PDFWAC 208-660-600

Administration and facilitation of prelicensing and continuing education.

(1) Who may offer prelicensing and continuing education courses to principals, designated mortgage brokers, and loan originators? Prelicensing and continuing education is offered by course providers and courses approved through NMLS.
(2) On what topics of education will I be tested?
(a) Prelicensing education. The topics of education will be federal law and regulations, ethics (fraud, consumer protection, fair lending) and lending standards for the nontraditional mortgage marketplace.
(b) Continuing education. The topics of education will be the same as for prelicensing education, plus Washington specific topics.
(3) What specific topics should I study in preparation for any of the required tests?
(a) General.
(i) Ethics in the mortgage industry.
The responsibilities and liabilities of the profession including instruction on fraud, consumer protection, and fair lending issues.
(ii) Lending standards for nontraditional mortgage products.
(iii) Arithmetical computations common to mortgage lending including without limitation, the computation of annual percentage rate, finance charge, amount financed, payment and amortization.
(b) Compliance and internal audit standards.
Proper use and application of the department's published standards and guidelines for examinations.
Internal audit and compliance practices, standards, methods and procedures.
Developing policies and procedures for regulatory compliance.
Responding to regulatory inquiries, directives, subpoenas and enforcement orders.
Training and supervision of mortgage professionals.
Establishing, managing, reconciling and reviewing a trust account (trust account compliance under the act and these rules).
(c) Washington law and associated regulations.
The Mortgage Broker Practices Act.
The Consumer Protection Act.
The Escrow Agent Registration Act.
The Usury Act.
Unfair practices with respect to real estate transactions (RCW 49.60.222).
Mortgage, deed of trust, and real estate contract statutes set forth in Title 61 RCW.
Real estate and appraisal law, including without limitation, the provisions of chapters 18.85 and 18.140 RCW.
Washington principal and agent law.
Any subsequent act or regulation applying to mortgage brokers.
(d) Federal law and associated regulations.
The Real Estate Settlement Procedures Act.
Truth in Lending Act.
Equal Credit Opportunity Act.
Fair Credit Reporting Act.
Fair Housing Act.
Home Mortgage Disclosure Act.
Community Reinvestment Act.
Gramm-Leach-Bliley Act.
Home Ownership Protection Act.
Bank Secrecy Act.
Appraisal regulations.
Underwriting.
The S.A.F.E. Act (Title V of the Housing and Economic Reform Act of 2008 ("HERA")) Public Law No. 110-289.
Any subsequent act or regulation applying to mortgage brokers.
(e) Mortgage services and products.
Conventional.
Reverse mortgages.
FHA mortgages.
VA mortgages.
Nonprime mortgages.
[Statutory Authority: Chapter 43.320 RCW and RCW 19.146.223. WSR 12-18-048, § 208-660-600, filed 8/29/12, effective 11/1/12. Statutory Authority: RCW 43.320.040, 19.146.223, and 2009 c 528. WSR 09-24-091, § 208-660-600, filed 12/1/09, effective 1/1/10. Statutory Authority: RCW 43.320.040, 19.144.070, 2008 c 109. WSR 09-01-156, § 208-660-600, filed 12/23/08, effective 1/23/09. Statutory Authority: RCW 43.320.040, 19.146.223. WSR 08-05-126, § 208-660-600, filed 2/20/08, effective 3/22/08. Statutory Authority: RCW 43.320.040, 19.146.223, 2006 c 19. WSR 06-23-137, § 208-660-600, filed 11/21/06, effective 1/1/07.]