The February 2020 DBO Bulletin focuses on cybersecurity and licensee report reminders.
The California Department of Business Oversight (DBO) supervises, licenses and regulates a variety of financial institutions, including some real estate mortgage loan originators (MLOs) holding a Nationwide Multistate (or Mortgage) Licensing System & Registry (NMLS) license. Alongside the California Department of Real Estate (DRE), the DBO shares the responsibility for overseeing MLOs depending on their license use.
Licensees, catch up on the DBO news you need to know for the month of February.
Cybersecurity risk
The Federal Deposit Insurance Corporation (FDIC) and Comptroller of the Currency have jointly issued a Financial Institution Letter (FIL-3-2020) about cybersecurity risk. The letter focuses on fundamental risk management principles that can protect against cyberattacks. This includes techniques for reviewing, updating and testing incident response capabilities, protecting against unauthorized access and secure system configuration.
This security refresher comes on the heels of heightened cybersecurity risk in the United States, according to the agencies. By applying the letter’s techniques, licensees who provide financial services like escrow, mortgage loan origination and servicing can help reduce the risk and efficacy of cyberattacks.
Reminders
The DBO Bulletin also issues licensees a few reminders about upcoming deadlines.
NMLS licensees under the California Residential Mortgage Lending Act (CRMLA) need to submit their 2019 annual report by March 1, 2020. The report is to be completed online using the DBO self-service portal. Questions regarding the report may be addressed to CRMLA.Licensing@dbo.ca.gov.
2019 annual reports for licensees doing business under the California Financing Law (CFL), Property Assessed Clean Energy (PACE) program, and Responsible Small Dollar Loan (RSDL) program are due by March 15, 2020. The CFL report is to be completed on the DBO self-service portal. PACE and RSDL program administrators need to submit their annual report data using the electronic spreadsheets provided by the DBO.
California Deferred Deposit Transaction Law (CDDTL) licensees need to submit their 2019 Annual Report and Industry Survey by March 15, 2020. Again, this report also needs to be submitted through the DBO self-service portal. Questions regarding this report and survey may be addressed to RespondToCDDTL@dbo.ca.gov.
Lastly, MLOs need to submit their Residential Mortgage Loan Report (also known as the Holden Act Report) by March 31, 2020. The Holden Act Report is required of all state-licensed MLOs that do not report data to a federal or state regulatory agency. Instructions and reporting forms are available on the DBO website. Scan and email the forms to Holden.Inquiries@dbo.ca.gov. For questions regarding this report, contact the DBO by phone at 866-275-2677.
That’s a wrap on the February 2020 DBO Bulletin Digest! Don’t miss next month’s Digest; make sure you’re subscribed to the first tuesday Newsletter to get the latest real estate news and education straight to your inbox every week.
And as always, you can read the full DBO bulletin on their website.
