Residential mortgage loan originators (MLOs) in Texas are required to complete a minimum of eight hours of continuing education annually to maintain their licenses, as mandated by Tex. Fin. Code §§157.015(a)(3) and 180.060. This requirement ensures that MLOs stay updated with industry practices, regulations, and ethical standards.

Failure to properly complete continuing education (CE), including engaging in inappropriate practices or allowing others to complete CE on one's behalf, violates the SAFE Act. Such violations can result in actions by the Department of Savings and Mortgage Lending (SML) or other state regulators, including license revocation and suspension.

The Conference of State Bank Supervisors (CSBS) has implemented advanced technologies to verify that CE requirements are met by the appropriate individuals. These systems confirm MLOs’ identities and ensure they personally complete their required education. Non-compliance is identified and addressed through enforcement measures.

A recent multi-state enforcement action involving multiple MLOs and Real Estate Educational Services (REES) highlights the seriousness of CE compliance. Fraudulent activities related to CE resulted in legal and regulatory consequences, underscoring the importance of adhering to prescribed educational standards.

MLOs are reminded to personally fulfill their CE requirements in accordance with NMLS Rules of Conduct, Tex. Fin. Code §§157.015(a)(3) and 180.060, and 7 Texas Administrative Code §81.106. For assistance with continuing education, contact the SML Licensing section via email at nmls@sml.texas.gov or call (512) 475-1350.