Compliance isn’t optional; it’s the fence keeping fines, shutdowns, and lawsuits at bay. Screw up, and you’re paying $10K+ per violation while competitors sip IPAs. Lenders here juggle federal giants like TRID and state watchdogs demanding NMLS licenses. South Carolina‘s Mortgage Lending Act bites hard: no ads without real rates, disburse funds as promised, or else. Greenville’s boom, new builds in Mauldin, and flips downtown mean more eyes on you. Let’s dodge the traps with smirks, not sweat.
Step 1: Get Licensed or Get Lost
First rule: paper up via NMLS. The South Carolina Board of Financial Institutions wants companies, branches, and originators registered to file mortgage logs by March 31 each year, report HMDA data on every loan, or face audits.
Fees sting: $1K for lenders, national-style background checks. Greenville pros renew with 8 hours of education, one on SC laws. Skip it? No loans, period. Pro move: track deadlines like brewery releases.
Step 2: TRID Timing Tango
TILA-RESPA Integrated Disclosure rules your disclosures. Loan Estimate within 3 days of app, Closing Disclosure 3 days pre-sign. Miss by hours? $5K fines per loan.
Greenville buyers expect fast, and your team trains tight. No last-minute changes without re-disclosures. It’s paperwork ballet; trip, and CFPB dances on your wallet.
Step 3: Fair Lending Fence-Walk
ECOA and the Fair Housing Act ban bias, redlining, and rate hikes based on race. Ability-to-Repay rule proves borrowers can afford payments with documents, not wishes.
In SC, high-cost loans trigger extra scrutiny: no balloons, negatives, or flip fees. Greenville’s diverse mix of families and vets means document everything. One wrong denial? Lawsuits brew faster than local ale.
Step 4: Advertising Honesty Hour
Ads promising “lowest rates ever”? Prove it or pay. SC law: no bait-and-switch on rates, points, fees. LO Comp rules tie pay to loan terms only, no steering to junk.
Social posts count too. Greenville lenders plaster Facebook; regulators lurk. Truth sells, lies sink ships, and licenses.
Step 5: Record-Keeping Rigor
Keep files 3-5 years: apps, disclosures, wires. SC dropped physical office mandates, but digital must be bulletproof. Audits hit unannounced, shreddy proof ready?
Servicing adds rules: timely payments, error fixes. Outsource? Vendor compliance, too.
Step 6: Audits and Training Tune-Up
Annual staff training: 3 pre-license hours federal; SC-specifics ongoing. Mock audits catch slips. CFPB, FDIC watch federally; state Consumer Finance Division prowls locally.
Fines stack: $25K/day max. Greenville’s growth amps scrutiny, stay sharp.
Why Care in Greenville Now?
Market’s hot: low inventory, 6-7% rates push volume. One slip loses trust, clients, and cash. Compliant shops close faster, snag referrals. Slackers? Watch from the sidelines.
Ready to Stay Rule-Ready?
Ditch compliance chaos, Capital Mortgage Funding nails regs so you focus on loans. Greenville experts keep you licensed, trained, and fine-free. Call or stop by today to audit-proof your game; success awaits!
Capital Mortgage Funding Contact Info
Address: 100 Orchard Park Dr, Greenville, SC 29615
Phone: (864) 272-1000
Website: capitalmortgagefunding.com
Source: capitalmortgagefunding.com
Header Image Source: Photo by Andres Vera on Unsplash
