Loan Broker Licensing Information
Maine law requires licensing and bonding for loan brokers (formerly known as "credit services organizations"). In order for any loan broker or credit repair service to do business in this State, license application and bond forms must be completed and filed on or before January 31 of each year.
On this site:
- Loan broker Application checklist (DOC)
- Application form (RTF)
- Bond form (RTF)
- Statute: 9-A M.R.S. § 10-101 et seq., "Loan brokers"
- Rule 350 (RTF)
- Memo regarding responsibilities under the Fair Credit Reporting Act, requirements for retaining copies of credit denials in your files, and sample denial letter (RTF)
- Memo regarding prohibitions against loans being made by loan brokers (RTF)
- Sample contract with consumers (RTF)
- Sample disclosure form (RTF)
- Sample disclosure under The Fair Credit Reporting Act, Statement of Denial of Credit (RTF)
*Note: As many of the documents currently available through various commercial software programs do not meet the requirements of Sections 10-302 & 10-303, we strongly recommend that you utilize the agreement contract and disclosure samples provided in this package.
The following documents must accompany this completed application form:
- A completed bond (original document), using the form contained in the application package;
*NOTE: When preparing the bond form be sure to check that the name of the business listed on the bond is the same as that on the application form and that each section on both sides of the bond form has been properly completed.
- A sample copy, completed so as to reflect a hypothetical transaction, of the signed Written Agreement (contract) containing a description of services offered, guarantees or promises of refund, effective term of agreement, terms of payment, and the "Notice to Consumer," as required by Section 10-302 of the Act;
- A sample copy, showing provision for proof of receipt by the consumer, of the Written Disclosure, setting forth material consumer protections as required by Section 10-303 of the Act; and
- One resume and two letters of professional reference for each principal officer, owner, or partner; and
- Two letters of reference regarding your background in the financial services field.
- A check, made payable to "Treasurer, State of Maine," in the amount of $600.00 for 2 years.
- The completed, signed "checklist."
As soon as you receive your license you may begin doing business with Maine consumers. If you need additional forms, please contact our office.
Please note that licensure as a loan broker does not allow you to lend money to consumers, or to be named as "lender" or "creditor" on any loan documents (even if the loan has been "table funded" and will be assigned to a creditor immediately). Penalties for making loans without having a "Supervised Lender's" license are severe, so if you have any questions, please call me at (207) 624-8527.