Get licensed as a Broker or Lender in California under the California Finance Lender License through the California Department of Corporations. Total out of pocket costs including California state filing fees, surety bond premiums, and licensing services are as low as $1,650* through American Mortgage Licensing.
American Mortgage Licensing gets commercial lenders, consumer lenders, mortgage brokers, mortgage lenders and any other type of lending activity under the CFL License approved with the Department of Corporations on a daily basis. We open the door for greater opportunities by managing your entire licensing project and setting up all of the necessary paperwork and documentation that you will need to get approved as a California Finance Lender in as little time as possible. We do as much of the work as possible, so you can remain focused on your business.
What is the CFL License?
The CFL (California Finance Lender) License is regulated by the California Department of Corporations. The CFL license is a required license for many types of consumer and commercial lending activities. It may also be used for mortgage brokers and mortgage lenders as an alternative license other than the California DRE license and California (RMLA) licenses. It provides mortgage brokers and lenders with an exemption to other licenses and enables the licensees to function as mortgage brokers and lenders under the California Finance Law. The main stipulation is that the broker and lender involved in the transaction must both be licensed under the CFL.
What does this mean?
If you obtain a CFL license you can broker loans, but only to lenders who are also CFL licensed. The majority of lenders and banks in California have their CFL license.
What are the advantages in obtaining a CFL license?
If you are not brokering or making residential loans under this license, you can hire non-licensed sales agents to originate loans under your company license. However, all employees, both part-time and full-time, must be W2 employees. They cannot be contract (1099) employees. There are no exceptions to this rule. All residential loan originators must be licensed separately.
No physical office requirement. Applicants do not need to be from the state of California. Non-residential license applicants need to maintain a minimum net worth of $25,000 (Assets minus liabilities) and obtain and maintain a surety bond in the amount of $25,000. Applicants are not required to take classes nor pass a written exam. No specific lending experience is required. Residential mortgage applicants must maintain a net worth of $50,000 if brokering only, or $250,000 if funding residential loans. All mortgage loan originators must be licensed individually which includes taking 20 hours of pre-licensing NMLS approved education and passing both the national component NMLS exam as well as the California NMLS exam.
Who can apply for the CFL license?
Individuals, partnerships, associations, limited liability companies and corporations. According to the Department of Corporations many of the largest Fortune 500 companies have their CFL license.
What are the Fees?
|American Mortgage Licensing's services
|California Filing Fees
||$400 residential mortgages, $300 for non-residential
|Surety Bond Premiums
||$150 to $250*
* Bond fees are based on the applicant's personal credit score. Example above represents an applicant with good to excellent credit.
How do I Start the Process?
To begin your project immediately, contact American Mortgage Licensing at 469.688.8441, or use the form below. We will be happy to answer any questions you have on the CFL license. We license brokers and lenders in all fifty states.
We look forward to the opportunity to serve you. Please let us know what we can do for you.