NMLS Study Guide 8

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  1. Which law requires lenders to give consumers a Loan Estimate of closing costs?
  2. Page 1 of the loan estimate includes the name and address of the creditor. If there are multiple creditors:
    Use the name of the creditor completing the form
  3. MDIA is an amendment to what law?
  4. The Mortgage Disclosure Improvement Act (MDIA) amends which federal Act?
    Regulation Z
  5. Which federal act introduced the idea of a qualified mortgage?
    Dodd-Frank Act
  6. The estimate for the interest rate shown on a Loan Estimate must be available for
    While the estimate for most settlement charges must be available for at least 10 business days, there are no restrictions on the amount of time an interest rate must remain available.
  7. RESPA laws were designed to do all EXCEPT
    allow lenders to require as much money as they see fit for escrows and reserves.
  8. What form is used to confirm that assets used in connection with a mortgage?
    A VOD, or Verification of Deposit, form is used to verify assets held in financial institutions.
  9. The borrower who pledges property to a lender as collateral is referred to as the
    • mortgagor
    • =bORrower
  10. A person who borrows money for a mortgage loan is the
    • mortgagor
    • or=BORrower
  11. allow for a cash-out in a two-time close if the equity exists.
    Construction permanent loans
  12. What is second largest component of a credit score?
    • amounts owed
    • 30% of a FICO score is determined by amounts owed in relationship to credit limits. The first at 35% is payment history.
  13. Who is NOT permitted to perform the loan closing?
  14. FHA Qualifying standards
  15. The rule that bans providers of mortgage foreclosure rescue and loan modification services from collecting fees until homeowners have a written offer from their lender or servicer that they decide is acceptable is the
    The Mortgage Assistance Relief Services (MARS) Rule
  16. When a seller owns a property that is to be resold during the first 90 days, a second appraisal is required for a conventional loan if the increase in price would be
    If the price exceeds the seller's acquisition price by more than 10 percent, a creditor shall not extend a higher-priced mortgage loan to a consumer to finance the acquisition without obtaining two written appraisals.
  17. What form is used to verify the payment history for a current home loan?
    The VOM is a Verification of Mortgage form.
  18. The Home Ownership and Equity Protection Act gives borrowers with high-cost loans
    three business days to rescind the loan.
  19. How many of the 125 questions on the National Test with Uniform State Content are scored?
  20. Which NMLS Form must be submitted to apply for a mortgage loan originator license?
    Form MU4
  21. Steering consumers to loan products that would result in greater compensation for a mortgage loan originator is prohibited by what legislation?
    Dodd-Frank Act
  22. Anderson Mortgage Company has decided to outsource its loan processing activities to Total Processing, Inc. Pursuant to their agreement, Anderson pays Total $300 per file when the loan closes and nothing for files that do not close. Is this a violation of RESPA?
    No, it is not a violation of RESPA to pay someone for services performed.
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NMLS Study Guide 8
2017-11-13 17:53:39

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