State Lender-Licensing Matrix

California Financing Law (CFL), Cal. Fin. Code §§ 22000 et seq. (administered by DFPI); California Residential Mortgage Lending Act (CRMLA), Cal. Fin. Code §§ 50000 et seq.; California Real Estate Law, Cal. Bus. & Prof. Code §§ 10000 et seq., specifically § 10131(d)/(e); multi-lender regime at §§ 10237–10238 and 10232 et seq.; California Consumer Financial Protection Law (CCFPL), Cal. Fin. Code §§ 90000 et seq.; Commercial Financing Disclosure Law, Cal. Fin. Code §§ 22800–22805; Cal. Civ. Code § 1632 translated-document delivery (five enumerated languages); usury at Cal. Const. Art. XV § 1.

A typical Hardline Lender has three legitimate paths, and the choice matters: (1) CFL license (Finance Lender / Broker) under §§ 22050 et seq., with a narrow one-loan-per-12-month exemption at § 22050(a); (2) DRE Real Estate Broker route under § 10131(d), with multi-lender rules at §§ 10237–10238 if loans are funded by more than one lender on the same note; or (3) pure exemption only if no more than 1 California loan in any rolling 12-month period.

Business-purpose status does NOT exempt the Lender in California. CFL covers both consumer and commercial loans; the exemption is volume- or status-based, not purpose-based.

• More than one CA loan in any rolling 12-month period without a license or DRE broker status.
• Owner-occupied 1–4 family — flips into TILA/Reg Z and CRMLA territory.
• Natural-person Borrower — triggers Reg Z “dwelling-secured” analysis.
• Commercial Financing Disclosure Law applies to commercial financing ≤ $500,000 [VERIFY: 2024 amendments to § 22802(c) real-estate-secured exclusion].
• Civ. Code § 1632 if negotiation conducted primarily in Spanish, Chinese, Tagalog, Vietnamese, or Korean.

Constitutional cap: 10% for consumer; greater of 10% or 5% above SF Fed discount rate for non-consumer. Real Estate Law § 10240 et seq. exemption: loans made or arranged by a licensed CA real estate broker are exempt. CFL-licensed lenders exempt under Fin. Code § 22002. Loans funded by an unlicensed natural-person investor with no broker involvement are NOT exempt. No criminal usury cap; civil consequence is forfeiture of interest plus treble damages for willful violation.

With respect to each California-property loan, Lender represents and warrants that Lender (or, where applicable, Lender’s arranging broker) holds one of: (a) an active CFL license (Cal. Fin. Code §§ 22000 et seq.); (b) an active DRE Broker license operating under Bus. & Prof. Code § 10131(d) in conformity with §§ 10232, 10237, 10238, 10240; or (c) the § 22050(a) one-loan exemption (with quarterly loan-count refresh). Lender separately acknowledges the Commercial Financing Disclosure Law, Cal. Civ. Code § 1632, and the usury-exemption framework.

Mortgage Brokers Act, A.R.S. § 6-901 et seq.; Mortgage Bankers Act, A.R.S. § 6-941 et seq.; Commercial Mortgage Broker / Banker scheme, A.R.S. §§ 6-971 to 6-988 (Title 6 Ch. 9 Art. 3); usury at A.R.S. § 44-1201. [verified 2026-05-11]

Arizona splits its mortgage regime by property class. “Commercial property” under A.R.S. § 6-971 is statutorily defined as real property that is NOT a residential dwelling of 1–4 units; the Commercial Mortgage Banker / Broker license (A.R.S. §§ 6-971 to 6-988) therefore covers 5+ unit and pure commercial property. Business-purpose loans on 1–4 family non-owner-occupied AZ investment property fall under the residential Mortgage Banker / Broker regime (A.R.S. § 6-901 / § 6-941 et seq.), which is keyed to consumer-purpose residential lending but has been read by DIFI to reach repeat business-purpose 1–4 family lending absent an exemption. A Lender making such loans on AZ property generally needs either (a) a Mortgage Banker / Mortgage Broker license under §§ 6-901/6-941, or (b) for 5+ unit / commercial, a Commercial Mortgage Banker / Broker license under §§ 6-971 et seq., or (c) a statutory exemption. Business-purpose alone is NOT a clean exemption — common trap. [verified 2026-05-11]

Default 10% per annum where no contract rate; parties may contract for any rate in writing on business-purpose loans — no civil cap. No criminal usury statute.

Mortgage Companies and Mortgage Loan Originators, NRS Ch. 645B (with “commercial mortgage loan” defined cross-reference at NRS 645B.01043 / 645E.030); Mortgage Bankers / Commercial Mortgage Lending, NRS Ch. 645E; Installment Loan and Finance Act, NRS Ch. 675; Mortgage Servicer Licensing, NRS Ch. 645F; usury at NRS 99.050. [verified 2026-05-11]

Commercial mortgage loans to entity Borrowers on non-owner-occupied NV property fall under the Ch. 645B/645E mortgage-company regime, which licenses persons making or brokering mortgage loans (residential or commercial) absent exemption. The Ch. 675 (Installment Loan and Finance Act) overlay remains the trap (“in the business of lending money”) — NV FID has historically taken a broad view; repeat lending in NV may trigger Ch. 675 licensure in addition to Ch. 645B/E. [verified 2026-05-11]

No civil usury cap (NRS 99.050); no criminal cap. NV is functionally usury-free for business-purpose loans.

Mortgage Loan Originator Licensing and Mortgage Company Registration Act, C.R.S. §§ 12-10-701 et seq.; Colorado Consumer Credit Code (UCCC), C.R.S. §§ 5-1-101 et seq.; DIDMCA opt-out at C.R.S. § 5-13-106 (effective 2024-07-01, primarily consumer-credit); usury at C.R.S. § 5-12-101 et seq.

Colorado is relatively permissive for business-purpose lending. Mortgage company / MLO licensure keyed to “residential mortgage loans” (principal-residence dwelling). Non-owner-occupied investment property to an entity Borrower is generally outside scope. No separate Colorado commercial-lender license.

Default 8%; parties may contract for any rate in writing on business-purpose loans. No criminal usury statute applicable to business loans.

Georgia Residential Mortgage Act (GRMA), O.C.G.A. §§ 7-1-1000 et seq. (most recently amended by 2024 Ga. Laws 701 and 2024 Ga. Laws 474, both effective July 1, 2024); Georgia Installment Loan Act, O.C.G.A. §§ 7-3-1 et seq.; usury at O.C.G.A. §§ 7-4-1 et seq.; criminal usury at O.C.G.A. § 7-4-18. [verified 2026-05-11]

GRMA covers “residential mortgage loans” on 1–4 family GA dwellings. The Act does NOT contain a clean business-purpose carve-out for 1–4 family. Exemptions at O.C.G.A. § 7-1-1001 include institutional lenders; the only realistic private-Lender path is the “natural person making a mortgage loan with his or her own funds for his or her own investment” exemption at § 7-1-1001(a)(2)/(3) (statute does not impose a numeric loan-count cap, but historically read narrowly by GA DBF to exclude persons holding themselves out as in the business of mortgage lending). [verified 2026-05-11]

Civil: 7% on loans < $3,000; no cap for written contracts ≥ $3,000. Criminal: O.C.G.A. § 7-4-18 felony to charge > 5%/month / 60%/year simple interest, regardless of size or purpose. The 60% criminal cap is the binding constraint and catches origination/exit fees in the APR calculation — Hardline must build effective-rate validation server-side.

NC SAFE Act, N.C.G.S. Ch. 53 Art. 19B (§§ 53-244.010 et seq.); Consumer Finance Act, Ch. 53 Art. 15; usury at N.C.G.S. §§ 24-1 et seq. [verified 2026-05-11]

SAFE Act applies to “mortgage loans” secured by a dwelling located in NC. NC does NOT have a clean business-purpose carve-out parallel to TILA; § 53-244.040(d) lists narrow exemptions (registered MLOs, family-member transactions, attorneys representing clients, individual seller financing of own residence, § 53-244.030(29) categorical exemptees on notice filing). NC Commissioner of Banks has historically been one of the more aggressive state regulators of out-of-state private lenders. [verified 2026-05-11]

§ 24-1.1 caps at 8% on loans not secured by real-property mortgage. Loans of $25,000 or more for business or agricultural purposes to entity borrowers, and loans of any amount secured by real property where the rate does not exceed the § 24-1.1 cap, are exempt from rate and fee limitations under N.C.G.S. § 24-9. No criminal usury statute. [verified 2026-05-11]

Residential Lending, Brokerage and Servicing Act, T.C.A. §§ 45-13-101 et seq.; Industrial Loan and Thrift Companies Act (ILTCA), T.C.A. §§ 45-5-101 et seq. (amended effective July 1, 2025 to set closed-end interest cap at 36%/yr for loans of $100+); Tennessee SAFE Act, T.C.A. §§ 45-13-301 et seq.; usury at T.C.A. §§ 47-14-101 et seq. [verified 2026-05-11]

The Residential Lending Act covers consumer-purpose residential lending. The trap is the Industrial Loan and Thrift Companies Act (Ch. 5), which covers persons “in the business of making loans and imposing the interest and loan charges authorized under this chapter,” including business-purpose loans, and which exempts only enumerated regulated entities (banks, S&Ls, credit unions, insurance companies, persons subject to other state/federal agency regulation, and licensed pawnbrokers) at T.C.A. § 45-5-104. TDFI has historically viewed ~3+ loans/year as “in the business of.” Out-of-state lenders making remote loans on TN property — TDFI has historically asserted jurisdiction. [verified 2026-05-11]

Formula rate under T.C.A. § 47-14-121 (announced monthly under § 47-14-105). Commercial loans of $5,000+ between sophisticated parties: parties may contract for any rate under T.C.A. § 47-14-103. Criminal usury under T.C.A. § 47-14-112: knowingly exceeding the maximum effective rate is a Class A misdemeanor (Class E felony if rate exceeds 2× the lawful maximum). [verified 2026-05-11]

Florida Mortgage Brokerage and Lending Act, Fla. Stat. Ch. 494 (Loan Originators and Mortgage Brokers); Florida Consumer Finance Act, Ch. 516; Florida Commercial Financing Disclosure Law (CFDL), Fla. Stat. §§ 559.961–559.9615 (effective July 1, 2023, mandatory compliance January 1, 2024); usury at Fla. Stat. Ch. 687. [verified 2026-05-11]

Ch. 494 is the broadest residential-mortgage scheme in the v1 footprint and routinely surprises out-of-state private lenders. The Act’s defined term “residential mortgage loan” (Fla. Stat. § 494.001(25)) is keyed to a residential loan “primarily for personal, family, or household use” secured by a TILA-defined dwelling, and the Act expressly defines “business purpose loan” separately at § 494.001 with reference to 12 C.F.R. § 1026.3(a). The statute also excludes from “residential mortgage loan” status loans on commercial real property and loans on improved real property of 5+ dwelling units where the borrower is an individual or the lender is a noninstitutional investor. However: the Act prohibits misrepresenting a residential mortgage loan as a business-purpose loan (§ 494.0029), and OFR has historically scrutinized 1–4 family business-purpose loans where the natural-person Borrower / occupant overlap suggests substantive consumer purpose. A Hardline Lender making even one FL 1–4 family loan should therefore either (a) hold a Ch. 494 OFR license, or (b) attest in writing that the loan is bona fide business-purpose under 12 C.F.R. § 1026.3(a) and that the property is non-owner-occupied investment property with an entity Borrower. [verified 2026-05-11]

Loans on 5+ unit residential or pure commercial property are outside Ch. 494’s “residential” scope and exempt by definition. [verified 2026-05-11]

The Florida Commercial Financing Disclosure Law applies to commercial financing transactions ≤ $500,000 but expressly exempts financings secured by real property under § 559.9612. Hardline business-purpose loans secured by FL real property are therefore outside CFDL disclosure scope. [verified 2026-05-11]

Civil cap: 18% on loans up to $500,000; 25% on loans of $500,000+. Criminal usury under § 687.071: knowingly charging 25–45% is a misdemeanor (loan-shark statute); > 45% is a third-degree felony. The 45% criminal cap is hard regardless of purpose. [verified 2026-05-11]

Hardline should require, for any FL 1–4 family listing, either (a) an active OFR-issued Mortgage Lender license number, or (b) a written, deal-specific business-purpose attestation citing 12 C.F.R. § 1026.3(a) and confirming non-owner-occupied investment use with an entity Borrower. Self-attested “business-purpose exemption” without that affirmative recital is not sufficient.

Texas Finance Code Ch. 156 (Residential Mortgage Loan Companies); Ch. 157 (Residential Mortgage Loan Originators / Mortgage Bankers); Ch. 342 (Consumer Loans) including Subchapter F regulating regulated-lender installment lending; Ch. 343 (Home Loans); Ch. 302–306 (interest, contract rates, judgment rates, savings); Texas Constitution Art. XVI § 50 (homestead and home-equity restrictions); Property Code § 41.001 et seq. (homestead); foreclosure procedure at Tex. Prop. Code § 51.002. [verified 2026-05-11]

Ch. 156/157/342/343 cover consumer-purpose and regulated-lender activity; business-purpose loans to entity Borrowers on non-owner-occupied real property are categorically outside (Ch. 342 Subchapter F’s OCCC Regulated Lender License applies only to consumer-purpose installment lending). The trap is Texas Constitution Art. XVI § 50. If the Property is the borrower’s homestead, the loan is constitutionally void unless it complies with § 50(a)(6) home-equity requirements. Non-purchase-money business-purpose loans on a homestead are categorically prohibited. An entity-borrower structure does not by itself defeat homestead — TX courts look through to the natural-person occupant. [verified 2026-05-11]

Texas usury is the strictest of the v1 states for business-purpose loans. § 303.009 caps most commercial loans at 18%; Ch. 306 governs commercial loans > $250,000 with ceilings indexed to a published rate. Civil penalty under §§ 349.001–349.003: forfeiture of principal and interest where interest is more than double the legal maximum; treble usurious interest above legal max. [verified 2026-05-11]

Hardline must require a non-homestead affidavit from the Borrower (and any natural-person guarantor) at listing for every TX deal. No exception path.

Residential Mortgage Lending Act (RMLA), Ohio Rev. Code §§ 1322.01 et seq.; Ohio Consumer Installment Loan Act, R.C. §§ 1321.62 et seq.; usury at R.C. § 1343.01. [verified 2026-05-11]

RMLA covers consumer-purpose residential mortgage loans on 1–4 family OH dwellings. Business-purpose loans are outside RMLA scope per § 1322.05 exemption. No separate OH commercial-lender license. One of the cleanest states for business-purpose private lending. [verified 2026-05-11]

Default 8% civil rate. R.C. § 1343.01(B)(1) permits parties to contract for any rate where the original principal exceeds $100,000. Below threshold: 25% consumer-loan cap. No criminal usury cap on business loans. [verified 2026-05-11]

Indiana UCCC, Ind. Code Title 24 Art. 4.5 (consumer loans); First Lien Mortgage Lending Act, Ind. Code Art. 24-4.4 (Ind. Code § 24-4.4-1-202 exempts extensions of credit primarily for a business, commercial, or agricultural purpose); usury principally consumer; criminal loansharking at Ind. Code § 35-45-7-2 (rate > 2× the IC 24-4.5-3-508(2)(a)(i) rate is a Level 6 felony, raised to Level 5 felony if force or threats are used to collect). [verified 2026-05-11]

UCCC covers consumer loans only. First Lien Mortgage Lending Act § 24-4.4-1-202 expressly exempts “extensions of credit primarily for a business, commercial, or agricultural purpose” — so business-purpose loans on non-owner-occupied investment property are textually outside scope. No separate IN commercial-lender license. Among the cleanest states. [verified 2026-05-11]

No general civil usury cap on business loans. Ind. Code § 35-45-7-2 loansharking remains textually applicable to any loan and criminalizes rates above 2× the IC 24-4.5-3-508(2)(a)(i) supervised-loan rate (currently approximately 72%/yr); statute is originally aimed at organized-crime lending but textually reaches written commercial contracts. [verified 2026-05-11]

Mortgage Brokers, Lenders, and Servicers Licensing Act (MBLSLA), MCL §§ 445.1651 et seq.; Secondary Mortgage Loan Act, MCL §§ 493.51 et seq.; Consumer Financial Services Act, MCL §§ 487.2051 et seq.; Regulatory Loan Act, MCL §§ 493.1 et seq.; usury at MCL § 438.31 (civil), § 438.41 (criminal); business-entity usury exemption at MCL § 438.61 (Act 52 of 1970). [verified 2026-05-11]

MBLSLA covers persons “in the business of” mortgage loans on principal-residence 1–4 family dwellings. Non-owner-occupied investment property is outside MBLSLA scope — cleanly broader carve-out than most states. No separate MI commercial-lender license. [verified 2026-05-11]

Civil cap 7% (11% by written contract on consumer loans); MCL § 438.61 (the business-entity exemption) allows any rate of interest on loans to a “business entity” (corporation, LLC, partnership, trust, estate, cooperative, association, or a natural person who furnishes a sworn written statement specifying the business purpose) where the parties agree in writing; the statute is not gated on a $100,000 minimum. Criminal usury: MCL § 438.41 felony to knowingly charge > 25%/year on any loan, regardless of business purpose. After Soaring Pine the MI Supreme Court has held that usury savings clauses do NOT cure facially usurious rates — Hardline must hard-enforce 25% effective rate server-side. [verified 2026-05-11]

Mortgage Licensing Act (MLA), 7 Pa.C.S. §§ 6101 et seq.; Loan Interest and Protection Law (“Act 6”), 41 P.S. §§ 101 et seq. (as amended by Act 57 of 2008 raising the “Base Figure” from $50,000 to $217,873, indexed annually for CPI by Department of Banking and Securities published in the Pennsylvania Bulletin); Consumer Discount Company Act (CDCA), 7 P.S. §§ 6201 et seq.; usury at 41 P.S. § 201; criminal usury at 18 Pa.C.S. § 911(h). [verified 2026-05-11]

MLA covers consumer-purpose residential mortgage loans — business-purpose outside scope. The trap is Act 6. Act 6 applies to “residential mortgages” (defined as obligations to pay a sum of money in an amount less than or equal to the Base Figure, primarily secured by a PA 1–2 family residential dwelling) — regardless of consumer or business purpose. The Base Figure is no longer $50,000. Per the 2008 Act 57 amendments, the Base Figure resets each January under a CPI index. Published values: 2022 $278,204; 2023 $301,022; 2024 $312,159; 2025 $319,777. The 2026 figure is published by the Pennsylvania Department of Banking and Securities in the Pennsylvania Bulletin each November/December for the following calendar year — check the current notice before listing. Act 6 imposes a 6% rate cap, mandatory pre-foreclosure notices (Act 91 / Act 6 notice to cure), and attorney-fee restrictions on covered residential mortgages. [verified 2026-05-11]

41 P.S. § 201: 6% on “residential mortgages” (i.e., loans ≤ current Base Figure secured by 1–2 family PA residential); business loans > the Base Figure (or commercial loans regardless of size to a business entity) exempt under 41 P.S. § 301 — parties may contract any rate. Criminal usury under 18 Pa.C.S. § 911(h) targets specified “loan-sharking” patterns at 36% in connection with corrupt-organizations predicate offenses. [verified 2026-05-11]

Hardline should refuse to list any PA 1–2 family loan at or below the current published Act 6 Base Figure (for 2025: $319,777; verify each calendar year against the Pennsylvania Bulletin notice) absent an explicit Act 6 compliance attestation (6% rate cap, Act 91 / Act 6 notice scheme, attorney-fee compliance). The 2008 amendments dramatically expanded Act 6’s reach — this is now a most-loans gate, not a small-loans-only gate.