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The Texas Department of Savings and Loans will now require more of licensed Loan Officers and Mortgage Brokers.  The SAFE Act will require all LO's and Brokers to apply with the state and a credit report will be pulled.  The state wants to see financial responsibility.  The following list are items that would cause the state to consider revoking their license:

• Bankruptcies filed within the last 10 years;
• Current outstanding judgments (except judgments solely as a result of medical expenses);
• Current outstanding tax liens or other government liens;
• History of and current collection accounts;
• Foreclosures within the past three years;
• Three or more accounts more than 90 days past due;
• Multiple Social Security Numbers attached to the individual's name;
• Consumer provided comments;
• No credit history for the individual;
• Credit items the individual is appealing, if noted in the report; and
• Outstanding child support.

Credit scores will not be considered but rather the over all financial picture.  Just having one item on this list will not cause the revoking of the license.  But each scenario will be case by case.  I am all for this decision.  Just like a Financial Advisor, we are advising clients on a major financial decision.  If that mortgage person has shown a poor financial history, he may not be the best person to get a mortgage from.  Please call or email me with any questions.