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NMLS Mortgage Loan Origination (SAFE MLO) Sample Questions:

1. Which of the following fees must remain the same unless a valid changed circumstance occurs?

A) Total per diem interest
B) Owner's title insurance premium
C) Homeowner's insurance
D) Fees paid to an affiliate of the lender


2. The SAFE Act mandates that state regulatory authorities must have legal mechanisms to impose civil money penalties for which of the following activities?

A) Discriminating against applicants based on their race
B) Paying or receiving referral fees
C) Charging fees in excess of allowable tolerances
D) Acting as a mortgage loan originator without a valid license or registration


3. Which of the following items is a liquid asset?

A) Publicly traded stocks
B) An automobile owned free and clear
C) Net worth of a business
D) Antique jewelry


4. After receiving a completed application for a creditor's approval of a counteroffer, the creditor must notify an applicant of action taken within how many calendar days?

A) 15 calendar days
B) 30 calendar days
C) 60 calendar days
D) 20 calendar days


5. Which of the following actions by a mortgage loan originator is prohibited regarding credit secured by a dwelling?

A) Receiving compensation from both the borrower and the lender
B) Providing a copy of the credit application to the primary borrower
C) Providing disclosures within three days of an application
D) Presenting program options that best qualify and satisfy the consumer


Solutions:

Question # 1
Answer: D
Question # 2
Answer: D
Question # 3
Answer: A
Question # 4
Answer: B
Question # 5
Answer: A

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