A State regulatory department can charge a civil penalty for non-compliance up to what amount per violation?

The appropriate civil penalty amount that a State regulatory department can charge for non-compliance is set at $25,000 per violation. This figure is grounded in state regulations aimed at ensuring compliance with laws governing financial transactions, including those related to mortgage lending. The rationale behind this penalty structure is to deter non-compliance through significant financial consequences, thus promoting ethical practices within the industry.

The established amount reflects consideration of the severity of regulatory violations and the need for effective enforcement to maintain trust in the financial system. It serves to underscore the importance of adhering to established guidelines and laws, as violations can result in harm to consumers and the wider market. Therefore, the $25,000 penalty serves as both a punishment and a regulatory tool to encourage compliance among mortgage loan officers and other financial entities.