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NMLS MLO Exam Syllabus Topics:
| Section | Objectives |
|---|---|
| Ethics and Professional Conduct | - Consumer Protection Standards - Fraud Prevention - Disclosure Requirements |
| Federal Mortgage-Related Laws | - Fair Housing Act - Truth in Lending Act (TILA) / Regulation Z - Equal Credit Opportunity Act (ECOA) - Real Estate Settlement Procedures Act (RESPA) |
| General Mortgage Knowledge | - Mortgage Types and Products - Underwriting Basics - Loan Origination Process - Loan Closing Procedures |
| Uniform State Content | - Licensing Requirements and Compliance - State Lending Regulations Overview |
NMLS Mortgage Loan Origination (SAFE MLO) Sample Questions:
1. Which of the following items may lenders use to verify a borrower's income for his ability to repay a mortgage?
A) The borrower's attestation that he expects a raise within 30 days
B) The income stated on the loan application
C) An electronic paystub
D) A copy of a check register
2. What are the maximum basis points added to the average prime offer rate (APOR) that keep a loan's APR as a qualified mortgage under the Consumer Financial Protection Bureau's (CFPB's) Safe Harbor Rule?
A) 150 basis points
B) 85 basis points
C) 100 basis points
D) 300 basis points
3. Which of the following fees is a finance charge?
A) Pest inspection fees
B) Title insurance
C) Appraisal fees
D) Discount points
4. Closed-end residential mortgage loan products, which are always classified as nontraditional mortgage loans, include:
A) Fully amortizing mortgage loans.
B) High-interest mortgage loans.
C) 30-year, fixed-rate mortgage loans.
D) Interest-only mortgage loans.
5. The characteristics of a fixed-rate mortgage include a:
A) fixed interest rate.
B) minimum balloon payment.
C) fixed margin.
D) mandatory 30-year term.
Solutions:
| Question # 1 Answer: C | Question # 2 Answer: C | Question # 3 Answer: D | Question # 4 Answer: D | Question # 5 Answer: A |
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