License Renewals/New Licenses

When will license renewals occur?
Renewals for ALL licensees will be as of July 1, 2009. It is expected that licensees will be notified about the renewal process no later than April of 2009. Licenses must be renewed prior to June 30, 2009.

Will there be a license renewal fee for the biennial renewal in July of 2009?
Licensees will pay NO FEE to renew licenses. License renewals will be required to be processed electronically using the Banking Online Services feature. Paper renewals will NOT be available. For information about signing up for Banking Online Services CLICK HERE.

Do applications for new licenses require a fee?
Yes. All new applications – those for new businesses, new branch offices and new individual licensees – require the payment of a non-refundable application fee. New applications or applications to re-register mortgage solicitors require the payment of a non-refundable application registration fee.

How much is the non-refundable application fee?
The non-refundable application fee is $700 for each new license with one business authority. Each additional business authority requires an additional non-refundable application fee of $300 per authority.

Will a correspondent mortgage banker continue to be required to file an annual report?
As in the past, a correspondent mortgage banker is required to file an annual report with the Division of Banking. Therefore, if you held an active license at any time during 2008 you are required to file an annual report. The report must be filed for the period of January 1, 2008 through December 31, 2008.

Are any questions on the annual report new to licensees who previously filed annual reports?
Questions are similar to those in previous annual reports. For correspondent mortgage bankers, it is important to pay particular attention to

• The dollar volume of NJ loans closed

Information must be collected from 1/1/08 through 12/31/08 and maintained to complete the annual report.

Is there a filing deadline for the annual report?
All annual reports must be filed no later than April 1, 2009 for the January 1, 2008 to December 31, 2008 reporting period. Annual reports are expected to be filed electronically over the Internet through the State's secure web site.

What is the penalty for filing the annual report late?
If the filing of the annual report is late, you may be subject to a late penalty of $50 for each day the annual report filing is late. The Division of Banking MUST have report information on ALL licensees in order to properly assess and bill all licensees. Therefore, the Division may act to suspend or revoke the license(s) of a licensee that continues to fail to file its required report.

What must a correspondent mortgage banker do to:

1) Change a licensed business address?

• Before filing for an address change be certain that the proposed location is in compliance with NJDOBI standards for acceptable office locations – refer to Bulletin No. 05-10 (PDF)
• Complete the change of address information on the reverse side of the actual wall license
• Enclose a copy of the deed, lease or rental agreement for the new business location (even if a residence) – Note: The agreement MUST BE executed between the licensee and the landlord/property owner. If a sublease is involved, there MUST BE written evidence of the landlord's knowledge and acceptance of the subleasing arrangement.
• Enclose an original executed rider to the surety bond reflecting the amended business address IF the principal New Jersey office is involved
• Return the above items to the Licensing Services Bureau, NJDOBI

Note: There is NO FEE to change a business address

2) Change a licensed business name?

• Complete the change of name information on the reverse side of the actual wall license(s)
• Enclose a copy of the amended Certificate of Incorporation, if a corporation; a copy of amended certificate of formation, if a limited liability company; a copy of amended or new trade name certificate if a partnership or sole proprietorship; an amended Certificate of Authority to do Business in New Jersey if a foreign corporation
• Enclose an original executed rider to the surety bond reflecting the amended name and/or the addition of a new alternate or doing business as name
• Return the above items to the Licensing Services Bureau, NJDOBI

Note: There is NO FEE to change a business name or to add a new doing business as or trade name

3) Obtain a duplicate license?

• Request and complete a lost license affidavit
• Return this affidavit to the Licensing Services Bureau, NJDOBI

Note: There is NO FEE to obtain a duplicate license or registration certificate

4) Convert to a mortgage broker or a mortgage banker?

• Complete a conversion application form
• Enclose a copy of the most recent annual report filing
• Enclose an unqualified audited financial statement prepared by a Certified Public Accountant or Public Accountant demonstrating the minimum required tangible net worth if converting to a mortgage banker - $250,000 for mortgage banker
• Enclose a fully executed, notarized Conversion Affidavit if converting to a mortgage broker
• Enclose all current wall licenses and mortgage solicitor certificates
• Return the above items to the Licensing Services Bureau, NJDOBI

Note: There is NO FEE to complete a conversion

5) Complete a change of control of direct ownership of the licensed business (25% or more)?

• Complete a change of control application
• Enclose a copy of the stock purchase agreement if a corporation or agreement to purchase ownership interest if a limited liability company as well as any other documents evidencing the change in ownership - Note: Partnerships and sole proprietorships cannot file changes of control - New application is required
• Enclose a copy of the corporate resolution or amended limited liability operating agreement showing the termination of officer/director/member positions and the appointments of new officers/directors/members
• Enclose completed personal certifications for each new officer, director, member and substantial stockholder/owner (owning more than 10% of stock/ownership interest)
• Return the above items to the Licensing Services Bureau, NJDOBI

Note: There is NO FEE to complete a change of control