Or. Admin. Code § 274-045-0230

Current through Register Vol. 63, No. 11, November 1, 2024

Section 274-045-0230 - Approved Lenders

(1) Any lending institution, as defined in ORS 407.177(8) may apply to become an Approved Lender by submitting to the Director of Veterans' Affairs (Director) information required by the Director which may include, but is not limited to the following for review:

(a) An application in the form prescribed by the Director, including a certificate of compliance with tax laws;

(b) Its counsel's opinion regarding power and authority of the lending institution to enter into a purchase agreement with the Director;

(c) A list of authorized officers;

(d) Its most recent, audited financial statements;

(e) Financial Statement of Condition (Balance Sheet) for the last two fiscal years and Profit and Loss Statement;

(f) Resumes of principal officers and key employees;

(g) Company biography and background;

(h) Signed and executed broker agreement;

(i) Resolution of the Board of Directors/Certificate of Authorized Signatures;

(j) Articles of Incorporation (if incorporated);

(k) Signed Credit Release Authorization;

(l) Applicable licenses as required by state and local law;

(m) Explanation of Quality Control Procedures;

(n) W-9;

(o) Any other documentation or information deemed necessary by the Director;

(p) A credit report fee may be charged to the mortgage broker as part of the approved lender application process in an amount not to exceed the amount charged by the credit-reporting firm. Any funds not used or obligated for a credit report shall be refunded.

(2) A lending institution will qualify as an Approved Lender if the Director determines that the applicant has the capability and resources to originate only or originate, underwrite and fund loans in a sound and professional manner. The Director shall consider such factors as those itemized in 274-045-0001(4)(a) through (l).

(3) To become an Approved Lender, a lending institution shall enter into an agreement with the Director, providing for the manner and terms of the sale or processing of loans. This agreement shall be in the standard form prescribed by the Director. Approved Lenders shall carry out such agreement in accordance with the procedures set forth in the agreement, the rules, and the Post Vietnam Era Veterans' Home Loan Origination Guide/Mortgage Brokers Loan Origination Guide. The Director may revise such procedures from time to time. The Director may terminate its agreement with an Approved Lender at any time on the terms and conditions stated in such agreement, the rules, or the Post Vietnam Era Veterans' Home Loan Origination Guide/Mortgage Brokers Loan Origination Guide.

Or. Admin. Code § 274-045-0230

DVA 2-2001, f. & cert. ef. 5-23-01; DVA 1-2020, temporary amend filed 01/21/2020, effective 01/22/2020 through 07/10/2020; DVA 6-2020, amend filed 07/10/2020, effective 7/11/2020

Publications: Publications referenced are available from the agency.

Statutory/Other Authority: ORS 406.005 & 407.115

Statutes/Other Implemented: ORS 407.075 to 407.385; Oregon Constitution Article XI-A, Section 3.