How to Become a Loan Officer in Texas

The requirements to become a loan officer in Texas are pretty simple. In this blog post, we’ll outline the steps you’ll need to take to become a loan officer in Texas.

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Introduction

In order to become a loan officer in Texas, you will first need to obtain a license from the Texas Department of Savings and Mortgage Lending (TDSML). There are two types of licenses available:
1. A Mortgage Company License, which allows an individual to work for a mortgage company, and
2. A Mortgage Banker License, which allows an individual to work as a self-employed loan officer.
The requirements for each license are as follows:

Mortgage Company License:
-Be at least 18 years old
-Submit fingerprints for a criminal background check
-Complete 20 hours of pre-license education, which must include 3 hours of federal law, 2 hours of ethics, 2 hours of non-traditional mortgage lending, and 1 hour of undetermined legal topics
-Pass the national portion of the mortgage loan originator (MLO) test with a score of 75 or higher
-Pass the state portion of the MLO with a score of 40 or higher
-Submit a completed application and pay the associated fees

Mortgage Banker License:
-Be at least 18 years old
-Submit fingerprints for a criminal background check
-Complete 20 hours of pre-license education, which must include 3 hours each of federal law and ethics, 2 hours each or state law and nontraditional mortgage lending practices, and 1 hour each on Agency Law and Undetermined Legal Topics. If you have previously held a license from another state that required 8 hours less than what is required in Texas, you may be able to use those credits towards the Texas education requirements
-Pass the national portion of the MLO test with a score 75 or higher
-Submit a completed application and pay the associated fees

What Does a Loan Officer Do?

As a loan officer, you will be responsible for evaluating and approving loan applications. You will also need to consult with clients to determine their needs and recommend the best type of loan for them. In order to be successful in this role, you will need to have strong people skills and be able to work well under pressure.

Becoming a loan officer requires at least a bachelor’s degree, although many loan officers have a master’s degree or higher. You will also need to complete any required training and pass any relevant exams. In Texas, you will need to obtain a license from the Texas Department of Banking in order to work as a loan officer.

If you are interested in becoming a loan officer, then read on for more information about what this career entails and how you can become one in the state of Texas.

What Does a Loan Officer Do?
Loan officers are responsible for evaluating and approving loan applications. They consult with clients to determine their needs and recommend the best type of loan for them. In order to be successful in this role, loan officers need to have strong people skills and be able to work well under pressure.

Becoming a Loan Officer
In order to become a loan officer, you will need at least a bachelor’s degree. Many loan officers have a master’s degree or higher. You will also need to complete any required training and pass any relevant exams. In Texas, you will need to obtain a license from the Texas Department of Banking in order to work as a loan officer.

If you are interested in becoming a loan officer, then read on for more information about what this career entails and how you can become one in the state of Texas.

Steps to Becoming a Loan Officer in Texas

In order to become a loan officer in Texas, you will need to meet the education and experience requirements set forth by the Texas Department of Savings and Mortgage Lending. Once you have met these requirements, you will need to submit an application to the department and take and pass a written examination.

Step One: Research the Position of Loan Officer

Loan officers help people obtain loans from banks and other financial institutions. They assess the financial needs of their customers and advise them on the best loan products for their circumstances. Loan officers typically work in banks, credit unions, and other financial institutions. Some may also work for brokerages, insurance companies, and real estate firms.

To become a loan officer in Texas, you will need to complete a few steps. First, you will need to research the position of loan officer and make sure that it is the right fit for you. Second, you will need to complete the necessary education and training requirements. Third, you will need to obtain a license from the Texas Department of Banking. Finally, you will need to find a job with a bank or other financial institution.

Step One: Research the Position of Loan Officer
To become a loan officer in Texas, you will first need to research the position and make sure that it is the right fit for you. A loan officer is responsible for assessing the financial needs of their customers and advising them on the best loan products for their circumstances. Loan officers typically work in banks, credit unions, and other financial institutions. Some may also work for brokerages, insurance companies, and real estate firms.

As a loan officer, you will be expected to maintain close relationships with your customers and keep updated on new loan products that may benefit them. You should be able to work independently as well as part of a team. Excellent communication skills are essential, as you will be dealing with customers on a daily basis.

If you are interested in becoming a loan officer in Texas, then research is step one!

Step Two: Get the Necessary Education

After you have completed the first step of becoming a loan officer in Texas (gathering the necessary experience), you will need to obtain the proper education. There are a few different ways that you can go about doing this.

The first option is to complete a degree at a traditional college or university. Many students choose to complete a degree in finance, accounting, business, or economics. While this is not required, it can give you a strong foundation of knowledge that will be beneficial in your career as a loan officer.

Another option is to complete an online program specifically for loan officers. These programs are shorter and typically focus solely on the topics that are relevant to your career. These programs can be completed in as little as six months, which makes them a great option for busy adults who want to get started in their careers quickly.

In order to become licensed as a loan officer in Texas, you will need to pass the state’s licensing exam. This exam covers topics such as ethics, federal regulations, and state laws. You can find study materials for the exam online or through your local library.

Once you have passed the exam, you will need to submit an application to the state along with the appropriate fee. Once your application has been approved, you will be officially licensed as a loan officer in Texas!

Step Three: Get Licensed

loan officers in Texas must be licensed by the state. The Texas Department of Savings and Mortgage Lending (SML) is responsible for issuing licenses to loan officers and regulating the loan officer industry in Texas.

To qualify for a license, loan officers must first pass the SAFE Mortgage Loan Officer Test. The SAFE mortgage loan officer test is administered by Prometric. Prometric is an independent testing company that provides testing and licensing services for a variety of professions nationwide.

Loan officers must also complete 20 hours of pre-license education from a state-approved provider. After completing the pre-license education and passing the SAFE test, loan officers can apply for a license through the NMLS. The NMLS is an online system that manages licensing for mortgage professionals in all states except California.

Loan officers will need to submit fingerprints, pass a background check, and pay a licensing fee to the SML through the NMLS. Once licensed, loan officers must complete 8 hours of continuing education every year to renew their license

Step Four: Consider Getting Certified

In Texas, as with most other states, there is no specific certification required to become a loan officer. However, completing the Loan Officer Basic Principles and Practice course offered by the Mortgage Bankers Association of America (MBAA) can help you stand out among your competition and make you a more appealing candidate to potential employers. Although the MBAA certification is not required, it can only help your career prospects.

Step Five: Start the Job Hunt

After you have completed the required education and exams, you will need to start the job hunt. Look for job postings online, in newspapers, or through loan officer placement agencies. When applying for a position, make sure to point out your previous experience in customer service and sales, as well as your ability to work under pressure and meet deadlines. Many loan officers start their careers as loan officer trainees, working their way up the ladder.

Conclusion

In order to become a loan officer in Texas, you will need to complete the following steps:

1. Research the requirements to become a licensed loan officer in Texas.

2. Complete a Loan Officer Training Program approved by the NMLS.

3. Pass the National Mortgage Licensing System (NMLS) exam.

4. Submit your application for licensure to the NMLS.

5. Complete continuing education courses as required by the NMLS.