(a) This subchapter may be cited as “The Virgin Islands Secure and Fair Enforcement for Mortgage Licensing Act of 2009”.
(b) The activities of mortgage loan originators and the origination or offering of financing for residential real property have a direct, valuable and immediate impact upon Virgin Islands' consumers, Virgin Islands' economy, the neighborhoods and communities of Virgin Islands, and the housing and real estate industry. The Legislature finds that accessibility to mortgage credit is vital to the Virgin Islands' citizens. The Legislature also finds that it is essential for the protection of the citizens of the Virgin Islands and the stability of the Virgin Islands' economy that reasonable standards for licensing and regulation of the business practices of mortgage loan originators be imposed. The Legislature further finds that the obligations of mortgage loan originators to consumers in connection with originating or making residential mortgage loans are such as to warrant the regulation of the mortgage lending process. The purpose of this subchapter is to protect consumers seeking mortgage loans and to ensure that the mortgage lending industry is operating without unfair, deceptive, and fraudulent practices on the part of mortgage loan originators.
(c) Therefore, the Legislature establishes within this subchapter a system that:
(1) Provides uniform license applications and reporting requirements for State-licensed mortgage loan originators;
(2) Provides a comprehensive licensing and supervisory database;
(3) Aggregates and improves the flow of information to and between regulators;
(4) Provides increased accountability and tracking of loan originators;
(5) Streamlines the licensing process and reduces the regulatory burden;
(6) Enhances consumer protections and supports anti-fraud measures;
(7) Provides consumers with easily accessible information, offered at no charge, utilizing electronic media, including the internet, regarding the employment history of and publicly adjudicated disciplinary and enforcement actions against, loan originators;
(8) Establishes a means by which residential mortgage loan originators would, to the greatest extent possible, be required to act in the best interests of the consumer;
(9) Facilitates responsible behavior in the subprime mortgage market place and provides comprehensive training and examination requirements related to subprime mortgage lending; and
(10) Facilitates the collection and disbursement of consumer complaints on behalf of State and Federal mortgage regulators.