Apply for a Credit Access Business License

If you have specific legal questions, please seek the advice of an attorney.

Review the information below before applying for a Credit Access Business (CAB) license through NMLS.

Who Needs a Credit Access Business License?

Businesses that assist consumers in obtaining certain short-term loans from third-party lenders may need a Credit Access Business license.

Credit access businesses obtain credit for consumers from an independent third-party lender in the form of a deferred presentment transaction or a motor vehicle title loan, more commonly known as a payday loan or title loan.

In Texas, the third-party lender is generally not licensed by the OCCC. Instead, the credit access business that arranges or brokers the loan is the licensed entity. The credit access business charges the consumer a fee for obtaining the loan, which is commonly calculated as a percentage of the loan amount.

In a typical transaction, the borrower signs a promissory note with the lender for the loan and a separate credit services agreement with the credit access business. Generally, all documents are signed at the credit access business location, and payments are made directly to the credit access business.

This is a general description and may not apply to every situation. Review applicable laws and regulations to determine whether licensure is required for your business activities.

Not sure if you need a license? OCCC staff cannot determine whether a business requires licensure or advise applicants which license or registration type to select. This determination must be made by the applicant based on its own assessment of its business activities and applicable regulatory requirements. Businesses seeking guidance should consult an attorney or compliance professional.

How Do I Apply?

Applications for Credit Access Business licenses must be submitted through NMLS.

• New applicants must create an NMLS account before applying.
• Businesses with an existing NMLS account should submit the application through their existing entity account.
• Applicants should review the applicable application checklist before beginning the application process.

Need an NMLS Account?

If you do not have an NMLS account, obtain IRS documentation that exactly matches your legal entity name and FEIN before beginning the account creation process.

Review the NMLS Quick Tips Resource for instructions on setting up your account.

For assistance creating an account, contact the NMLS Call Center at 1-855-665-7123.

What License Type Should I Select?

In NMLS, the first Credit Access Business license issued to an entity is a Company License. Any additional licensed locations operating under the same entity are licensed as Branch Licenses.

A Company License application must be submitted before a Branch License may be issued. Approval of the Company License application is not required prior to submitting Branch License applications.

Please review license types carefully before submitting your application, as NMLS and application fees are generally non-refundable.

Additional Locations

If your company operates from more than one location, each additional location must be licensed as a Branch License. You must first apply for a Company License before applying for any Branch Licenses. Approval of the Company License application is not required prior to submitting Branch License applications.

Trade Names (DBAs/Assumed Names)

Other Trade Name (OTN) licenses are address-specific. In NMLS, each Company License or Branch License is associated with a single address, and OTN requirements are determined separately for each address.

• The first trade name used at an address does not require an OTN license and should be added directly to the applicable MU1 Company License/Application or MU3 Branch License/Application for that address.
• If two or more trade names are used at the same address, each additional trade name requires an OTN license.
• OTN licenses are tied to a specific address and cannot be shared across locations.
• If the same additional trade name is used at multiple branch addresses, each branch address must obtain its own OTN-Branch License.

Example: A branch location operating under one trade name does not require an OTN license. If that same address begins using a second trade name, the second trade name requires an OTN license.

Business Transfers and Ownership Changes

NMLS does not offer a transfer application.

If a business acquires an existing CAB-licensed company and the acquisition results in a new FEIN, the acquiring business must submit a new Company License application through NMLS.

During the application process, upload documentation demonstrating the transfer event, such as a signed asset purchase agreement or similar supporting documentation, to the MU1 Document Uploads section of NMLS.

Upload the document under Additional Requirement(s) and name the file:

TX Proof of Transfer as of YYYY-MM-DD

NMLS Document Upload Guide

If the seller authorizes the purchaser to operate under the existing license while the application is under review, the purchaser must also complete and upload a Request for Permission to Operate form.

Upload the completed form under Additional Requirement(s) and name the file:

TX Permission to Operate as of YYYY-MM-DD

Permission to Operate Form

Has ownership changed, but the FEIN remains the same?

If the business FEIN remains the same, a new Credit Access Business license application is generally not required solely because ownership has changed. Ownership information should instead be updated through the company’s MU1 filing in NMLS.

For assistance with updating ownership information, contact the NMLS Call Center at 1-855-665-7123.

What Information and Documents Will I Need?

Before applying, review the applicable license checklist:

• Credit Access Business Company License Checklist
  
• Credit Access Business Branch License Checklist
  

Most licensing delays result from missing information, incomplete documentation, or application deficiencies. Reviewing the checklist before applying can help avoid delays.

Need Help with NMLS?

OCCC staff cannot access applicant NMLS accounts, upload documents, or perform account maintenance on behalf of applicants.

For assistance with account creation, system navigation, document uploads, or account-related questions, contact the NMLS Call Center at 1-855-665-7123, Monday through Friday, 9:00 a.m. to 9:00 p.m. Eastern Time.

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