MCR FV6 Updates

MLG is Prepared for the Updated MCR (FV6) Standards, Are you?

ByDE Foote

MLG is Prepared for the Updated MCR (FV6) Standards, Are you?

As an NMLS Mortgage Call Report (MCR) Filer, MLG is responsible for filling on-time, compliant MCRs to state and federal agencies on behalf of their license maintenance clients. Therefore, when the Conference of State Bank Supervisors (CSBS) announced its implementation schedule for the updated version of the Mortgage Call Reporting process, File Version 6 (FV6), the Mortgage Licensing Group’s MCR support team dove head on into developing an expert understanding of those changes in preparation. The purpose of the FV6 revisions has been described as a standardization of mortgage company data at the state level, and a minimization of the required reporting outside the system.

By providing our readers with an assessment and overview of the MCR changes and the effects they will have, along with key links and preparatory resources for the FV6 implementation, we hope to illustrate the extensive complexities that MLG navigates on behalf of their maintenance clients MCR filings. With constantly shifting filing requirements and our mitigation of the inherent regulatory risks involved, the Mortgage Licensing Group’s clients are in good hands and can be assured that their MCRs are already on track for a successful, compliant, and on-time filing. If your company is in need of MCR support please call us at Toll Free (866) 576-7726.

NMLS Mortgage Call Report Filers recently received a series of emails from Dave Dwyer, Senior Vice President, Business Services of the CSBS, announcing the upcoming FV6 changes and offered suggestions and resources for preparing for compliant filing.

What we learned from these CSBS communications:

  • The changes coming with MCR FV6 will be effective April 1, 2024
  • FV6 will replace standard and expanded forms with a consolidated single form, which allows companies to easily identify applicable sections to be filed.
  • The update will help states eliminate reporting outside of NMLS and create consistency across companies, servicers and lenders now have their own section to complete
  • Quarterly financial filings must be submitted by lenders and servicers
  • Annual financial filings must be submitted by Brokers-only licensees
  • Use of the XML file to submit quarterly MCR data is not required but CSBS will provide a test submission option in January 2024 for companies that want to test their XML submission in NMLS prior to April. FV6 XML Submission Spec: View Spec Here
  • Training will be offered soon
  • NMLS will provide regular updates via the Mortgage Call Report page, targeted learning opportunities and Q&A sessions

Who is required to submit a Mortgage Call Report (MCR) through NMLS?

Companies that hold a state license or state registration through NMLS are required to complete an MCR. If you are unsure if your company is required you can review the State MCR Requirements Chart for state-specific details here.  Furthermore, Fannie Mae and Freddie Mac Seller/Servicers or Ginnie Mae Issuers must submit an Expanded MCR.

Download and review the sample MCRs that correspond with your business model:

What has to be submitted in the MCR? 

The MCR contains two components, the Residential Mortgage Loan Activity (RMLA) – This component collects application, closed loan, individual mortgage loan originator (MLO), Line of Credit, servicing, and repurchase information by state and the Financial Condition (FC) – This component collects financial information at the company level; it does not have to be completed for each state

How to prepare for Mortgage Call Reports?

Download an MCR Sample and the Field Definitions to review all of the fields required in the RMLA and FC components of the MCR. The practice worksheet has been designed to help you prepare and complete your quarterly MCR filings.

Additional resources that were offered to help Companies Comply with and File MCRs (a full summary of MCR Version 6 changes is available on the Mortgage Call Report page of the NMLS Resource Center:

  • MCR Business Activity Mapping Table [Excel]
  • Redline Comparison of V5 to V6 Field Definitions [Excel]
  • MCR Version 6 Sample [Excel]
  • XML file specifications (Use of the XML file to submit quarterly MCR data is not required)

In a follow up email titled: Helping Companies Understand Mortgage Call Report Form Version 6 Changes, we learned that the State Regulatory Registry (SRR) Board of Managers has asked state agencies to consider offering a grace period for the Q1 2024 filing submission as their statutes allow and that details for leniency to the filing deadline will be provided in future communications. NMLS will provide regular updates on the Mortgage Call Report page, targeted learning opportunities and Q&A sessions.

Updates will be disseminated once information on state agencies’ ability to offer leniency becomes available. In the mean-time the CSBS has dedicated staff to address questions you may have about the upcoming implementation of MCR FV6. Starting Monday, Nov. 6, you will be able to speak directly with a CSBS staff person every other Monday from 1 – 2 p.m. ET. or you can reach out via email out at any time to MCRV6@csbs.org and contact the NMLS Call Center during the Call Center’s operating hours (9 a.m. – 9 p.m. ET, Monday through Friday).

As a client of The Mortgage Licensing Group (MLG) you have the assurance of our industry leadership and years of experience dealing with the multi-state and federal regulatory bodies, strategic relationships and valuable insights into the processes governing compliant, on-time MCR filing. A hallmark of MLG’s contributions is their dedication to maintaining their knowledge and understanding of the changing regulations across all 50 states as well as development of programs that support new regulated finance related licenses.

If you are new to the industry or an established lender looking to reduce your stress, risk, and resources associated with maintenance requirements like MCRs consider a strategic relationship with The Mortgage Licensing Group.

Give us a call at (866) 576-7726 or check out the rest of our site at https://mymortgagelicense.com