Become a mortgage loan officer in Texas
Here's how to earn your Texas mortgage loan originator (MLO) license through NMLS, step by step, and where to start your career once you're licensed.
- 20-hour SAFE education
- SAFE MLO test
- Texas SML license
The role
What a mortgage loan officer does
A mortgage loan officer, also called a mortgage loan originator (MLO), takes loan applications and helps borrowers choose a loan. Under the federal SAFE Act, anyone who does this must be licensed or registered through NMLS, the Nationwide Multistate Licensing System.
- Talk with clients about their goals and explain loan options in plain language.
- Take applications and review income, assets and credit.
- Work with processors, underwriters and title companies through closing.
How to get licensed
Your path to a Texas MLO license
These are the general steps to become a licensed residential mortgage loan originator in Texas. Requirements can change, so confirm the current rules with NMLS and the Texas SML before you start.
- 01
Complete 20 hours of SAFE education
Take NMLS-approved pre-licensing education: 3 hours of federal law, 3 of ethics, 2 of non-traditional mortgage lending and 12 of electives.
- 02
Pass the SAFE MLO test
Schedule the SAFE Mortgage Loan Originator Test through NMLS. It covers federal law and uniform state content, and a score of 75% or higher passes.
- 03
Background and credit checks
Authorize a criminal background check, with fingerprints, and a credit report through NMLS.
- 04
Apply for your Texas SML license
File the MU4 form in NMLS for a Texas residential mortgage loan originator license from the Texas Department of Savings and Mortgage Lending (SML). To originate, the company you work for sponsors your license.
- 05
Keep learning every year
Complete at least 8 hours of NMLS-approved continuing education each year and renew your license annually.
Pre-licensing education
What the 20 hours cover
The SAFE Act sets a minimum of 20 hours of NMLS-approved pre-licensing education for state-licensed MLOs. Courses are offered by NMLS-approved providers, online or in a classroom.
- 3 hours
- Federal law and regulations
- 3 hours
- Ethics, including fraud, consumer protection and fair lending
- 2 hours
- Non-traditional mortgage lending
- 12 hours
- Electives on mortgage origination
This guide is general information, not legal advice. For official requirements, see the NMLS Resource Center and the Texas Department of Savings and Mortgage Lending. Already licensed? See loan officer careers at HomyLoan and our training and education.
Ready to originate?
Open loan officer roles
Licensed and ready to grow? These loan officer roles are open at HomyLoan now.
Becoming a loan officer: FAQs
Complete 20 hours of NMLS-approved pre-licensing education, pass the SAFE MLO test, complete background and credit checks through NMLS, and apply for a Texas residential mortgage loan originator license with the MU4 form. To originate loans, your license must be sponsored by the licensed mortgage company you work for.
The 20 hours include 3 hours of federal law and regulations, 3 hours of ethics (covering fraud, consumer protection and fair lending), 2 hours of non-traditional mortgage lending and 12 hours of electives.
You need a score of 75% or higher on the SAFE Mortgage Loan Originator Test. If you don't pass, NMLS sets waiting periods before you can retake it.
Most Texas residential mortgage loan originators who work for mortgage companies are licensed by the Texas Department of Savings and Mortgage Lending (SML). You apply through NMLS using the MU4 form.
State-licensed MLOs, including those in Texas, must complete at least 8 hours of NMLS-approved continuing education each year, including federal law, ethics and non-traditional mortgage lending, to renew their license.
Each job posting lists its license requirement. Loan officer roles require an NMLS license to originate loans, so check the posting on our open positions page for details.
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