action
MLOs that need to disclose a Disciplinary Action that has already been tied to their NMLS record by a State Regulator will be able to reference that existing Action.

Disciplinary Actions
To fulfill the requirements of the Consumer Financial Protection Bureau’s (CFPB’s) Regulation G, the NMLS Federal Registry collects information regarding disciplinary actions covered by the disclosure questions that individual mortgage loan originators (MLOs) are required to complete, and update as necessary, as part of the SAFE Mortgage Licensing Act of 2008 federal registration process.
- Disciplinary Actions Reference Guide
  Federally registered mortgage loan originators are required to use NMLS in order to provide information regarding Disciplinary Actions covered by the MU4R’s Disclosure Questions.
  - Example One: One Yes Response, One Event
    An MLO has been named in financial services-related consumer-initiated civil litigation (Event). The lawsuit was settled for some amount. In NMLS, the MLO would need to answer Question (F)(2), related to certain civil litigation, Yes. The MLO would complete the required Disciplinary Action explanation for the event as follows:
  - Example Two: One Yes Response, Two Events
    An MLO has twice previously been named in financial services-related consumer-initiated civil litigation (Event 1 and Event 2). Both lawsuits were settled for some amount. In NMLS, the MLO would need to answer Question (F)(2), related to certain civil litigation, Yes. The MLO would complete a separate Disciplinary Action Explanation for each event as follows:
  - Example Three: Two Yes Responses, One Event
    An MLO was found by a State regulator to have been dishonest, unfair or unethical (Regulatory Finding). In NMLS, he or she may need to answer questions (D)(1) and (D)(7), both related to dishonest or deceptive conduct, Yes. The MLO would complete the required Disciplinary Action explanation for the event as follows:
  - Example Four: Associating a State Regulatory Action (SRA) to a Disciplinary Action
    MLOs that need to disclose a Disciplinary Action that has already been tied to their NMLS record by a State Regulator will be able to reference that existing Action.

Example Four: Associating a State Regulatory Action (SRA) to a Disciplinary Action

MLOs that need to disclose a Disciplinary Action that has already been tied to their NMLS record by a State Regulator will be able to reference that existing Action.

About this task

This process is an exception and does not apply to the majority of federally registered MLOs.

Important: Make sure that personally identifiable information such as date of birth, social security number, residential address, personal telephone number or e-mail address are redacted and/or not included in the uploaded documents.

Procedure

Navigate to the NMLS Login page (Federal Context).
Log in to your NMLS account.

Note: If you are landed on the NMLS Connect screen, select NMLS Federal Registry in the Quick Links section.
Select the Federal context, if the Context screen is displayed.

Note: Be sure you are in the Federal context by selecting Federal from the You are currently drop down list. Your screen should display the Federal Registry watermark.
Click Add on Disciplinary Actions page.
Select applicable SRA.
Select Associate SRA.
Provide Brief Description of Disciplinary Action.

Important: Do not include personally identifiable information such as date of birth, social security number, residential address, personal telephone number or e-mail address.
Optional: Provide Disciplinary Action Detail, if the MLO chooses to do so.
Associate Applicable Question.
Select Save.

Results

The explanation is listed on the Disciplinary Action page with associated SRA.

Contact the NMLS Call Center with any questions: 1-855-665-7123
Monday - Friday from 9:00AM to 9:00PM ET
Available from all U.S. States and Territories.