2020 Arkansas Code
Title 23 - Public Utilities and Regulated Industries
Subtitle 2 - Financial Institutions And Securities
Chapter 39 - Mortgage Loan Companies and Loan Brokers
Subchapter 5 - Fair Mortgage Lending Act
§ 23-39-503. License required — Licensee records

(a) It is unlawful for any person located in Arkansas other than an exempt person to act or attempt to act, directly or indirectly, as a mortgage broker, mortgage banker, loan officer, transitional loan officer, or mortgage servicer without first obtaining a license from the Securities Commissioner under this subchapter.

(b) It is unlawful for any person other than an exempt person to act or attempt to act, directly or indirectly, as a mortgage broker, mortgage banker, loan officer, transitional loan officer, or mortgage servicer with any person located in Arkansas without first obtaining a license from the commissioner under this subchapter.

(c) It is unlawful for any person other than an exempt person to employ, to compensate, or to appoint as its agent any person to act as a loan officer unless the loan officer is licensed as a loan officer or a transitional loan officer under this subchapter.

(d)

1. (1)

   1. (A) The license of a loan officer terminates when the loan officer's employment by or relationship with a mortgage broker or mortgage banker licensed under this subchapter terminates.

   2. (B) A transitional loan officer license terminates when the transitional loan officer's employment by or relationship with a mortgage broker or mortgage banker licensed under this subchapter terminates.

2. (2) When a loan officer or a transitional loan officer ceases to be employed by a mortgage broker or mortgage banker licensed under this subchapter or ceases to act as a loan officer or as a transitional loan officer, the mortgage broker or mortgage banker with which the person was affiliated or by which that person was employed shall notify the commissioner in writing within thirty (30) days from the date on which the loan officer or the transitional loan officer ceased to be employed or ceased activities as a loan officer or as a transitional loan officer.

3. (3)

   1. (A) A licensee that does not comply with subdivision (d)(2) of this section shall pay a late fee of two hundred fifty dollars ($250) for failure to timely notify the commissioner.

   2. (B) The late fee may be waived, in whole or in part, at the sole discretion of the commissioner and for good cause shown.

4. (4) A loan officer or a transitional loan officer shall not be employed simultaneously by more than one (1) mortgage broker or mortgage banker licensed under this subchapter.

(e) Each mortgage broker and mortgage banker licensed under this subchapter shall maintain a list of all loan officers and all transitional loan officers employed by the mortgage broker or mortgage banker and who engage or attempt to engage in business with any person in Arkansas.

(f) No person other than an exempt person shall hold himself or herself out as a mortgage banker, mortgage broker, mortgage servicer, loan officer, or transitional loan officer unless the person is licensed in accordance with this subchapter.