Is there a requirement to audit to ensure the information in the database for our MLO is still accurate on an annual basis?

Yes.

(f) Provide for independent testing for
compliance with this subpart to be
conducted at least annually by bank
personnel or by an outside party;

I have to start doing SAFE ACT audits and not sure exactly what I am doing. I have done some reading on Safe Act but a little confused on some issues. Do the MLO's have to have continuing education each year or just to get their MLO license?
Any tips on auditing would be greatly appreciated.

For your audit go to your regulator's Examination Manual and follow the exam procedures.

Whether the MLO will have to be licensed and take continuing education credits will be a matter of state law. In IN if the MLO works for an insured depository institution they do not have to be licensed or take continuing education credits.

Agree with Dan. We have a thrid party complete our audit, but it's a very simple one compared with many others.

Very topical. I just realized that it's time for our annual audit. I request our COO conduct it, based on the FDIC examination manual. (He has nothing to do with NMLS, so he's independent.) Even though our last audit was done by a third party, he's done the audit prior to that and we never had any issues. I'm sure that unless there are extreme issues, this is a low-priority item for the examiners.