Please refer to the State Licensing Requirements Page to see the requirements. Normally, you need to complete the pre-licensure education (20-hour course and possible state’s elective hour), pass the SAFE MLO test,, submit to a criminal background and credit check prior to submitting an application in NMLS. Review Professional Standards for more details on the Criminal Background Check, Testing, Education, and Credit Report process.

For the pre-licensure education. our LOs are using MEC to take the class and here is the 20-hour class for your reference.

Please refer to this link for submitting individuals form on NMLS. Once completed, please grant access to Loan Factory (NMLS ID: 320841) to request sponsorship for your license.

Loan Factory must then accept sponsorship requests, run background checks, collect initial fees and perform the onboarding process.

Here is the summary of the onboarding process steps

No, you don't have to have previous experience to be sponsored by Loan Factory. Loan Factory will train you.

Loan Factory allows MLOs to work from home and MLOs are welcome to visit Loan Factory local branches for meeting purposes. However, this will also vary from state to state. If you plan to conduct business in a state with a brick and mortar requirement, working out of your home won’t be an option. There are five states in the U.S. with a brick and mortar requirement: Arizona, Hawaii, Missouri, Nevada, and Texas.

Loan Factory Human Resources will help collect your credit card information and set up an account for you. Our credit vendor is Advantage Credit Company. There is no set-up fee. When you have a transaction, you will be charged to your credit card automatically and you will be reimbursed at closing.

Most states do not allow MLOs to originate your own loans. However, every state and auditor has their own interpretation. At Loan Factory, when you are the borrower, you should ask another LO in the company to be the LO of the loan.

You’ll need a Loan Origination System (LOS) to manage the lending process and your own business website to attract more prospective borrowers, a Customer Relationship Management (CRM) software to reap the benefits of a good communications specialist, without actually hiring one and a Point-of-Sale (POS) system which allows prospective borrower to complete 1003 applications, as well as upload and e-sign documents. At Loan Factory, we have our own proprietary technology that provides all of these features. You do not need to buy your own software.

Loan Factory will help set up a website for you at no charge. However, you will have to purchase a domain yourself first. You can look up and purchase a domain at GoDaddy.com. You only have to pay Go Daddy the annual fee around $18/year.

From time to time, Loan Factory will purchase leads. These are company-provided leads. You can receive company-provided leads. You will be paid less compared to the self-generated leads. The compensation schedule can be found in the schedule A or the Loan Officer Compensation Addendum.

Loan Factory provides support including but not limited to your own dedicated webpage, mortgage platform, training, marketing, advertising and leads.

Loan Factory offers in-house processing. For compliance and quality control, no outside loan processing is allowed.

Yes, you can always have an assistant on your own but the assistant must be directly hired, paid and trained by you. Loan Factory will not be responsible for recruitment, training and paying your assistant. Loan Factory also will not allow the loan to be processed by your assistant due to compliance purposes. However, at Loan Factory, we provide you Loan Officer Assistant (LOA) for you at no cost. Your LOA will help you with everything you need to ease your job.

Loan Factory offers a vital, well-trained processing team who can help manage compiling a consumer’s information and financial data for submission to possible lenders as part of the application process and support you for a smooth entire process till closing of the loan. You should make sure the borrower submitted the complete 1003 and supporting documents. You should also make sure the loan can be approved and closed before converting the application into a loan for the processor to process your loan. You will also need to communicate with the borrower regularly to lock the rate and explain the fees.

An MLO is responsible for managing the borrower relationship while originating a loan and performing licensing activities such as loan application intake, possible loan products/programs consultation, rate and term negotiations, loan qualification evaluations, loan restructuring and loan application rejections.

Managing your compliance needs when originating loans is one of the most important aspects of your business. Maintaining compliance involves following all applicable state and federal rules, regulations and guidelines governing your business’ processes, including the issuance of required disclosures throughout the loan process, the creation and use of marketing materials, the retention of records associated with your business and the initial licensing/annual licensing renewal process.

There will be lenders out there battling it out and willing to make less money for business, you can beat them to help place your borrowers in the best product and pricing. However, there should not be “best rate” or “lowest rate” offer guaranteed.

Our CEO is also the founder of MOSO. MOSO Platform is an all-in-one mortgage platform with CRM, POS, LOS, and many more features. Loan Factory uses only MOSO and no other software.

Loan Factory uses our own proprietary technology platform MOSO to speed up the process, prevent problems that may happen, improve the process, train the staff faster, moving loans through an assembly-line manner, and improve communication. Moreover, most of the lenders that work with Loan Factory have dedicated resources to support Loan Factory.

You are allowed to originate as many states as Loan Factory has a license in. However, you have to pay for the licensing fee charged by each state. Loan Factory will pay for the sponsorship fee for you, up to 3 states.

You can not originate loans in state(s) you are not licensed. It is best to refer the loan to another LO in the company. Of course, the company allows the loan to be transferred back to you if the loan has reached the “Clear to Close” status. Or you may be allowed to perform all the activities belonging to a role of Loan Officer Assistant if you decide not to take license in that state. You are not allowed to perform any licensing tasks if you are not licensed where the loan originated.

Referral fee is not allowed as it is forbidden by state and federal laws.

The compensation structure is 100% commission. MLOs receive a commission on the loans they originate. The commission amount differs depending on experience level and on the payroll structure (1099 vs. W2). For more details, please refer to the Loan Originator Compensation Agreement Addendum

When a W-2 Loan Officer refers a loan to the company, you will receive a bonus of 50% of the net commission. Please note this applied to W-2 LO only. 1099 LOs won’t qualify for this bonus. You must be classified as a W-2 LO if you want to have a license in 1 of the 13 W-2 states.

MLOs receive 1099 at Loan Factory, except for MLOS licensed in Georgia, Illinois, Maine, Massachusetts, Mississippi, Montana, Nevada, New Jersey, North Carolina, South Carolina, Vermont, and Rhode Island. Payment will be made upon completion of closing a loan and commission can be requested on Loan Factory system. Accounting department will be responsible for issuing the payment to MLOs.

Yes. If they choose Wholesale, the loan officer can select Lender-Paid Compensation (which cannot be changed) or switch to borrower-paid compensation and lower the compensation (subject to the minimum and the target/maximum level).

Rate Alert will be automatically turned off when the rate is locked. Unless there is a huge change in the rate (once locked), normally we don't recommend resubmitting the loan nor submit loan to multiple lenders.

We should not lock the interest rate too soon. We are not a lender. Locking the rate too soon will cause so many problems: borrowers may ask us to relock if the market rates went down; borrowers will then likely drop the loan and go with another lender. Also, locking the rate too soon means we may not be able to close the loan before the rate lock expires.

It is our policy that the processing be paid for by the MLOs. The fee is $500 (for a wholesale loan) or $800 (for a correspondent loan). Processing is not charged if the loan is not closed.

As your client, you should be aware when the client applies. If the client applies and you don't see it in your pipeline, then, you must show proof to Loan Factory that you were in contact/communication with the client prior to the loan application being submitted and our pipeline manager will reassign the loan to you.

Once a client is helped by you, that client will permanently belong to you. MOSO will help detect and inform you if your client is being helped by another Loan Officer at Loan Factory.

You can contact Loan Factory staff via email, phone call, or Google Hangout chat.

Branch managers who are also Loan officers who bring in at least 5 loan officers (at the end of the quarter) and close at least 15 correspondent loans PER QUARTER with Rocket Pro TPO are eligible for a bonus of 8 bps for each closed loan with Rocket Pro TPO. The bonus will be paid out within 30 days after the end of the quarter, and it comes from Loan Factory's Rocket Pro TPO partner. Loan Factory plans to add more lenders and more states to the Correspondent channel.

Both. When a new loan is created, the loan officer's target compensation will be applied automatically if they choose not to change it. However, when an application is converted to a loan for submission by the processor, the loan officer must decide whether to send the loan to the Wholesale or Correspondent channel. If they choose Wholesale, the loan officer can select Lender-Paid Compensation (which cannot be changed) or switch to borrower-paid compensation and lower the compensation (subject to the minimum and the target/maximum level).

In the Correspondent channel, Loan Factory is currently licensed to do business with Rocket Pro TPO in California, Colorado, Texas, and Florida. We are adding more investors and more states. The loan officer can send the loan to the Correspondent channel if he/she wishes to. The LO will receive the same pricing as in the Wholesale channel, which is unusual as most other mortgage companies offer worse pricing (or higher costs) in the Correspondent channel. Please note that since it is more risky for the company and the cost is higher (than wholesale) due to additional fees such as VOE, Credit Refresh, Funding Fee, MERS fee, etc. The company decides to raise the processing fee to $800 (and will not charge any other fees when compared to wholesale loan). The LO can include this $800 processing fee in the LE so that the borrower will pay for it.

Each loan officer must select their target/maximum compensation level for every loan, which will also serve as their maximum compensation regardless of loan size or channel (Wholesale vs. Correspondent). The target compensation level will be saved to the loan officer's profile and cannot be changed until the next quarter. To make changes to the compensation level, the loan officer must sign a new addendum to their compensation agreement and send it to HR at least three days before the end of the quarter.

Loan Factory does NOT allow DBA. However, we allow you as brokers to use "powered by" in connection with your existing business name or branding, and the legal name of your business is not changing.

Loan Factory do provide extensive trainings on a weekly basis. The training is live, conducted by the CEO and covers many topics. Training recordings are available upon request.

Loan Factory can pay you through your Corporation or LLC. The Loan Officer must show proof that the entity exists and belongs to the Loan Officer.

Unfortunately you can not originate a loan under LLC. It must be under your name. However, you can pay your LLC but you must give us proof that the LLC is active and you are the owner of the LLC. In California, you must form a corporation (cannot be an LLC) as it is a requirement for all professional companies.

You are considered as an experienced Loan Officer if you close at least 3 loans in the past 12 months.

For the first 3 transactions, a new Loan Officer (no matter you are 1099 or W2) will earn 50 bps on every closed transaction. There will be a processing fee of $500 applied to every closed loan. There is no flat fee of $595 applied.

Approximately 1-3 weeks depending on the state. Some states are fast but others are slow.

We allow your new loan to be submitted and the Loan Officer will be Thuan Nguyen. As soon as your license is active with Loan Factory and before the loan reaches Clear-To-Close status, we will switch the loan officer back to your name.

We need to hire that LOA as Loan Factory requires all LOAs or Processors to be employees. However, we will have to recover the compensation we pay the LOA from the LO team.