The state of Washington has recently increased regulatory scrutiny of mortgage licensees, with a noticeable rise in citations issued under WAC 208-660-446. For state regulated licensees, this trend serves as a clear reminder: advertising and marketing practices remain a top examination priority.
Below are the most common findings from recent Washington exams — and what your institution should be reviewing right now.
One of the most frequent violations involves the use of misleading superlatives such as:
Under WAC 208-660-446, these phrases are strictly prohibited when describing rates, fees, or loan programs unless they can be fully substantiated — and in Washington’s case, regulators generally view these terms as inherently misleading. Even with qualifiers like “best rates for your circumstances”, Washington examiners are clear: avoid superlatives in mortgage advertising.
Compliance Tip: Review all ad campaigns – including website pages and social media posts – for prohibited superlative language.
Another recurring finding is the use of promotional claims that cannot be fully supported. Statements like this often omit critical conditions, limitations, or timing nuances. If a claim cannot be universally supported for all consumers — or lacks clear disclosures — it creates regulatory risk. Such as:
Compliance Tip: Ensure every promotional claim:
Testimonials remain an area of heightened regulatory attention. Examiners have cited institutions for displaying, or “repurposing”, consumer reviews on their websites or social media that contain prohibited phrases such as:
While companies may not control reviews posted on third-party platforms, they do control:
If your institution republishes a testimonial containing prohibited language, it becomes your advertisement — and therefore your compliance responsibility.
Compliance Tip: Implement a formal testimonial review process before reposting or embedding reviews or outline clear guide rails in your marketing compliance policy for this practice.
Another common finding is failure to include a link to: nmlsconsumeraccess.org. Washington requires clear consumer access to licensing information in an effort to support consumer visibility & choice into who they elect for services. The link must be visible and functional across applicable webpages and digital marketing channels.
Compliance Tip: Confirm the NMLS Consumer Access link is:
Examiners have also cited companies for failing to display the institution’s true legal business name on websites and social media profiles. Even if you operate under a DBA registered with the Secretary of State (SOS) and that DBA appears in NMLS Consumer Access, the company’s full legal name must still always be displayed.
This applies to:
Compliance Tip: Conduct a branding audit to ensure your legal name appears consistently alongside any DBA and provide coaching internally to production staff on this topic.
Washington regulators are clearly prioritizing advertising compliance. Small wording choices and minor omissions are leading to exam findings, costly enforcement action, and even potential loss of licensure. Mortgage compliance extends across the full surface of a brand, including:
Proactive monitoring is a critical component of the compliance narrative to regulators. Automated advertising review tools can help identify:
ActiveComply can help you identify these issues before your next Washington exam. Reach out to hello@activecomply.com to learn more about how to assess your current WA compliance risk today.