Real Estate Trainers

1) All of the following are true regarding the Closing Disclosure, except: A. The creditor and the settlement agent can share responsibility for the Closing Disclosure. B. The settlement agent can complete all or part of the Closing Disclosure for the creditor. C. The creditor and the settlement agent must maintain close communication to ensure timely delivery of the Closing Disclosure. D. If the settlement agent prepares the entire Closing Disclosure, the settlement agent becomes responsi...

1) With an ARM, what is the shortest period of time the interest rate or payment amount could remain in effect: A. One month B. Six months C. One year D. Five years correct answer: A. One month 2) With an ARM, if interest rates are stable and do not rise, can payments rise and why: A. No, because rise in payments is tied to an increase in interest rates B. Yes, because an interest rate cap may have held the borrower's rate and payment below what it would have been if the change in...

1. All of the following statements are true about a partially amortized loan, except: A. The periodic payments do not fully amortize the loan by the end of the term. B. The final payment is a balloon payment. C. A partially amortized loan is a self-liquidating loan. D. Interest is being paid throughout the term. correct answer: C. Yes, all of these statements are true, except for C. 2. Which of the following is the best statement regarding a straight term mortgage: A. Payments are m...

1) The document which combines the Truth in Lending Statement required by TILA and the Good Faith Estimate required by RESPA is which of the following: A. The Home Loan Toolkit. B. The Loan Estimate. C. The Mortgage Servicing Disclosure Statement. D. The Closing Disclosure. correct answer: B. This is a statement of fact. 2) Until the Loan Estimate disclosure and other required disclosures are delivered to the borrower, an MLO may charge the borrower which of the following fees: A. A...

1) Mortgage loan fraud is reported at what level? A. State B. Federal C. County D. City correct answer: B. Mortgage Fraud is reported to the FBI and to HUD. 2) Title V of the Housing and Economic Recovery Act (HERA) of 2008 is best known as: A. The SAFE Act B. RESPA C. TILA D. CRA correct answer: A. The complete name of which is the Secure and Fair Enforcement for Mortgage Licensing Act of 2008. 3) The Nationwide Mortgage Licensing System & Registry (NMLS) was begun by which...

1) If applicable, and if the settlement service provider is other than the lender, which of the following disclosures is required before settlement but is not required within 3 business days after receipt of a completed application: A. Mortgage Servicing Disclosure Statement. B. Affiliated Business Arrangement (AfBA) Disclosure. C. Initial Escrow Statement. D. Servicing Transfer Statement. correct answer: B. In this case, the AfBA must be given at the time of the referral, or before if th...