Code of Ethics
Code of Ethics
NMA members are committed to professional conduct, integrity, fair competition and ethical mortgage lending practices that strengthen confidence in Nebraska's mortgage industry.
Our Commitment to Ethical Mortgage Lending
WHEREAS, the purpose for which the Nebraska Mortgage Association was organized, as stated in the Constitution and By-Laws, includes the following:
To encourage among its members sound and ethical business practices and methods in making, marketing and servicing real estate mortgage loans, equities, investments and other related practices.
To inform its members of changes in mortgage laws and pending legislation affecting the real estate mortgage business; to sponsor meetings for the discussion of real estate mortgage-related problems; and to cooperate with public and private agencies in the establishment of sound real estate mortgage practices.
WHEREAS, the Members of the Association are mindful that the soundness, usefulness, prosperity and future of mortgage lending depend upon the honor, integrity and fidelity of personnel engaged in this business.
THEREFORE, BE IT RESOLVED, that each Member of this Association pledges to observe and maintain the following standards of conduct in dealing with the public and with other members.
Standards of Conduct
The following nine canons establish the ethical standards expected of Nebraska Mortgage Association members.
Professional Conduct
Members shall conduct their business in a professional manner, ensuring that their personnel are knowledgeable in the areas of mortgage lending in which they participate and are acting in compliance with sound industry practices.
Compliance With Laws and Regulations
Members shall act in conformity with applicable laws and regulations and shall cooperate in every appropriate way with all government bodies in the interest of establishing and maintaining an efficient and fair framework for mortgage credit.
Integrity and Confidence
Members shall act in a manner that recognizes integrity and confidence as essential in the mortgage lending business.
Healthy Competition
Members shall encourage healthy competition in the mortgage lending business.
Regulatory Compliance
Members shall conduct their business in accordance with all applicable federal and state regulations, including requirements relating to fair lending, consumer protection, mortgage disclosures, servicing and industry conduct.
Accuracy and Full Disclosure
Members shall preserve the integrity of all parts of a loan submission and appraisal report and make full disclosure of all pertinent facts, including any facts related to the loan project, property or development.
Responsible Loan Servicing
Members shall use all efforts available in servicing loan investments entrusted to their care to effectively discharge their obligations to both investor and debtor.
Stewardship of Escrow Funds
Members shall maintain all monies received as escrow, reserve or impound accounts in a prudent and identifiable manner and shall disburse those funds for the purposes for which they were received.
Cooperation With Ethics Reviews
Members shall cooperate with the Board of Directors of the Association in furnishing information relative to any investigation of a possible violation of the Code of Ethics and Standards of Practice.
Ethics Complaint & Review Process
Violations of, and complaints concerning, the Code of Ethics shall be filed in writing with the Board of Directors of the Association. The Board will designate an Ethics Standards and Practices Committee to review complaints filed with the Association.
The Ethics Standards and Practices Committee will review the complaint and act on it within two weeks. Depending on the seriousness and validity of the complaint, the Committee may:
- Reject the complaint.
- Issue a letter of reprimand to the Member requesting correction of the problem, with a report back to the Board of Directors.
- Recommend to the Board of Directors suspension or termination of membership in the Nebraska Mortgage Association.
- If warranted by the violation, submit a report to the Nebraska Department of Banking.
Important: The Code of Ethics applies to NMA members as part of the Association's commitment to maintaining professional and ethical standards throughout Nebraska's mortgage industry.