Written by Paul Donohue Statement of Purpose The purpose of this course is to help raise the level of professionalism in the mortgage lending industry, provide protections for NC consumers when obtaining a mortgage loan and enhance the stability of North Carolina financial markets. This is a thorough review of the central anti-predatory lending statute, individual licensing requirements and the various consumer protection laws specific to the NC mortgage industry. Through lecture, quizzes and discussion the student will explore various restrictions, duties of care, obligations for providing information to consumers and requirements to obtain and maintain proper licensure in North Carolina. 4-Hour NC SAFE PE North Carolina Mortgage Law and Duties of Care NMLS Course Numbers 1026 & 1025 Objectives: This NC specific four-hour course has been developed in order to help the student to: •  satisfy all the SAFE Act pre-license education for NC •  prepare for the NC state test component •  properly execute their duties of care for NC •  understand the high cost lending restrictions on NC home loans •  know and calculate properly the limits on points and fees •  incorporate NC specific disclosures into their lending practices •  embrace the principles for responsible lending and sustainable home ownership in North Carolina Section I: The SAFE Mortgage Lending Act (MLA) (Article 19B) •   Mortgage Broker Duties (NC, G.S.53-244.109) •   Prohibited Acts (G.S. 53-244.111) •   Foreclosure Suspension (G.S. 53-244.117) •   Reverse Mortgage Act (G.S. 53-255) •   NC Administrative Rules (04-NCAC O3M) •   Regulation of Mortgage Servicing Section II: Chapter 24 - Interest and Predatory Lending Restrictions •   Contract Rates on First Mortgage Home Loans (GS 24-1.1A) •   Permitted Fees and Charges – Predatory Lending Act (PLA) •   High Cost Home Loans; Restrictions and Limitations (GS24-1.1E) •   Rate Spread Home Loan – definition and Duties (G.S.24-1 .1F) •   Notice of Amortization Section III: Duties, Restrictions and Consumer Protections •   The Residential Mortgage Fraud Act (Chapter 14, Article 20A) •   Nontraditional Mortgage Guidance •   Emergency Foreclosure Reduction Program (Chapter 45, Article 11) •   Duty of Lender (G.S. 45-5) •   Net Branching (Declaratory Ruling 2003-1)