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Under the CRMLA, a lender wants to open a new branch office in another California city. What must the lender do BEFORE conducting business at the new location?

Correct Answer

A) Obtain a separate branch office license from the DFPI

CRMLA requires lenders to obtain a separate branch office license from the DFPI before conducting any business at a new branch location. Each branch must be individually licensed.

Answer Options
A
Obtain a separate branch office license from the DFPI
B
Notify the DFPI within 30 days after opening the branch
C
File a new CRMLA application as a separate entity
D
Register the branch with the local county recorder's office

Why This Is the Correct Answer

CRMLA requires lenders to obtain a separate branch office license from the DFPI before conducting any business at a new branch location. Each branch must be individually licensed.

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