Pub. 5 2010-2011 Issue 4

www.nebankers.org 16 Extraordinary Service for Extraordinary Members. welcome depth for an institution’s mortgage lending capabilities. Establish procedures to con- firm the accuracy of registra- tions and track compliance. Financial institutions must either mandate that each employee submit all of the information required for registration or submit the registration Q S.A.F.E. itself on behalf of the employee. The information can be extensive and challenging, if not impossible, for the institution to determine. For instance, the rules require applicants to disclose their involvement in any civil actions involving financial services-related activities, which could be difficult and costly for an institution to verify. The requirement that applicants disclose whether they have ever made false statements or omissions in violation of a regulation may be even harder for an institution to confirm. The practical solutionmay be for the financial institution to submit the regis- trations and renewals itself rather than limit its role to verifying the accuracy of the employee’s registration. Before assuming this responsibility, however, the institution should adopt policies and procedures that require employees to complete a questionnaire that covers all the information required for regis- tration as a condition of employment. The questionnaire should include an attestation to the accuracy of the infor- mation provided, and consent to allow the Registry to perform a background check and make certain information available to the public. Establish a process to review the employees’ criminal history andundertakeappropriateaction with applicable federal law. The rules require mortgage loan originators to submit their fingerprints, in digital form if practicable, to the FBI or any other governmental agency authorized to receive such information for purposes of performing a criminal background check. Many financial institutions already require new employees to be fingerprinted and submit the prints to the FBI. Fingerprints that are less than three years old can be used to satisfy this requirement. Again, given that compliance with the rules falls to the financial institutions, the institutions should be responsible for fingerprint- ing and submitting the prints to the FBI. Local law enforcement agencies often performfingerprinting on request from an organization and also can assist insubmitting theprints to theFBI. How- ever, it often takes time to obtain results from the FBI and the new requirement is likely to create an additional backlog. Therefore, institutions should begin planning for this process immediately. The applicable federal laws under which appropriate actionmust be taken specifically include Section 19 of the Federal Deposit Insurance Act. This we’re Always CLOSE BY NetWorks is the Electronic Funds Transfer (EFT) service provider that Nebraskans have used and learned to trust like family for over 30 years. Since our offices are right here in Nebraska, you can count on us to provide quick and personalized service for all of your EFT needs. Give us a call and let’s talk about how we can simplify EFT for you. You will talk with a fellow Nebraskan and not some automated system. www.netseft.com Toll Free 800-735-6833 Local 402-434-8202