Temporary Authority to Operate

Understand what Temporary Authority to Operate (TA) is, and how it works when applying for an additional individual state license or registration in NMLS.

Refer to the NMLS Policy Guide: Temporary Authority for authoritative information on TA.

What is Temporary Authority?

Temporary Authority to act as a loan originator permits:
  • 1) qualified MLOs who are changing employment from a depository institution to a state-licensed mortgage company, and
  • 2) qualified state-licensed MLOs seeking licensure in another state, to originate loans while completing any state-specific requirements for licensure such as education or testing.

Determining Eligibility

An MLO application will enter the TA workflow if the above eligibility requirements are met and the application includes:
  1. A completed Individual Form (MU4), which contains personal history and experience;
  2. An explanation and supporting documentation uploads for any Yes answer to a Disclosure Question;
  3. The receipt of a criminal history record information check from the FBI;
  4. Authorization to obtain a credit report;
  5. W2-Employee is selected for the Worker Classification in the applicant’s company relationship; and
  6. A request for sponsorship from the MLO’s employer.
A complete application for licensure must also include:
  1. The submission of any State-specific documents (if applicable). See the State Licensing Checklist Compiler to determine any state-specific requirements for each MLO license.
  2. The passing of the SAFE Act Test. (See MLO Education and Testing Guide.)
  3. Completion of pre-licensure education courses.
Note: An eligible individual can submit an MLO license application without passing the SAFE Act Test or meeting Pre-Licensure education requirements and be deemed to have TA.
An MLO would not be eligible for TA if they have:
  • Had a loan originator license application denied;
  • Had a loan originator license revoked or suspended in any jurisdiction;
  • Been subject to or served with a cease and desist order; or
  • Been convicted of a misdemeanor or felony that would preclude licensure in the application state.

Understanding TA Statuses

There are four NMLS licensing statuses that will be used in relation to applications in the TA workflow.
  1. Pending - Deficient (Temporary Authority Eligible)
    • Pending CBC results or a request for sponsorship
    • Meets other eligibility requirements
  2. Pending - Deficient (Temporary Authority)
    • CBC results satisfied and a request for sponsorship has occurred
    • Pending Testing and Education requirements
    • Pending License Item
  3. Pending - Review (Temporary Authority)
    • Testing and Education requirements have been met
    • Waiting for regulatory review
  4. Pre-Approved (Temporary Authority)
    • Pending Testing and Education requirements