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Mortgage Loan Origination (SAFE MLO) Exam

Last Update 3 days ago
Total Questions : 230

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Question # 61

Which of the following is considered a prohibition under the Real Estate Settlement Procedures Act (RESPA)?

Options:

A.  

Hosting an educational seminar at no cost to the participants

B.  

Donating an item of value to a silent auction hosted by a charity

C.  

Sponsoring a little league team where the company name is on the uniforms

D.  

Renting office space at lower rates based on the whole or in the amount of business referred

Discussion 0
Question # 62

Which of the following responses describes the required amount of flood insurance coverage?

Options:

A.  

The original appraised value of the home

B.  

The outstanding principal balance of the loan

C.  

The minimum amount of National Flood Insurance Program coverage available

D.  

The property value on file with the county property valuation administrator office

Discussion 0
Question # 63

During the loan application process, which of the following documents specifies the time period that a mortgage lender agrees to hold the mortgage interest rate at a certain percentage?

Options:

A.  

Loan application

B.  

Preapproval letter

C.  

Closing Disclosure

D.  

Rate lock agreement

Discussion 0
Question # 64

How often must a nonexempt telemarketing entity check their call list against the National Do Not Call Registry?

Options:

A.  

Every 7 days

B.  

Every 2 weeks

C.  

Every 31 days

D.  

Annually

Discussion 0
Question # 65

Maximum available flood insurance structure coverage for a residential property from the National Flood Insurance Program is what amount?

Options:

A.  

£250,000

B.  

£500,000

C.  

$750,000

D.  

$1,000,000

Discussion 0
Question # 66

Which of the following acts provides a state licensing and regulatory agency to investigate and examine a mortgage company?

Options:

A.  

SAFE Act

B.  

Truth in Lending Act (TILA)

C.  

Real Estate Settlement Procedures Act (RESPA)

D.  

Home Ownership and Equity Protection Act (HOEPA)

Discussion 0
Question # 67

Which of the following factors does not affect the funding fee on a VA purchase?

Options:

A.  

Service-connected disability

B.  

First-time user

C.  

Marital status

D.  

Loan-to-value ratio

Discussion 0
Question # 68

Which of the following is not a primary function for compensation undertaken by a mortgage loan originator on an FHA loan?

Options:

A.  

Taking an application

B.  

Offering or negotiating credit terms

C.  

Assisting a consumer in applying for credit

D.  

Performing real estate brokerage activities

Discussion 0
Question # 69

Which of the following federal laws requires disclosures intended to prevent lenders or mortgage loan originators (MLOs) from increasing fees during the origination process?

Options:

A.  

Truth in Lending Act (TILA)

B.  

Equal Credit Opportunity Act (ECOA)

C.  

Home Mortgage Disclosure Act (HMDA)

D.  

Real Estate Settlement Procedures Act (RESPA1)

Discussion 0
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