Banking

Mortgage Licenses

Mortgage License Types

Mortgage Registration Exemptions

Renewal Information

Amendments

Mortgage Licensing Links

Laws and Rules

Mortgage License Types

Mortgage Lender/Servicer License Requirements

This license is required for any company (including a sole proprietorship) who, for valuable consideration, originates, sells, or services mortgages, or holds himself, herself, or itself out as a person who, for valuable consideration, originates, sells, or services mortgages.

Mortgage Brokerage License Requirements

This license is required for any company (including a sole proprietorship) engaged in placing loans with investors for a fee but does not service such loans.

Exempt Mortgage Company Registration

This registration is optional and may be held by any company that is exempt from licensure under South Dakota Codified Laws (SDCL) 54-14-21 but employs individuals required to hold a Mortgage Loan Originator License under SDCL 54-14-13.

Nonresidential Mortgage Lender License

Pursuant to SDCL 54-14-13.5, any company that makes nonresidential mortgage loans ONLY must hold a mortgage lending license, but is exempt from other provisions of SDCL Chapter 54-14.

Mortgage Loan Originator License Requirements

This license is for any individual who, for compensation or gain, or in the expectation of compensation or gain takes a mortgage loan application or offers or negotiates terms of a mortgage loan.

Renewal Information

All mortgage licenses expire on December 31. Renewal requests must be filed through the Nationwide Multistate Licensing System (NMLS) by December 1 to avoid a late fee. Renewals will be handled through the NMLS. Correspondence containing instructions for renewal will be sent via the NMLS starting in October.

Amendments

If at any time the information that was submitted with the original NMLS filing changes, an amendment is required. The applicant must submit amendments using the NMLS. Find instructions for specific amendments, including required documentation to be sent outside of NMLS.

Mortgage License Exemptions

Under SDCL Chapter 54-14, several carve-outs allow certain entities or individuals to be exempted from the licensure requirements of SDCL Chapter 54-14. Please refer to SDCL 54-14-20 through 54-14-22 to determine eligibility for exemptions.

Mortgage Licensing Links

The NMLS website provides step-by-step instructions on how to access the system, guides on how to complete the MU Forms, each state’s transition plans and requirements, tutorials, current and future participating states, system alerts, system processing fees and general background information.