California Financing Law

California Financing Law (contained in Division 9 of the California Financial Code, commencing with Section 22000.(Financial Code § 22000 et seq.)) requires the licensing and regulation of finance lenders and brokers making and brokering consumer and commercial loans, except as specified; prohibits misrepresentations, fraudulent and deceptive acts in connection with making and brokering of loans; and provides administrative, civil (injunction and ancillary relief) and criminal remedies for violations of the law. Effective October 4, 2017, the name of the “California Finance Lenders Law” changed to the “California Financing Law.” (Assem. Bill No. 1284 (2017-2018 Reg. Sess.) § 4.) Read more  About the California Financing Law.

How to reach us:

Department of Financial Protection and Innovation
Financial Services
320 W. 4th Street, Suite 750
Los Angeles, CA 90013

Phone: (866) ASK-CORP (275-2677)
Email: CFL.inquiries@dfpi.ca.gov

 Reports/Notice Requirements

CFL Annual Report for Calendar Year 2019

The Annual Report Form for Licensees engaged in Business under the California Financing Law (CFL) for Year Ended December 31, 2019, is now available.  The report must be completed online on the DFPI’s website at https://docqnet.dfpi.ca.gov/.  Licensees must log in to the self-service portal in order to complete the report.  The 2019 Annual Report must be filed with the DFPI by March 15, 2020.

Resources

Self-Service Portal on DOCQNET

DFPI Self Service Portal

The Department of Financial Protection and Innovation (DFPI) Self-Service Portal offers convenient online services to consumers and businesses seeking licensing information from DFPI. The Portal allows licensees to submit exemption notices and annual report information.

Portal users can search for licensees, applicants, notice filers, and search for securities and franchise filings and more.

Nationwide Multistate Licensing System (NMLS) Consumer Access

Nationwide Multistate Licensing System (NMLS) Consumer Access is a fully searchable website that allows the public to view information concerning state-licensed mortgage companies, branches and individuals currently licensed through Nationwide Multistate Licensing System(NMLS).

Information on CFL licensing requirements for companies and branches engaged in making or brokering loans secured by residential real property is also available in Nationwide Multistate Licensing System(NMLS).

Nationwide Multistate Licensing System(NMLS)

Nationwide Mortgage Licensing System Logo

An application for a license under the California Financing Law for residential mortgage providers (mortgage lenders, brokers, mortgage lenders and brokers, and mortgage loan originators) should be filed through the Nationwide Mortgage Licensing System (NMLS).

Please visit NMLS for additional information and state licensing requirements specific to the California Department of Financial Protection and Innovation.

California Financing Law – Forms and Applications

Finance Lenders

Licensing – Application

An application for a license under the California Financing Law for residential mortgage providers (mortgage lenders, brokers, mortgage lenders and brokers) should be filed through the Nationwide Mortgage Licensing System (NMLS). All other finance lenders should continue to file paper applications as directed.

Licensing – Other

Increased Access to Responsible Small Dollar Loans [SB 318 (Chapter 467, Statutes 2013)] – Pilot Program

Licensure Exemption for Non-Profit Organizations Facilitating Zero-Interest Consumer Loans

Statement Of Identity & Questionnaire

Responsible Small Dollar Loans Pilot Program

Senate Bill 318 (Chap. 467, Stats. 2013) was signed into law on October 1, 2013 and is operative January 1, 2014. The bill created the Pilot Program for Increased Access to Responsible Small Dollar Loans (RSDL) to increase the availability of responsible small dollar installment loans of at least $300 but less than $2,500. Finance lenders who are licensed underthe CFLL and approved by the Commissioner of the Department of Financial Protection and Innovation (Commissioner) to participate in the program may charge specified alternative interest rates and charges, including an administrative fee and delinquency fees, on loans of at least $300 but less than $2,500, subject to certain requirements. Licensees participating in the program are also permitted to use the services of a finder as defined in Section 22371 of the Financial Code.

Licensees under the former pilot program for affordable credit-building opportunities:

Effective January 1, 2014, Senate Bill 318 abolished the former Pilot Program for Affordable Credit-Building Opportunities (Senate Bill 1146 – Chap. 640, Stats. 2010). Licensees approved to participate under the former pilot program are transferred to and approved to participate in the Pilot Program for Increased Access to Responsible Small Dollar Loans without filing the application.

Approved by Charles Agbonkpolor 12/11/2019

Last updated: Oct 16, 2020 @ 4:53 pm