Tips, Thoughts and Practices is an email/blog from AcuClix© sent to mortgage compliance professionals.

This blog will provide some specific issues, thoughts and observations regarding the ever changing world of Social Media compliance. We hope you find this information useful. Thank you. Michael J. Wallace, Esq. Chief Compliance Officer, AcuClix©.

ISSUE: SAFE Act with Social Media and Websites.

The SAFE Act requires, among other things, that MLOS disclose their NMLS number on all marketing material. This has been further defined to include business cards, rate sheets, open house material as well as all printed material. This requirement also applies the use of social media and Websites. We have found in our inspections that websites do not have the NMLS number or it is sometimes buried in the small print.

Many MLOS use Linked IN and Face Book yet the majority we have inspected do not include the NMLS number. While it is not required, we believe a best practice would be to connect the NMLS number by hot link to the NMLS-R consumer site (some States require this Washington and Virginia among others).

The balance between business purposes and purely personal is very narrow. We believe that prudent practice dictates that all sites in which the MLO indicates his/her business relationship include the NMLS number.

There are various Social Media expanding which are "Free" and do not require input from the MLO. These include Zoom, Zillow and others. If the MLO has no control then the lack of NMLS number is not an issue.

However, be aware that the MLO can use these free services and add content. Once that occurs, there is a responsibility to include the NMLS number.

We hope you find this information useful. Thank you.

Michael J. Wallace, Esq.
Chief Compliance Officer, AcuClix©.