How do Utah statutes define who can hold the PLM position in a licensed mortgage firm?

• A. The PLM is a designated supervisor responsible for compliance and oversight of the lending operation.
• B. Any licensed loan originator can hold the position.
• C. A vendor or external consultant can hold the position.
• D. The borrower may hold the PLM position.

Answer: (A)

Utah statutes define the Principal Lending Manager as the designated supervisor within a licensed mortgage firm who is responsible for compliance and oversight of the lending operation. This person is the internal authority who ensures all mortgage activities meet Utah law, regulatory rules, and applicable federal requirements. The PLM establishes and enforces policies and procedures, supervises loan originators and the origination process, oversees training, quality control, disclosures, and recordkeeping, and acts as the primary contact for regulatory exams and investigations. The role is tied to the license and performed by a designated supervisor employed by the licensee, not by an external vendor, consultant, or the borrower.