Professions and occupations; mortgage broker annual fees; effective date.
The bill's changes are intended to create a more equitable and manageable financial environment for mortgage brokers and lenders by aligning their license fees with the volume of loans they manage. The new fee structure will not only simplify the licensing process but also aim to foster compliance within the mortgage lending industry. Furthermore, this might help to regulate the industry more effectively, ensuring that practitioners can contribute adequately to the recovery fund designed for consumer protection.
House Bill 1883 aims to amend the existing laws related to the licensing and regulation of mortgage brokers and lenders in Oklahoma. The bill seeks to modify the annual assessment fees associated with these licenses, establishing a structured fee schedule based on the dollar volume of loans originated and serviced for residential real properties in the state. Beginning in 2025, the annual fees will range from a minimum of $1,000 to a maximum of $40,000, contingent upon the financial volume related to the broker's operations. This improvement is designed to ensure that fees reflect the actual business activity of mortgage lenders and brokers across Oklahoma.
Although the bill appears to have broad support, one potential point of contention could arise regarding the financial burden on smaller mortgage brokerage firms. As fees are calibrated towards higher volumes of transactions, smaller firms, which may not have similar loan volumes, could face challenges in meeting these new financial requirements. Debate may ensue concerning the adequacy of these fees and whether they disproportionately affect new entrants or smaller enterprises in the mortgage industry.