Just when you thought you understood the risks andrequirements
associated with a modern real estatelending program, here comes another
sweepingregulatory mandate designed to address problems in the mortgage
marketplace. The Secure and Fair Enforcement for Mortgage Licensing Act
of 2008 (SAFE Act), constitutes a major new housing law that will impact
both federal and state chartered credit unions as well as CUSO’s
that originate real estate loans.
The SAFE Act is designed to enhance consumer protection and reduce
fraud by requiring states to establish minimum standards for the
licensing and registration of mortgage loan originators.