Federal Fair Lending & Non-QM Mortgage Compliance Training
- LMSPortals
- 10 hours ago
- 5 min read
Fair lending compliance has never been more complex, and for Non-QM lenders, the stakes continue to rise. Increased regulatory scrutiny, expanded HMDA analysis, heightened focus on pricing discretion, and growing state-level overlays have all combined to create a challenging environment for lenders offering non-traditional mortgage products.
To help lenders navigate this landscape, LMS Portals is pleased to announce the availability of a new, purpose-built training program: Federal Fair Lending & Mortgage Compliance for Non-QM Lending.
This course was designed specifically for lenders, brokers, and compliance teams operating in the Non-QM space who need practical, regulator-aligned training that goes beyond generic fair lending overviews. It focuses on how federal fair lending laws are applied in real-world Non-QM lending, where underwriting discretion, alternative documentation, pricing flexibility, and state overlays introduce additional compliance risk.
Why Fair Lending Training Must Be Different for Non-QM Lending
Non-QM lending plays an important role in expanding access to credit for borrowers who do not fit traditional underwriting models. Self-employed borrowers, investors, borrowers with variable income, and those relying on alternative documentation all benefit from Non-QM products.
At the same time, these same features create increased fair lending exposure.
Greater discretion in underwriting decisions, more complex pricing structures, and reliance on non-traditional data increase the risk of inconsistent outcomes. Regulators are acutely aware of this risk. In recent years, HMDA data analysis, pricing reviews, complaint trends, and third-party oversight have become primary drivers of fair lending examinations, particularly for lenders offering Non-QM products.
Generic fair lending training is no longer sufficient. Lenders need training that reflects how regulators actually assess risk in Non-QM lending and how fair lending requirements apply across the full mortgage lifecycle.
About the Course: Federal Fair Lending & Mortgage Compliance for Non-QM Lending
This new course provides a comprehensive review of federal fair lending laws as they apply specifically to Non-QM mortgage lending. It is structured to support annual compliance training, onboarding for new staff, and targeted education for underwriting, pricing, compliance, and management teams.
Key Topics Covered
The course addresses the full fair lending framework, including:
An overview of federal fair lending laws and how they work together
Protected classes and prohibited practices such as redlining, steering, and discriminatory pricing
Application of ECOA requirements, including consistent underwriting and adverse action notices
Fair Housing Act requirements across application, underwriting, pricing, marketing, and servicing
HMDA’s role in identifying potential discrimination and driving examination scope
Non-QM-specific risk areas, including alternative documentation, underwriting discretion, and exceptions
Pricing, fees, and compensation structures and related fair lending risk
Marketing practices, lead sources, and redlining exposure
Third-party and broker oversight responsibilities
Complaint management and fair lending red flags
Audit, monitoring, and exam preparation best practices
State fair lending overlays and implementation considerations
Throughout the course, the focus remains on consistency, documentation, monitoring, and regulatory expectations rather than theory or historical discussion.
Built for Regulatory Reality, Not Theory
One of the most common complaints we hear from compliance leaders is that many fair lending courses feel academic. They explain the laws but fail to show how violations actually occur or how regulators evaluate compliance in practice.
This course was developed to address that gap.
Rather than relying on statistics or abstract examples, the content emphasizes:
How discretionary decisions create fair lending risk
Where Non-QM lenders are most likely to face regulatory scrutiny
How HMDA data, complaints, and pricing outcomes are used to trigger exams
What examiners expect to see in policies, documentation, and monitoring
The result is training that compliance officers can stand behind and that staff can apply in their day-to-day roles.
Designed for Flexible Delivery and Ongoing Use
The course is modular and LMS-ready, making it easy to deploy across different roles and business units. It can be used as:
Annual fair lending training
Targeted Non-QM compliance training
New-hire onboarding for underwriters, loan officers, and compliance staff
A refresher course following audits or regulatory exams
Knowledge checks and assessments are included to support completion tracking and attestation requirements.
Delivered Through the LMS Portals Multi-Tenant LMS Platform
The course is delivered through the LMS Portals multi-tenant learning management system, designed specifically for organizations that need to manage training across multiple groups, channels, or client environments.
Multi-Tenant Architecture
Our platform allows organizations to create and manage multiple branded training portals from a single system. This is ideal for lenders that operate across different divisions, brands, or partner networks and need centralized oversight with local control.
Each portal can have its own users, courses, branding, and reporting, while compliance teams maintain visibility across the entire organization.
Built-In Compliance Management and Certificate Tracking
Compliance training is only valuable if it can be documented, tracked, and reported.
LMS Portals includes features designed to support compliance management, including:
Automated course assignments and reassignments
Completion tracking and audit-ready reporting
Certificate generation and expiration tracking
Support for recurring and annual training requirements
These capabilities make it easier for compliance teams to demonstrate adherence to training requirements during regulatory exams.
Open API Integrations for Modern Training Environments
LMS Portals supports open API integrations, allowing organizations to connect training data with other systems such as HR platforms, CRM systems, or compliance tools.
This flexibility enables organizations to:
Automate user provisioning
Synchronize training records
Integrate with existing compliance workflows
For organizations with more complex technology environments, API access ensures training does not operate in a silo.
A Growing Library of Ready-Made Compliance Courses
In addition to this new Non-QM fair lending course, LMS Portals offers a growing library of ready-made courses covering a wide range of compliance and workforce training topics.
These courses are designed to be immediately deployable and can be customized to align with organizational policies, branding, and regulatory requirements. This allows organizations to quickly build a comprehensive compliance training program without starting from scratch.
Custom Course Development Services
For organizations with unique requirements, LMS Portals also provides custom course development services.
Our team works with clients to transform internal policies, procedures, and training materials into professional, LMS-ready courses. This is particularly valuable for:
Company-specific fair lending policies
State overlay training
Role-based compliance education
Audit and exam remediation training
Custom courses can be integrated seamlessly alongside ready-made content within the same LMS environment.
Built for Compliance Teams, Not Just Learners
Every aspect of this course and the LMS Portals platform is designed with compliance teams in mind.
From the structure of the content to the reporting capabilities of the platform, the goal is to reduce risk, improve consistency, and support regulatory readiness. The result is training that serves both operational needs and compliance oversight requirements.
About LMS Portals
At LMS Portals, we provide our clients and partners with a mobile-responsive, SaaS-based, multi-tenant learning management system that allows you to launch a dedicated training environment (a portal) for each of your unique audiences.
The system includes built-in, SCORM-compliant rapid course development software that provides a drag and drop engine to enable most anyone to build engaging courses quickly and easily.
We also offer a complete library of ready-made courses, covering most every aspect of corporate training and employee development.
If you choose to, you can create Learning Paths to deliver courses in a logical progression and add structure to your training program. The system also supports Virtual Instructor-Led Training (VILT) and provides tools for social learning.
Together, these features make LMS Portals the ideal SaaS-based eLearning platform for our clients and our Reseller partners.
Contact us today to get started or visit our Partner Program pages
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