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During a Texas branch onboarding review, a sponsorship reviewer must resolve a question about licensing and NMLS authority. Which statement should control?

Correct Answer

A) Texas recognizes registered mortgage loan originators tied to depository institutions, Farm Credit System institutions, or regulated subsidiaries who are registered with NMLS rather than state-licensed.

Texas recognizes registered mortgage loan originators tied to depository institutions, Farm Credit System institutions, or regulated subsidiaries who are registered with NMLS rather than state-licensed.

Answer Options
A
Texas recognizes registered mortgage loan originators tied to depository institutions, Farm Credit System institutions, or regulated subsidiaries who are registered with NMLS rather than state-licensed.
B
Apply the Texas rule only to company licenses and never to individual MLO activity.
C
Handle sponsorship and employment status with an informal note rather than the required license, disclosure, filing, or record.
D
Use another jurisdiction's approval as a substitute for the Texas requirement.

Why This Is the Correct Answer

Texas recognizes registered mortgage loan originators tied to depository institutions, Farm Credit System institutions, or regulated subsidiaries who are registered with NMLS rather than state-licensed.

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