Ind. Code ch. 23-2.5-4

Ind. Code ch. 23-2.5-4
in effect

Ind. Code § 23-2.5-4-1 Loan broker license application requirements

Sec. 1. (a) An application for issuance or renewal of a loan broker license must contain the following: (1) Consent to service of process under section 9 of this chapter. (2) Evidence of the bond required by section 12 of this chapter. (3) An application fee of two hundred dollars ($200), plus one hundred dollars ($100) for each ultimate equitable owner. (4) An affidavit affirming that none of the applicant's ultimate equitable owners, directors, managers, or officers have been convicted, in any jurisdiction, of: (A) a felony during the previous seven (7) years; or (B) an offense involving fraud or deception that is punishable by at least one (1) year of imprisonment; unless the affidavit is waived by the commissioner under subsection (b). (5) Evidence that the applicant, if the applicant is an individual, has completed the education requirements under IC 23-2.5-6. (6) The name and license number of each mortgage loan originator to be employed by the loan broker. (7) The name and license number of each manager to be employed by the loan broker. (8) The location of each loan broker office to be operated by the loan broker. If the loan broker operates only one (1) loan broker office or one (1) location at which mortgage loan origination activities occur, that location must be designated as the loan broker's principal place of business. (9) The name of the individual employed by the loan broker who will serve as branch manager for any branch office operated by the loan broker. (10) For each ultimate equitable owner, the following information: (A) The name of the ultimate equitable owner. (B) The address of the ultimate equitable owner, including the home address of the ultimate equitable owner if the ultimate equitable owner is an individual. (C) The telephone number of the ultimate equitable owner, including the home telephone number if the ultimate equitable owner is an individual. (D) The ultimate equitable owner's Social Security number and date of birth, if the ultimate equitable owner is an individual. (b) Upon good cause shown, the commissioner may waive the requirements of subsection (a)(4) for one (1) or more of an applicant's ultimate equitable owners, directors, managers, or officers. As added by P.L.175-2019, SEC.2. Amended by P.L.89-2024, SEC.9.

Ind. Code § 23-2.5-4-3 Mortgage loan originator license application requirements

Sec. 3. (a) An application for issuance or renewal of a mortgage loan originator license must be made on a form prescribed by the commissioner. (b) An application under subsection (a) must include the following information for the individual who seeks to be licensed as a mortgage loan originator: (1) The name of the individual. (2) The home address of the individual. (3) The home telephone number of the individual. (4) The individual's Social Security number and date of birth. (5) The name of the: (A) loan broker; or (B) applicant for a loan broker license; for whom the individual will act as a mortgage loan originator. (6) Consent to service of process under section 9 of this chapter. (7) Evidence that the individual has completed the education requirements described in IC 23-2.5-6. (8) An affidavit completed in the manner prescribed by the commissioner stating the address of each location where the individual intends to habitually or repeatedly conduct mortgage loan origination activities. (9) An application fee of fifty dollars ($50). (10) All: (A) registration numbers previously issued to the individual under IC 23-2-5, if the applicant was registered as an originator under IC 23-2-5 before its repeal on July 1, 2019; and (B) license numbers previously issued to the individual under IC 23-2-5 (before its repeal) or this article. (11) An indication as to whether the mortgage loan originator is the branch manager of a loan broker office and the address of the loan broker office. (12) Written authorization for the commissioner or an agent of the commissioner to obtain a consumer report (as defined in IC 24-5-24-2) concerning the individual. As added by P.L.175-2019, SEC.2. Amended by P.L.89-2024, SEC.11.

Ind. Code § 23-2.5-4-4 Branch office license application requirements

Sec. 4. (a) An application for issuance or renewal of a branch office license must be made on a form prescribed by the commissioner. (b) An application under subsection (a) must include the following information for the location for which licensure as a branch office is sought: (1) The address of the branch office. (2) The name and license number of the manager who will be designated by the loan broker to supervise the branch office. (3) The name and license number of the individual who will be designated to act as branch manager of the branch office. (4) An application fee of seventy-five dollars ($75). As added by P.L.175-2019, SEC.2. Amended by P.L.89-2024, SEC.12.

Ind. Code § 23-2.5-4-5 Issuance and renewal of license

Sec. 5. (a) The commissioner shall issue a license and license number to an applicant for a license issued under this chapter if the applicant meets the applicable licensure requirements under this chapter. (b) A license issued under this chapter expires on December 31 of the year during which the license is issued. (c) If an initial or a renewal application for a license is denied or withdrawn, the commissioner shall retain the application fee paid. As added by P.L.175-2019, SEC.2.

Ind. Code § 23-2.5-4-6 License renewal required

Sec. 6. (a) A licensee under this chapter may not continue to: (1) act as a loan broker or mortgage loan originator; or (2) operate as a branch office; unless the licensee annually renews the license. (b) A licensee under this chapter shall renew the license by: (1) filing with the commissioner, before the date on which the license expires, an application containing any information the commissioner requires to indicate any material change from the information contained in the applicant's original application or any previous application; and (2) including, with the filing under subdivision (1), the applicable application fee specified in this chapter. As added by P.L.175-2019, SEC.2. Amended by P.L.158-2022, SEC.1; P.L.89-2024, SEC.13.

Ind. Code § 23-2.5-4-7 Mortgage loan originator license; effective only with employment; transfer of license; notice of termination

Sec. 7. (a) The license of a mortgage loan originator is not effective during any period during which the mortgage loan originator is not employed by a loan broker that is licensed under this article. (b) If a licensed mortgage loan originator seeks to transfer the licensee's license to another loan broker who desires to have the licensee act as a manager or mortgage loan originator, whichever applies, the licensee shall, before acting as a manager or mortgage loan originator for the new employer, submit to the commissioner, on a form prescribed by the commissioner, a license application required by section 3 of this chapter. (c) If the employment of a manager or mortgage loan originator by a loan broker is terminated: (1) voluntarily by the manager or mortgage loan originator; or (2) by the loan broker employing the manager or mortgage loan originator; the loan broker shall, not later than five (5) days after the date of the termination, notify the commissioner of the termination and the reasons for the termination. As added by P.L.175-2019, SEC.2. Amended by P.L.89-2024, SEC.14.

Ind. Code § 23-2.5-4-8 Notice of change in material fact or statement in license application

Sec. 8. (a) If a material fact or statement included in an application for a license under this chapter changes after the application has been submitted, the applicant shall provide written notice to the commissioner of the change. (b) The commissioner may deny issuance, revoke, or refuse to renew a license under this article if the applicant or licensee: (1) fails to provide the written notice required by this section within two (2) business days after the date on which the applicant or licensee discovers or should have discovered the change; or (2) is not qualified for licensure under this article as a result of the change in a material fact or statement. As added by P.L.175-2019, SEC.2.

Ind. Code § 23-2.5-4-9 Agent for service of process

Sec. 9. An applicant for licensure, or renewal of a license, under this chapter shall file with the commissioner, in a form prescribed by the commissioner, an irrevocable consent appointing the secretary of state as the applicant's agent for service of process in any noncriminal suit, action, or proceeding against the applicant arising from the violation of this article. Service shall be made in accordance with the Indiana Rules of Trial Procedure. As added by P.L.175-2019, SEC.2.

Ind. Code § 23-2.5-4-10 National criminal history background check

Sec. 10. (a) At the time of application for an initial license under this chapter, the commissioner shall require the following to submit fingerprints for a national criminal history background check (as defined in IC 10-13-3-12) for use by the commissioner in determining whether the equitable owner of a loan broker, an individual described in subdivision (1), or the applicant should be denied issuance of a license under this chapter for a reason set forth in IC 23-2.5-11-1 or IC 23-2.5-11-2: (1) In the case of an applicant for licensure as a loan broker, each ultimate equitable owner, equitable owner, director, manager, and officer. (2) An applicant for licensure as a mortgage loan originator. (b) Every three (3) years at the time of application for renewal of a license issued under this chapter, beginning with the third calendar year following the calendar year during which the initial license is issued, the commissioner shall require the following to submit fingerprints for a national criminal history background check (as defined in IC 10-13-3-12) for use by the commissioner in determining whether the equitable owner of a loan broker, an individual described in subdivision (1), or the applicant should be denied renewal of a license under this chapter for a reason set forth in IC 23-2.5-11-1 or IC 23-2.5-11-2: (1) In the case of an applicant for licensure as a loan broker, each ultimate equitable owner, equitable owner, director, manager, and officer. (2) An applicant for licensure as a mortgage loan originator. (c) The individual whose fingerprints are submitted under this section shall pay any fees or costs associated with the fingerprints and background check required by this section. (d) The commissioner may not release the results of a background check required by this section to any private entity. As added by P.L.175-2019, SEC.2. Amended by P.L.89-2024, SEC.15.

Ind. Code § 23-2.5-4-11 Financial responsibility of applicant

Sec. 11. In reviewing a consumer report obtained under section 3(b)(12) of this chapter, the commissioner may consider one (1) or more of the following in determining whether the individual applicant has demonstrated financial responsibility: (1) Bankruptcies filed by the individual during the most recent ten (10) years. (2) Current outstanding civil judgments against the individual, except judgments resulting solely from medical expenses owed by the individual. (3) Current outstanding tax liens or other government liens or filings. (4) Foreclosure actions filed during the most recent three (3) years against property owned by the individual. (5) Any pattern of seriously delinquent accounts associated with the individual during the most recent three (3) years. As added by P.L.175-2019, SEC.2. Amended by P.L.89-2024, SEC.16.

Ind. Code § 23-2.5-4-12 Electronic surety bond

Sec. 12. A loan broker shall maintain an electronic surety bond that: (1) is satisfactory to the commissioner; (2) is in the amount of sixty thousand dollars ($60,000); and (3) covers the activities of each manager and mortgage loan originator employed by the loan broker. As added by P.L.175-2019, SEC.2. Amended by P.L.89-2024, SEC.17.

Ind. Code § 23-2.5-4-13 Evidence of compliance

Sec. 13. (a) The commissioner may request evidence of compliance with this chapter at any of the following times: (1) The time of application for an initial license. (2) The time of renewal of a license. (3) Any other time considered necessary by the commissioner. (b) For purposes of subsection (a), evidence of compliance with this chapter must include a criminal background check, including a national criminal history background check (as defined in IC 10-13-3-12) by the Federal Bureau of Investigation. As added by P.L.175-2019, SEC.2.

Ind. Code § 23-2.5-4-14 Unique identifier; use restricted

Sec. 14. A unique identifier obtained by an individual from the Nationwide Multistate Licensing System as required by IC 23-2.5-3-1, IC 23-2.5-3-2, and IC 23-2.5-3-3 may not be used for purposes other than the purposes set forth in the S.A.F.E. Mortgage Licensing Act of 2008 (Title V of P.L.110-289). As added by P.L.175-2019, SEC.2.
Source: Open US Law by Vaquill AI (CC BY 4.0)URL: https://iga.in.gov/laws/2026/ic/titles/23Fetched: 10/17/2026