March 17, 2005
Pennsylvania Proposes Mortgage Broker License
Licensing of mortgage companies' individual sales representatives can play a major role in a newly launched effort to reduce or eliminate the number of housing foreclosures in Pennsylvania caused by predatory lending practices.
Also important in the battle against the rising tide of foreclosures is better access to accurate loan information, and additional advance notification for homeowners facing loan defaults, says Greg Simmons. He is a Pittsburgh-area member of the advisory panel that participated in a new report on the problem unveiled Wednesday by the state Department of Banking.
"Right now, mortgage companies are licensed, but their sales representatives are not," said Simmons, program manager for anti-predatory lending for the Pittsburgh Community Reinvestment Group. "A bad sales representative can move within the company from one office to another, unless that representative is licensed, which would allow the department to revoke his or her license."
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