Is a License Required?

[Mike McKinzie]

I was going to combine several loans through one mortgage refinance on the current house I reside in. I was going to get the financing from my uncle as it would save me many costs. But he just told me that he found out that he has to have some kind of "Mortgage Loan License" to make mortgage loans. Is this correct? Are there any exemptions to this law? I am doing as much research as I can but I would also like to get some feedback from BP members. Thanks

[Mike McKinzie]

I am not sure I understand this SAFE act when it comes to an agreement between two private parties. My uncle used to own many, many homes and has sold nearly all of them, he started buying them back in the 1950s. Now he is sitting on a lot of cash and I asked if he would be interested in carrying the first trust deed on this house and I would use the money to pay off several small loans that I have (ie. student loans, credit cards, etc....) How can the government interfere with a private party transaction? This just doesn't make sense to me! If he loans me money to buy a car, does he need a license?