SECTION .0200 - AUTHORIZATION OF REVERSE MORTGAGE LENDERS
04 NCAC 03K .0201 APPLICATION FOR AUTHORIZATION AS A REVERSE MORTGAGE LENDER
(a) No person shall make reverse mortgage loans pursuant to the Reverse Mortgage Act without first obtaining authorization from the Commissioner. An application for authorization to make reverse mortgage loans shall be obtained from the Commissioner and shall be filed pursuant to Rule .0101(b) of this Subchapter.
(b) The following fees shall be submitted with the application for authorization to make reverse mortgage loans:
(1) A non-refundable application fee made payable to the Commissioner in the amount set forth in G.S. 53-258(b);
(2) An annual fee made payable to the Commissioner as set forth in G.S. 53-258(d).
(c) The application shall be in writing and verified by the oath of the applicant.
(d) The application shall include:
(1) The applicant's Articles of Incorporation, or General or Limited Partnership Agreement;
(2) A Certificate of Existence or Certificate of Good Standing, not more than 90 days old, from the applicant's state of incorporation;
(3) A Certificate of Authority to do business in this State;
(4) A copy of the applicant's Certificate of Assumed Name;
(5) Disclosure of any criminal proceedings pending against or criminal convictions entered against the applicant, its partners, directors, principal officers or controlling persons;
(6) Disclosure of any civil proceedings pending against or civil judgments entered against the applicant, its partners, directors, principal officers or controlling persons which involve fraud or dishonesty;
(7) Disclosure of any civil judgments entered against the applicant, its partners, directors, principal officers or controlling persons during the past 10 years which have remained partially or wholly unpaid;
(8) Disclosure of the following proceedings involving the applicant: bankruptcy, assignment for the benefit of creditors, receivership, conservatorship or similar proceeding;
(9) Disclosure of enforcement proceedings by the Federal Housing Administration, Veterans Administration, Federal National Mortgage Association, or any other federal or state agency against the applicant, its partners, directors, principal officers or controlling persons which involve licensure or business activities as a mortgage broker or mortgage banker;
(10) A description of the applicant's business operations and organizational structure;
(11) The addresses at which the applicant intends to engage in business as a reverse mortgage lender, including branch offices and the name of the branch manager at each branch office;
(12) A description of the business experience, current business activities and education of the applicant, its partners, directors, principal officers and controlling persons;
(13) Three business references, including one bank reference.
(e) In addition to the documents and information described in Paragraph (d) of this Rule, the Commissioner may require additional information as necessary to make the findings required by G.S. 53-258 and G.S. 53-271.
(f) In the event of denial of an application, the Commissioner shall refund in full any annual fee paid pursuant to G.S. 53-258(d).
(g) Incomplete application files may be closed and deemed denied without prejudice when the applicant has not submitted information requested by the Commissioner within 30 days of the request.
History Note: Authority G.S. 53-258(a),(b),(d); 53-259; 53‑271(a);
Eff. January 1, 1995.