Qualified Individual - Lender
Qualified Individual Requirements: Mortgage Experience and Test Taking
MORTGAGE LENDER LICENSES
Understanding Qualified Individual (QI) requirements is critical for obtaining and maintaining mortgage lender licenses across different states. Requirements vary significantly by state, ranging from no QI requirements to extensive experience and testing mandates.
| State | QI Required | Experience | Testing | Group | Notes |
|---|---|---|---|---|---|
| Alabama | NO QI | No experience required | No test required | Group 1 | Control Person can file this Role without taking a Test or having Mtg Experience |
| Colorado | NO QI | No experience required | No test required | Group 1 | Control Person can file this Role without taking a Test or having Mtg Experience |
| District of Columbia | NO QI | No experience required | No test required | Group 1 | Control Person can file this Role without taking a Test or having Mtg Experience |
| Iowa | NO QI | No experience required | No test required | Group 1 | Control Person can file this Role without taking a Test or having Mtg Experience |
| Maine | NO QI | No experience required | No test required | Group 1 | Control Person can file this Role without taking a Test or having Mtg Experience |
| Minnesota | NO QI | No experience required | No test required | Group 1 | Control Person can file this Role without taking a Test or having Mtg Experience |
| Nebraska | NO QI | No experience required | No test required | Group 1 | Control Person can file this Role without taking a Test or having Mtg Experience |
| South Dakota | NO QI | No experience required | No test required | Group 1 | Control Person can file this Role without taking a Test or having Mtg Experience |
| Virginia | NO QI | No experience required | No test required | Group 1 | Control Person can file this Role without taking a Test or having Mtg Experience |
| Wisconsin | NO QI | No experience required | No test required | Group 1 | Control Person can file this Role without taking a Test or having Mtg Experience |
| Alaska - Mortgage Broker Lender | QI ONLY | No experience required | No test required | Group 2 | Control Person can file this Role without taking a Test or having Mtg Experience |
| Georgia | QI ONLY | No experience required | No test required | Group 2 | Control Person can file this Role without taking a Test or having Mtg Experience |
| Michigan | QI ONLY | No experience required | No test required | Group 2 | Control Person can file this Role without taking a Test or having Mtg Experience |
| New Hampshire | QI ONLY | No experience required | No test required | Group 2 | Control Person can file this Role without taking a Test or having Mtg Experience |
| Rhode Island | QI ONLY | No experience required | No test required | Group 2 | Control Person can file this Role without taking a Test or having Mtg Experience |
| Tennessee | QI ONLY | No experience required | No test required | Group 2 | Control Person can file this Role without taking a Test or having Mtg Experience |
| Vermont | QI ONLY | No experience required | No test required | Group 2 | Control Person can file this Role without taking a Test or having Mtg Experience |
| Wyoming | QI ONLY | No experience required | No test required | Group 2 | Control Person can file this Role without taking a Test or having Mtg Experience |
| West Virginia | QI ONLY | No experience required | No test required | Group 2 | Control Person can file this Role without taking a Test or having Mtg Experience |
| Pennsylvania | QI-MU4-TEST by an owner | No experience required | MU4 Test Required | Group 3 | Test by Owner Only |
| Massachusetts | 5 yrs | 5 years | No test required | Group 4 | Mtg Experience Required but No Tests to Take |
| California | 3 years due to HUD req. | 3 years | No test required | Group 4 | Mtg Experience Required but No Tests to Take |
| Maryland | 3 years | 3 years | No test required | Group 4 | Mtg Experience Required but No Tests to Take |
| Idaho | 3 yrs | 3 years | No test required | Group 4 | Mtg Experience Required but No Tests to Take |
| Illinois | 3 YRS OR 30 HRS | 3 years or 30 hours | No test required | Group 4 | Mtg Experience Required but No Tests to Take |
| Kentucky | 1 year or 30 hours MU4-TEST | 1 year or 30 hours | MU4 Test Required | Group 5 | Mtg Experience and Test Taking Required |
| Florida | 1 YR QI-MU4-TEST | 1 year | MU4 Test Required | Group 5 | Mtg Experience and Test Taking Required |
| New Jersey | 2 years QI-MU4-TEST | 2 years | MU4 Test Required | Group 5 | Mtg Experience and Test Taking Required |
| New York | 5 YRS QI-MU4-TEST | 5 years | MU4 Test Required | Group 5 | Mtg Experience and Test Taking Required |
| Indiana | 2 yrs QI-MU4 [AS PRINCIPAL MANAGER] MU4-TEST | 2 years | MU4 Test Required | Group 5 | Mtg Experience and Test Taking Required |
| Arkansas | 3 YRS MANAGING PRINCIPAL QI-MU4-TEST | 3 years | MU4 Test Required | Group 5 | Mtg Experience and Test Taking Required |
| Connecticut | 3 YRS QI-MU4-TEST | 3 years | MU4 Test Required | Group 5 | Mtg Experience and Test Taking Required |
| Mississippi | 2 YRS OUT OF LAST 4 YRS – LENDER AND BROKE red | 2 out of last 4 years | Test Required | Group 6 | Recent Mtg Experience and Test Taking Required |
| New Mexico | 2 out of last 4 years QI-MU4-TEST | 2 out of last 4 years | MU4 Test Required | Group 6 | Recent Mtg Experience and Test Taking Required |
| Oregon - Mortgage Lender | 3 out of last 5 YRS | 3 out of last 5 years | Test Required | Group 6 | Recent Mtg Experience and Test Taking Required |
| Utah - Mortgage Lender | 3 out of last 5 YRS QI-MU4-TEST | 3 out of last 5 years | MU4 Test Required | Group 6 | Recent Mtg Experience and Test Taking Required |
| Montana | QI-MU4-TEST | No experience required | MU4 Test Required | Group 7 | No Mtg Experience but Test Taking Required |
| Kansas - Mortgage Company | MU4-TEST | No experience required | MU4 Test Required | Group 7 | No Mtg Experience but Test Taking Required |
| Louisiana | MU4-TEST | No experience required | MU4 Test Required | Group 7 | No Mtg Experience but Test Taking Required |
| Washington | QI-MU4-TEST | No experience required | MU4 Test Required | Group 7 | No Mtg Experience but Test Taking Required |
| Oklahoma - Mortgage Broker | QI-MU4-TEST | No experience required | MU4 Test Required | Group 7 | No Mtg Experience but Test Taking Required |
| Missouri - Mortgage Broker | NO QI 2 years | 2 years | Test Required | GROUP 8 | Physical Office-Branch Manager Required who will take Test and Have Mtg Experience |
| Nevada - Mortgage Broker | 2 years NV MLO - MU4-TESTICAL | 2 years | MU4 Test Required | GROUP 8 | Physical Office-Branch Manager Required who will take Test and Have Mtg Experience |
| Hawaii | 2 yrs QI-MU4-TEST | 2 years | MU4 Test Required | GROUP 8 | Physical Office-Branch Manager Required who will take Test and Have Mtg Experience |
| Ohio - Mortgage Broker | 3 years QI-MU4-TEST | 3 years | MU4 Test Required | GROUP 8 | Physical Office-Branch Manager Required who will take Test and Have Mtg Experience |
| Arizona | 3 YRS Q QI-MU4-TEST | 3 years | MU4 Test Required | GROUP 8 | Physical Office-Branch Manager Required who will take Test and Have Mtg Experience |
| South Carolina | 3 YRS QI [MANAGING PRINCIPAL]-MU4-TEST | 3 years | MU4 Test Required | GROUP 8 | Physical Office-Branch Manager Required who will take Test and Have Mtg Experience |
| North Carolina | 3 YRS [LENDER & BROKER] QI-MU4-TEST | 3 years | MU4 Test Required | GROUP 8 | Physical Office-Branch Manager Required who will take Test and Have Mtg Experience |
| Texas | 0 yrs QI-MU4-TEST | No experience required | MU4 Test Required | GROUP 8 | Physical Office-Branch Manager Required who will take Test and Have Mtg Experience |
Understanding QI Groups
Group 1: No QI required - Control Person can file without testing or mortgage experience
Group 2: QI designation only - No testing or experience required
Group 3: Test by Owner Only - Owner must take test
Group 4: Mortgage experience required but no tests
Group 5: Mortgage experience and test taking required
Group 6: Recent mortgage experience and test taking required
Group 7: No mortgage experience but test taking required
Group 8: Physical Office states - Branch Manager required with test and experience
Key Considerations
- Experience requirements vary from 0-5 years
- Some states require recent experience (e.g., 2 of last 4 years)
- MU4 testing requirements differ by jurisdiction
- Physical office states have additional branch manager requirements
Common Testing Requirements
- MU4 form filing through NMLS
- National and/or state-specific examinations
- Background checks and fingerprinting
- Credit report review
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Expert Guidance for QI Requirements
Navigating Qualified Individual requirements across multiple states can be complex. Herb Thomas provides comprehensive guidance to ensure your lender license applications meet all experience and testing requirements.