A subsidiary of a national bank wants to originate residential mortgage loans in Illinois. Under the Residential Mortgage License Act, this subsidiary:
Correct Answer
B) Must obtain a mortgage lender license because subsidiaries are not exempt entities
Under Illinois law, the exemption for federally chartered banks does not automatically extend to their subsidiaries. An operating subsidiary of a national bank that is a separate legal entity must obtain its own Illinois mortgage license.
Why This Is the Correct Answer
Under Illinois law, the exemption for federally chartered banks does not automatically extend to their subsidiaries. An operating subsidiary of a national bank that is a separate legal entity must obtain its own Illinois mortgage license.
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