A licensed mortgage entity is changing its name. Which of the following is true?

• A. The entity must be notified within ten days
• B. The license is automatically transferred
• C. A new license must be issued
• D. The entity must reapply for license

Answer: (A)

When a licensed mortgage entity changes its name, the regulator needs to update its records promptly to keep the license tied to the correct legal entity. The key point is to notify the licensing authority within ten days so they can amend the file and reflect the new name.

The license itself isn’t automatically transferred to the new name, and you don’t automatically get a new license or have to reapply just because of a name change. Instead, once you notify within the required window, the regulator typically updates the existing license record or issues an amended license, confirming the change in name. It’s essential to ensure signage, marketing materials, and public records match the new name to avoid confusion, while the licensure continues under the updated name.