The licensing process for collection agencies is an intricate and complex process — so much so, you can create an entire board game about it! Download the License Game Board here
Luckily for you, Cornerstone support is here to help you win the game.
Our collection licensing services are comprehensive, as we facilitate the entire licensing process from designing a licensing strategy to the approved state license. Each license has unique requirements to accomplish in a timely manner or risk having to start the process over.
In addition to licensing solutions, we also offer insurance and bonds services as well. We are able to provide products and services that no other insurance agency can offer paired with unparalleled customer service.
For our bond services, we’ll help you identify which bonds you need for your agency, and we will help you attain them and keep them renewed as well.
Contact Cornerstone Support today to learn more!
Many people who are new to the collections industry may be unaware of many of these squares on the License Game Board.
For example, did you know that there are specific states that require your owners, officers, and managers to get fingerprinted before you can get started with collecting?
Also, each state changes its application forms for operating a collection agency within its borders. Even though you once filled one out in the past, you’ll have to go through the application process once more if it is updated.
If you look around the board, you’ll notice plenty of squares that involve your application getting denied or considered deficient. If you attempt to go through this process on your own, there is no doubt you’ll run into those problems in real life.
If it appears that you may be looking at a potential denial, it may be wise to start over from scratch rather than risk rejection.
Teaming up with a reliable and experienced licensing and compliance partner will help streamline this process to avoid any setbacks.
Other Important Squares to Note:
Do you have a certificate of good standing?
Without a certificate of good standing that shows your annual reports and tax reports are valid, you’re out of luck. Without this, you will not be able to proceed to the next step.
Are your assets accurate?
You can expect any state that you wish to operate in to be fairly picky when it comes to your application. If a state doesn’t like an item you listed as an asset — even if you disagree — the application may be denied if the absence of that asset pulls your net worth down to low.
Are your financials up-to-date?
If the state deems that your financial documents aren’t fresh enough, they will require you to update them to make them more recent. This will ultimately lead to your application being considered deficient.
Have you worked with a CPA to verify your financials?
Without having your financial statements independently verified by a CPA, your application will be considered deficient.
Are your website and paperwork in full agreement with NMLS ID?
You have to ensure that your website and any filed paperwork are in full agreement for company name and NMLS ID — Nationwide Mortgage Licensing System and Registry, which is a web-based platform for regulatory agencies to administer initial license applications and ongoing compliance requirements.
Sound complicated? We’re here to help! Call 1-(888)-650-3892 today — We’re looking forward to hearing from you!