our commercial and residential lenders will register under SAFE; however, I'm not sure of our branch managers. They never originate a residential mortgage with exception of an occasional HELOC. Does this make them a loan originator?

The proposed rule contains a de minimis exception. Employees who acted as loan originator for 5 or fewer residential mortgage loans in the previous 12 months are exempted. (see Section 1507.101(c)(2) of the proposed rules)

Definition of a Loan Originator

(3) LOAN ORIGINATOR.—
(A) IN GENERAL.—The term ‘‘loan originator’’—
(i) means an individual who—
(I) takes a residential mortgage loan application; and
(II) offers or negotiates terms of a residential mortgage loan for compensation or gain;

Definition of Residential Mortgage:

(8) RESIDENTIAL MORTGAGE LOAN.—The term ‘‘residential mortgage loan’’ means any loan primarily for personal, family, or household use that is secured by a mortgage, deed of trust, or other equivalent consensual security interest on a dwelling (as defined in section 103(v) of the Truth in Lending Act) or residential real estate upon which is constructed or intended to be constructed a dwelling (as so defined).


Given these definitions, I would say you would want to register your branch managers, unless like SF has pointed out, your are sure they would not do at least 5 "residential mortgaged" loans per year.

Has this been approved? Where can I find a link to the regulation?

Several prior threads (search for SAFE). Here's one with a link to another . There is also a link to the reg in one of them.

Banks have to comply 180 days after the effective date, which has not been set yet.

So I guess since the registration system is still not ready, even tho the state's rules (my state anyway) are effective 9-7-09, there's nothing to actually DO yet?

I don't know about your state's rules, but ours exempt loan originators in federally regulated depository institutions because we will have to follow the federal rules. The federal rules (if I understand correctly) will be effective 180 days after the registry is up and running.

our's don't exempt FI loan originators, but pretty much mirrors the Federal rules. I am just guessing that until the national registry is up and running, we're just waiting?