- Home
- Financial Regulators – Who They Are and What They Do
Financial Regulators – Who They Are and What They Do
What is the Primary Purpose of Regulatory Agencies?
Financial regulatory agencies are government agencies or independent organizations responsible for enforcing laws and regulations, overseeing market activities, and protecting consumers and investors.
There are severalregulatory agenciesthatoversee the activities of banks, credit unions, and savings & loan associations. Various regulators oversee the mortgage industry, the insurance industry, and the stock markets.
By overseeing and regulating financial markets and institutions, these financial regulators serve to uphold the integrity of the financial markets, ensuring stability, transparency, and fairness.
Who are financial regulators?
Many financial regulatory agencies exist in the world. In the US,notable securities regulatorsinclude the Securities and Exchange Commission (SEC), which has six divisions and 24 offices, and the Commodity Futures Trading Commission (CFTC).
Other financial regulators that review the banking industry include the Federal Reserve System (“the Fed”),Federal Deposit Insurance Corporation (FDIC), and Consumer Financial Protection Bureau (CFPB) for the protection of consumers.
Abroad, the Financial Conduct Authority oversees the UK markets. The European Central Bank has power over financial regulation in the European Union. Countries like Japan, South Korea, and India also have similar agencies to help oversee their markets.
Key Responsibilities
Financial regulators are in charge of overseeing financial markets to help keep them fair and stable. Financial regulators create or uphold regulations to help prevent and investigate fraud, maintain market efficiency and transparency, and ensure customers and clients are treated fairly and honestly.
Main responsibilities may vary, depending on the types of financial markets and institutions they oversee in their jurisdiction. Here are key aspects of financial regulatory work:
- Monitor financial markets and institutions to detect and prevent fraudulent or illegal activity.
- Enforce laws and regulations related to financial services and products.
- Conduct investigations and bring legal actions against violators.
- Promote transparency and accountability in financial markets.
- Protect consumers and investors from fraud, misconduct, and abuse.
- Promote financial stability and manage risk.
Becoming a Financial Regulator
There are various reasons why you would want to become a financial regulator. You may have a passion for finance and economics or a true yearning to grow a career in the financial industry. Having a career in financial regulation can be intellectually challenging and financially rewarding.
Working as a Financial Regulator
A good education, training, and professional experience can help you become a financial regulator. Typically, some people start their careers as analysts or examiners. Later, they can get promoted to better positions. Other more experienced professionals may join as senior managers or executives.
Today’s modern financial regulators usually have advanced degrees in finance, economics, law, or related fields. They may have already worked in financial services before leveraging their experience into a regulatory role.
Button Component (Optional)
Professional development for organizations
Ongoing professional development, such as continuing education and certifications, is often necessary to keep up with changes in the industry and regulatory landscape. OurProfessional Development eLearning series helps to advance careers, so your organization can achieve even greater success.
Professional Development Solutions
Related Resources
Professional Development
New License
Tips for Creating a More Inclusive Workplace for LGBTQ+ Employees and Customers
As leaders of financial institutions, it’s important you know your role and how to create an inclusive workplace for LGBTQ+ employees and customers. June is Pride Month, a month where the LGTBTQIA community comes together and celebrates the freedom they have found in themselves. The month is named after Brenda Howard, a bisexual New York activist who organized the first Pride parade to commemorate the one-year anniversary of the Stonewall uprising. She was nicknamed the “Mother of Pride.”In honor of Pride Month, let’s start with understanding the community.CNNshared, “LGBT is an acronym meaning lesbian, gay, bisexual and transgender. The term sometimes is extended to LGBTQ, or even LGBTQIA, to include queer, intersex and asexual groups. Queer is an umbrella term for non-straight people; intersex refers to those whose sex is not clearly defined because of genetic, hormonal or biological differences; and asexual describes those who don’t experience sexual attraction.”Here are tips for how you can encourage inclusion within your financial institution.You may be asking yourself, “What does this have to do with me?” Well as leaders offinancial institutions, it is important to build an inclusive environment for both your employees and customers. Diversity, equity, and inclusion are pivotal each and every day.Tips for Creating an Inclusive Environment for LGBTQ+ CustomersCreate a community where LGBTQ+ members and allies alike can “come as they are” and enjoy a financial life that’s supported by a community that understands their hopes, dreams, and challenges. Consider theproducts you selland how they may (or may not) meet the needs of trans and nonbinary people. For example, consider how preferred names can be used without a cumbersome or uncomfortable process.Recognize that your employees and customers are not all traditional white families with two kids. Modern families are made up of diverse people, and your institution’s culture and services should be reflective of the community. Customers prefer to do business with companies that have an authentic interest and support in their community.Being a supporter of a community means always doing so, especially in those seemingly quiet, low-profile moments when you have an opportunity to stand for what you believe in— even when there is nothing financially to gain from it.If you want to welcome the LGBTQ+community as customers, include them in your marketing.Promote your organization as LGBTQ+ inclusive – ensure that your LGBTQ+ inclusive information is accessible on your website and communicate LGBTQ+ good news stories on social media.How to Build an Inclusive Culture for LGBTQ+ EmployeesSupport and celebrate your employees’ differences. Being heard is great butbeing celebrated is even betterso invite your employees and customers to share what makes them unique. It’s all about listening and making sure your team members feel heard.Diversity isn’t the same as inclusivity. Let’s say that again. Diversity is NOT the same as inclusivity. Inclusivity is thenext stepto supporting a diverse workforce. An inclusive workplace culture can offer far greater benefits for your institution, like increased innovation and productivity.Remember that being LGBTQ+ is aboutbeing authenticand not having to lie or hide who we are. It’s about living, loving, and expressing ourselves freely and openly, and that affects us all.Are your employees effectively trained? Diversity, equity, and inclusion training can make a positive impact on your workforce and community, especially when supported by leadership. Effective training is designed to address topics such as valuing diversity, unconscious bias, harassment, intimidation, and bullying prevention, as well as creating awareness of the sensitivity to social and racial identities.Take time to understand your staff. Seeking understanding will help ensure you effectively attend to the needs diverse employees may have. Employees who are better understood will be happier and more productive.Diversity, equity, and inclusion training for the LGBTQ+ community is just the start. Financial institutions need to better understand not only their employees but also the customers and communities they serve.Syntriopredicts that by 2050, minorities will be the majority of the nation’s population.The learning and education begin today!Interested in jumpstarting a Diversity, Equity, and Inclusion training program in your financial institution?Contact us todayto learn how OnCourse Learning can help support your training program initiatives.
New License
Top FAQs About How to Become a Mortgage Loan Officer
Becoming a mortgage loan officer (MLO) can be an exciting and rewarding career choice for those interested in finance and helping people achieve their homeownership dreams. This career path offers opportunities for growth and the potential for financial stability, but there are a few things to know before you get started.If you’re wondering how to become a mortgage loan officer, this article will answer some common questions and provide a general roadmap for what’s involved.What does a mortgage loan officer do?Mortgage loan officers, also known as mortgage loan originators, assist clients in obtaining mortgage loans to purchase or refinance properties. They evaluate loan applications, gather financial information from clients, analyze credit reports, and recommend loan products that best meet the clients’ needs. MLOs also guide clients through the loan application process, ensuring compliance with lending regulations.What are the educational requirements to become a mortgage loan officer?While there’s no specific educational requirement, most mortgage loan officers have a high school diploma, and many have a bachelor’s degree. Courses in accounting, finance, economics, and real estate can provide a solid foundation for this career.What are MLO licensure requirements?Mortgage loan officers must be licensed in the state where they work. Licensing requirements vary by state but typically include completing pre-licensing education, passing a licensing exam, and undergoing a background check. SinceMLO licensure requirementsvary by state, it’s essential to check the specific regulations for the state you plan to work in.Pre-licensure courses for mortgage loan officersare critical to achieving success early in your career, and passing the requiredNationwide Mortgage Licensing System(NMLS) exams.Is experience required to become a mortgage loan officer?While not always required, relevant experience in finance, banking, real estate, sales, customer service, or related industries can provide valuable insights and skills for aspiring mortgage loan officers that can help you succeed in this role.Is training involved for a mortgage loan officer?Many mortgage lenders provide on-the-job training for new loan officers. This training typically covers topics such as mortgage regulations, loan processing procedures, sales techniques, and customer service skills. Some MLOs also choose to pursueadditional trainingand certifications to enhance their skills and marketability.What skills are important for success as a mortgage loan officer?Successful mortgage loan officers possess strong communication skills, attention to detail, analytical thinking, problem-solving abilities, and sales acumen. Building relationships with clients, real estate agents, and other industry professionals is also crucial. This combination of technical, interpersonal, and sales skills, combined with the ability to work well under pressure can be vital to achieving long-term success as an MLO.How can I stay informed about changes in the mortgage industry?Continuing education is essential for mortgage loan officers to stay up-to-date on changes in mortgage regulations, market trends, and lending practices. Many mortgage lenders offer ongoing training and professional development opportunities for their loan officers.Continuing education coursesand professional development opportunities can help loan officers stay current and maintain their MLO licensure requirements.What are the career prospects for mortgage loan officers?The demand for mortgage loan officers is expected to remain steady, driven by factors such as population growth, housing demand, and mortgage refinancing activity. With experience and a track record of success, mortgage loan officers can advance to higher-paying positions or even start their own mortgage brokerage firms.How important is networking for MLOs?Networking is essential for finding job opportunities and staying up-to-date with industry trends. Building a strong network of contacts within the real estate and finance industries can be invaluable for mortgage loan officers. Attending industry events, joining professional associations, and connecting with other professionals through social media can help you expand your network and generate leads.Are there rewards and compensation in this career?Mortgage loan officer compensation typically includes a base salary plus commission, which is generally a percentage of the loan amount. The average salary varies based on experience, location, and performance, but the potential for high earnings through commission is significant. In 2024, theaverage estimated total payfor a mortgage loan officer in the United States is $132,078. Top performers can earn significant bonuses for closing high-value loans or meeting sales targets. A career as an MLO can be financially lucrative, but the most rewarding aspects of the job often come from the personal satisfaction of helping people secure a stable future through homeownership.What is the future outlook for the mortgage loan officer profession?From digital mortgage applications to blockchain technology, the landscape of mortgage lending is undergoing significant changes. However, despite economic fluctuations, the need for housing and homeownership remains. The year 2024 started with anupward trend in home buyingand that trend continuedthrough the first quarterof the year. The job market for MLOs is expected to stay robust, with potential for growth and opportunity in various sectors of the industry. Being adaptable and open to new technologies and processes will be crucial.What challenges do mortgage loan officers typically face?Market fluctuations, client expectations, and regulatory changes are common challenges in the mortgage industry. MLOs require the flexibility to adapt to economic downturns, interest rate changes, and housing market fluctuations, and find new ways to assist clients in securing viable loans. Managing client expectations, no matter the market conditionsrequires effective communication and a thorough understanding of options available to satisfy your clients. Staying informed and compliant with evolving mortgage industry regulations can be time-consuming and requires a commitment to ongoing education.Are there remote work opportunities for MLOs?Remote work opportunities are increasing, providing MLOs with more flexibility and the chance to work in different markets.With the right education, training, and skills, you can help make homeownership a reality for your clients while building a fulfilling and rewarding career for yourself. By fulfilling the MLO licensure requirements and continually honing your skills and knowledge, you can pave the way to a long and fulfilling career as a mortgage loan officer.Here are even more mortgage loan officer career insights, tips, and resources from the experts at OnCourse Learning.
Microlearning
Training
Discover how bank and credit union HR and training managers are leveraging AI for efficient training development and delivery.
'); } else { $('.promo-banner').html('
'); } } else { $('.promo-banner').html('
'); } } promoDiv.show(); } else { $('.promo-banner .desktop-show').hide(); } } else { if (customData[0].custom_image2 !== 'undefined' && customData[0].custom_image2.length != 0) { if (promoDiv.find('.mobile-show').length != 0) { if (customData[0].banner_link !== 'undefined' && customData[0].banner_link.length != 0) { if (customData[0].banner_link_checkbox !== 'undefined' && customData[0].banner_link_checkbox != 0) { $('.promo-banner .mobile-show').wrap(''); $('.promo-banner .mobile-show').attr('src', imagepath + customData[0].custom_image2); } else { $('.promo-banner .mobile-show').wrap('
'); } } promoDiv.show(); } } } else { promoDiv.hide(); } document.removeEventListener('scroll', bannerload); }, error: function (xhr, status, errorThrown) {bannerloaded = false; console.log('Error happened. Try again.'); } }); }} } $(window).on('load',function() { bannerload(); }); document.addEventListener("scroll", bannerload); }); require(["jquery"],function($) { $(document).ready(function(){ // Create a new div element var carA = $('
'); // Append the new div inside the parent $('.hero-2_track-a').append(carA); // Move all child elements of #parent into the new div $('.hero-2_track-a').children().appendTo(carA); // Create a new div element var carB = $('
'); // Append the new div inside the parent $('.hero-2_track-b').append(carB); // Move all child elements of #parent into the new div $('.hero-2_track-b').children().appendTo(carB); $('.hero-2_track-a').children().each(function(){ // Clone the current child element var clonedChild = $(this).clone(); var clonedChild2 = $(this).clone(); // Append the cloned child to the parent $('.hero-2_track-a').append(clonedChild); $('.hero-2_track-a').append(clonedChild2); }); $('.hero-2_track-b').children().each(function(){ // Clone the current child element var clonedChild = $(this).clone(); var clonedChild2 = $(this).clone(); // Append the cloned child to the parent $('.hero-2_track-b').append(clonedChild); $('.hero-2_track-b').append(clonedChild2); }); var isPlaying = true; $(document).on('click', '#playpauseButton', function(event){ var trackAElements = $('.hero-2_car-a, .hero-2_car-b'); var playIcon = $('#playIcon'); var pauseIcon = $('#pauseIcon'); trackAElements.each(function() { if (isPlaying) { $(this).css('animationPlayState', 'paused'); playIcon.show(); pauseIcon.hide(); } else { $(this).css('animationPlayState', 'running'); playIcon.hide(); pauseIcon.show(); } }); isPlaying = !isPlaying; }); $('.hero-2_visual-layout .pagebuilder-column-line').append(''); $('.pagebuilder_card .has_url').on('click', function() { var linkUrl = $(this).children('.link_url'); if (linkUrl.hasClass("target_blank")) { window.open(linkUrl.text()); } else { window.location.href = linkUrl.text(); } }); var contentHeight = $(".hero-banner div[data-content-type='text']").innerHeight(); var contentHeightH1 = $(".hero-banner div[data-content-type='text'] h1").innerHeight(); if ($(window).width()<768) { $('.hero-banner').append('
'); } else { if (contentHeight == contentHeightH1) { $('.hero-banner').append('
'); } else { $('.hero-banner').append('
'); } } $('div[data-content-type="accordion"] [data-element="heading_text"]').click(function() { //$('.pagebuilder-accordion-wrapper').not($(this).next()).slideUp(); $(this).toggleClass("accordion-active"); $(this).next().slideToggle(); }); }); $(window).on('load',function() { if ($(window).width()<=768) { $(".table-collapse table").each(function() { var headers = []; // Read all the headers and store them in an array $(this).find("th").each(function(index) { headers[index] = $(this).text(); }); // Iterate over each row in the tbody $(this).find("tr").each(function() { // For each row, iterate over its cells $(this).find("td").each(function(index) { // Add the data-text attribute to the td element if (!$(this).find("strong").length) { // Create a new div element var collapsibleContent = $('
'); // Append the new div inside the parent $(this).append(collapsibleContent); // Move all child elements of #parent into the new div $(this).children().appendTo(collapsibleContent); $(this).prepend("
"+headers[index]+"
"); } }); }); $(this).find("h4").click(function() { $(this).toggleClass("active"); $(this).next().slideToggle(); }); }); setTimeout(function(){ $("div[data-content-type='vertical-tabs']").each(function() { var tabTitle = $(this).find(".ui-state-active").find(".title-1").text(); $(this).find(".tabs-navigation").before("
"); $(this).find(".ui-tabs-anchor").each(function(index) { var fullHref = $(this).attr('href'); var hrefWithoutHash = fullHref.split('#')[1]; if ($(fullHref).length) { $(fullHref).prepend($(this).html()); } }); $(this).find("nav").click(function() { $(this).toggleClass("active"); $(this).next().slideToggle(); }); $(this).find(".ui-tabs-anchor").click(function() { $parent = $(this).parents(".tabs-header").children('nav'); $parent.toggleClass("active"); $parent.text($(this).find('.title-1').text()) $parent.next().slideToggle(); }); }); }, 500); } }); });
'); if($('.display_partner_name').length){ $('.display_partner_name').html(partnerName); } } /*** set cookie partner_code|end **/ });
