If you’re a mortgage loan officer, you’ve undoubtedly heard about the “8-hour CE” requirement. But what exactly does it involve? Whether you’re new to the industry or just need a refresher, here are seven key things to know about the annual NMLS CE requirement. Let’s break down the NMLS 8-hour continuing education rule!
1. It’s an Annual Federal Requirement for State-Licensed MLOs
The Secure and Fair Enforcement for Mortgage Licensing Act (SAFE Act) mandates that state-licensed mortgage loan originators complete continuing education every year. The standard is 8 hours of NMLS-approved coursework annually. This isn’t a one-and-done thing. You’ll need to do 8 hours for every year you want to renew your license.
The goal is to make sure you stay up-to-date with industry changes and maintain your knowledge. If you’re only licensed through a federal agency (like a registered bank MLO), the CE requirement might not apply the same way, but for almost all state-licensed LOs, consider it a yearly rhythm of your career.
2. The 8 Hours Cover Specific Core Topics
You can’t just study anything for those hours. The NMLS has a set curriculum breakdown:
- 3 hours of Federal law and regulations – covering updates or refreshers on laws like RESPA, TILA, ECOA, etc.
- 2 hours of Ethics – which includes instruction on fraud, consumer protection, and fair lending practices.
- 2 hours of Non-traditional mortgage lending – focusing on products other than standard 30-year fixed loans (think ARMs, reverse mortgages, FHA 203k, etc.).
- 1 hour of Elective – this can be on any approved mortgage topic or could be a state-specific topic if required by your state.
Together, that adds up to the 8 hours of education you need. These topics are designed to cover the major areas an MLO should stay sharp on each year. Any NMLS CE course or package you take should clearly state how it meets these hour requirements. If it’s an “8-hour Comprehensive” course, it typically will include all the above modules.
3. Some States Require a State-Specific Hour
Here’s where it can vary. Certain states want that “1 hour elective” to be about their own state laws. For instance, California NMLS continuing education requirements include a one-hour course on California mortgage law and regulations if you’re licensed under the California DFPI. Similarly, states like Florida, New York, Pennsylvania, and others have a state-specific CE requirement (often 1 hour, sometimes more).
In these cases, your 8 hours isn’t additional. It’s typically 7 hours of national content + 1 hour state content = 8 total. But you must make sure to take the correct course that fulfills your state’s requirements. If you hold multiple state licenses, you might need to take multiple state-specific electives (for example, one hour for CA DFPI and one for FL) on top of the core 7 hours.
Always check the NMLS or state regulator’s guidance on CE. Many education providers offer packages like “8 Hour CE for California,” which include the needed state hour. Missing a required state component will block your renewal in that state, so be aware if this applies to you.
4. The Deadline Is December 31 – But Don’t Wait That Long
In most states, you must complete the 8-hour CE by December 31 each year. Practically, that means finishing your courses and having them reported in the NMLS system before the year ends so you can submit your renewal. However, waiting until the last days of December is risky. Providers might take a day or two to report your course completion, and heavy volume at year-end can cause delays.
NMLS itself strongly encourages finishing courses by early or mid-December. They often publish suggested “smart” deadlines (for example, “complete CE by Dec 15 to guarantee on-time renewal”). If your state has an earlier deadline (some have mid-December or even December 1 in a few cases), obviously, follow that.
Mark your calendar and aim to have CE done well before the final day of the year. It will save you from a lot of stress. If you miss the deadline, you enter a grace period in Jan/Feb with additional fees (and need a special late CE course, which is a hassle to avoid if possible).
5. You Must Take NMLS-Approved Courses (No DIY or Unapproved Training)
It’s important to know that only courses approved by the NMLS count towards the 8 hours. You can’t, for example, just watch a webinar by some expert and claim it as credit unless that webinar is part of an NMLS-approved course with a course ID.
Fortunately, there are many NMLS-approved education providers offering courses in various formats (online self-paced, live webinars, classroom, etc.). When signing up, look for the NMLS course approval information. If in doubt, you can search the NMLS course catalog for approved courses. Also, the provider will “bank” your credits in the NMLS system once you complete the class. That’s how the regulators see you’ve done your CE.
So make sure the name you use for the course matches your NMLS ID info so it gets recorded properly. Bottom line is to stick to the official channels for your CE, and it will be automatically tracked toward your requirement.
6. No Repeat Courses Thanks to the Successive Year Rule
Here’s a gotcha that can trip people up... under NMLS rules, you cannot take the exact same CE course two years in a row. This is called the “successive year rule.” It means if you took, say, “ABC Education – 8 Hour Comprehensive CE 2024” this year, you cannot take “ABC Education – 8 Hour Comprehensive CE 2024” again next year (2025).
Providers change their course content and titles each year to account for this. Just be careful if you, for some reason, accidentally enroll in last year’s course again. It won’t count for the new year. Always purchase the current year’s version of a course. If you’re unsure, double-check the course ID and year.
Most providers make it clear (they create a new course ID each year). This rule exists to make sure you’re getting fresh material and not just reusing an old course certificate. For you, it means you should plan to choose a new course or an updated course annually. It’s one reason many LOs stick with one provider. The provider will automatically give them the new course each year, different from the last.
7. New MLOs May Be Off the Hook in Year One
If you just got your license, you might not need to worry about CE immediately. The SAFE Act and state laws generally exempt you from the first CE cycle if you received your license that year. For example, suppose you completed your 20 hours of pre-licensure education and got licensed in June 2025. Typically, you would not have to do CE for 2025; your first CE will be due by the end of 2026. Essentially, your pre-licensing course counts as education for that year.
However, always verify this based on when you took your pre-licensing and when your license was approved. Some states have cut-off dates. But as a general rule, MLOs licensed for the first time in a year don’t have to scramble to do CE in the same calendar year. This is a nice breather for newbies, but remember – once you hit the next year, the annual CE requirement kicks in.
Also, if you were unlicensed for a while and come back, you’ll need to complete CE for the last year you held a license before you can reactivate (that’s where Late CE comes in). So plan accordingly if you step away and return.
Always Renew on Time. Completing the 8 hours is part of renewing your license, but don’t forget to actually submit your renewal on NMLS (and pay the fees) by the deadline, too. Education is a prerequisite, but you still have to log in and file for renewal.
Many regulators won’t even let you submit the renewal until CE is done (to prevent incomplete renewals). So knock out the education, then immediately take care of the renewal application. It’s all part of the annual process to keep your license active.
Wrap Up
The 8-hour NMLS continuing education requirement might sound like just another task, but it’s quite manageable once you know these key facts. Eight hours a year is a small investment to maintain your expertise and stay compliant.
By knowing what’s required and by when, you can schedule your courses at a convenient time, avoid any late issues, and keep your mortgage license in good standing. Plus, a good CE course will leave you more informed about the latest industry changes, which ultimately helps you in your day-to-day job.
Stay proactive, choose quality courses, and you’ll find the annual CE routine can be smooth and even beneficial to your career. Happy learning!