Broker Licensing Bill Gets Support From Mortgage Brokers

Central Valley Business Times (CA) (04/14/08)
Sen. Dianne Feinstein, D-Calif., has proposed creating minimum national standards for all residential mortgage brokers and lenders, in an attempt to crack down on the abusive lending practices that have fueled the crisis in the subprime mortgage market. Her legislation would also create a federal registry that would allow consumers to determine whether their broker-lender is professionally licensed; require brokers and lenders to pass 20 hours of approved courses, including consumer protection and subprime lending; and prevent people who have felony convictions from acting as brokers or lenders. There is only one way to stop bad actors, according to Feinstein. "And that's minimum federal standards," she says.