Florida MLO State Exam 2024
Questions with Complete Answers
|| (Verified BY Expert) || Already
Graded A+
Mortgage Guaranty Trust Fund - ANSWER ✔ The fund protects
consumers by insuring payment to those who suffer financial
losses due to fraud and/or deception by the mortgage originator.
Collection for the fund will begin in the 2010 licensing period and
include the following nonrefundable fees (in addition to the regular
application fee) for brokers, lenders, and originators:
Mortgage Guaranty Trust Fund - ANSWER ✔ $20 for each
individual
$100 for each mortgage brokerage and lending business
Guaranty Fund - ANSWER ✔ Mortgage Guaranty Trust Fund:
The collection will discontinue once the fund reaches 5 million and
will not be re-imposed until the fund dips below 1 million
Guaranty Claims - ANSWER ✔ Borrowers seeking recovery for
actions cannot collect more than $50,000 from the Mortgage
Guaranty Trust fund for any claim. Likewise, claims against any
one license may not exceed $250,000.
, Credit Score - ANSWER ✔ A loan originator applicant (including
control persons must authorize the registry (NMLS) to obtain an
independent credit report on the applicant from a consumer
reporting agency, and transmit or provide access to the report to
the office, but an applicant's credit score will not be used by the
Commissioner as a basis for denial. Some explanation of adverse
accounts may be necessary.
financial audit report - ANSWER ✔ mortgage lender, in order to
meet financial requirements for licensing, must indicate whether
they will be seeking a servicing endorsement on the application
form and submit a copy of their financial audit report for the most
recent fiscal year documenting their net worth.
Net worth requirements - ANSWER ✔ The following are the
minimum net worth requirements:
$63,000 if not seeking a servicing endorsement
$250,000 if seeking a servicing endorsement
Servicing Net Worth Requirement - ANSWER ✔ If the servicing
endorsement net worth of $250,000 is not met, the mortgage
lender must notify the Office within two (2) days and immediately
stop taking new loan applications
Servicing Net Worth Requirement - ANSWER ✔ If the servicing
net worth requirement is not met within 60 days (if prior to an
examination the mortgage lender makes the Office aware, they
will have 120 days), the license is canceled and the lender must
dispose of all servicing contracts.
Background Check - ANSWER ✔ Completion of a criminal
background check is required and involves fingerprinting and
submitting them to the FBI
, NMLS Criminal Disclosure - ANSWER ✔ Examples of necessary
criminal disclosures upon NMLS registration:
At ANY TIME time, been charged or convicted for any felony
Within the PAST 10 YEARS been charged or convicted to a
misdemeanor that involves financial services, fraud, false
statements, theft, omissions, extortion, forgery, etc.
Principals - ANSWER ✔ If the principle loan originator supervises
a mortgage broker business specifically, he/she must
demonstrate to the Office that he/she has been engaged in the
mortgage business for at least 1 year prior to the position
Disclosure of violent / drug / moral turpitude felonies - ANSWER
✔ Felony conviction or guilty plea for a violent crime or drug
offense that constitutes an act of moral turpitude in the past 15
years
Disclosure of felonies - ANSWER ✔ Felony conviction or guilty
plea within the past 7 years
Disclosure of midemeanors - ANSWER ✔ Misdemeanor
conviction or guilty plea involving fraud, dishonesty or any act of
moral turpitude in the past 5 years
Disclosure of Revocation - ANSWER ✔ Revocation of an
applicant or applicant's control person's mortgage broker license
in any jurisdiction at any time
Bankruptcy, convictions etc - ANSWER ✔ The following must be
reported to the OFR within 30 days:
After the date of conviction, entry of a plea of nolo contendere, or
final administrative action of any crime, administrative violation, or
felony involving fraud or any other act or moral turpitude
, Any action of bankruptcy, voluntary or involuntary, after the
action is instituted
Any change in to the initial application or any amendment form
(report to NMLS) after the change is effective
Control Person changes - ANSWER ✔ If a mortgage broker or
lender proposes to change any control persons listed on the initial
application, they must file an amendment through NMLS no later
than 30 days prior to the change or 2 business days after the date
the licensee first received notice of the change.
Mortgage lender Renewal - ANSWER ✔ $475 plus $100 for the
Trust Fund
Mortgage broker Renewal - ANSWER ✔ $375 plus $100 for the
guaranty fund fee
Mortgage lender/broker branch office Renewal - ANSWER ✔
$225
Loan originator Renewal - ANSWER ✔ $150 plus $20 guaranty
fund fee and $6 retained fingerprint fee
3 years ; 7 days - ANSWER ✔ Records of loan transactions,
disclosures, etc must be maintained for at least 3 years after he
date of "original entry." All records must be updated on a "current
basis" meaning within --7 days of when events occurred
3 business days - ANSWER ✔ If books and records are
requested by the OFR, and the books and records of a licensee
are kept at a location other than their principle place of business,
they must be provided within 3 business dyas of written request.
