1. (a) Purpose. This section specifies licensing requirements for military service members, military veterans, and military spouses, in accordance with Occupations Code Chapter 55.

2. (b) Definitions. In this section:

   1. (1) The terms "military service member," "military spouse," and "military veteran" have the meanings assigned by Occupations Code §55.001.
   2. (2) The term "in good standing" has the meaning assigned by Occupations Code §55.0042.
3. (c) Late Renewal (Reinstatement) for Military Service Members (Occupations Code §55.002). An individual is exempt from any increased fee or other penalty for failing to renew an originator license in a timely manner if the individual establishes to the satisfaction of SML that he or she failed to timely renew the license because the individual was serving as a military service member. A military service member who fails to timely renew his or her originator license must seek reinstatement of the license within the time period specified by Finance Code §157.016; otherwise, the individual must obtain a new license, including complying with the current requirements and procedures for obtaining an original license (see §55.103 of this title (relating to Renewal of the License)).

4. (d) Expedited Review and Processing (Occupations Code §55.004 and §55.005) and Recognition of an Out-of-State License (Occupations Code §55.0041).

   1. (1) This subsection applies to a qualifying applicant who is a military service member, military veteran, or military spouse, if the applicant:

      1. (A) holds a current license in good standing in another state that is similar in scope of practice to an originator license issued by SML; or
      2. (B) was licensed by SML as an originator within the 5 years preceding the application date.
   2. (2) A military service member, military veteran, or military spouse seeking expedited review under Occupations Code §55.004 and §55.005 or recognition of an out-of-state license under Occupations Code §55.0041 must apply for the license in NMLS. After applying for the license in NMLS, the applicant must make a written request for military licensing review using the current form prescribed by SML and posted on its website (sml.texas.gov), and provide the supporting documentation specified in the form to enable SML to verify the individual's military status and evaluate the individual's qualifications under this subsection.

   3. (3) Within 10 business days after the date SML receives a complete license application and written request for military licensing review from a qualifying applicant under this subsection, SML will:

      1. (A) approve the application and issue a license to the applicant;
      2. (B) issue a provisional license to the applicant pending a final decision on the application; or
      3. (C) notify the applicant that the license held by the individual in another state is not similar in scope of practice to an originator license issued by SML, if applicable.
   4. (4) If a provisional license is issued under paragraph (3)(B) of this subsection, SML will make a final decision on the application within 120 days after the date the provisional license is issued.
   5. (5) If the applicant holds a current license in good standing in another state that is similar in scope of practice to an originator license issued by SML, the applicant will be assigned a license status in NMLS that confers temporary authority to act as an originator in accordance with Finance Code §180.0511 and §55.109 of this title (relating to Temporary Authority), and subject to those requirements.
5. (e) Scope of Practice. For purposes of this section and Occupations Code Chapter 55, an originator license issued by a licensing authority in another state has a similar scope of practice to an originator license issued by if it is issued in accordance with the requirements of the federal Secure and Fair Enforcement for Mortgage Licensing Act of 2008 (12 U.S.C. §§5501-5117). SML will verify a license issued in another jurisdiction in NMLS.

6. (f) Credit for Military Experience (Occupations Code §55.007). SML will credit an applicant who is a military service member or military veteran with verified military service, training, or education toward the requirements for an originator license by considering the service, training, or education as part of the applicant's employment history. The following items cannot be substituted for military service, training, or education:

   1. (1) the pre-licensing education and coursework specified by Finance Code §180.056 and §55.108(a) of this title (relating to Required Education);
   2. (2) the pre-licensing examination specified by Finance Code §180.057 and §55.108(a) of this title; and
   3. (3) continuing education and coursework specified by Finance Code §180.060 and §55.108(d) of this title.

Source Note:The provisions of this §55.110 adopted to be effective November 23, 2024, 49 TexReg 9203; amended to be effective November 16, 2025, 50 TexReg 7234.