NMLS

NMLS Exam Questions and answers, VERIFIED/ RESPA ( Real Estate Settlement Procedure Act) Also know as Reg X - -- Allows borrowers to receive pertinent & timely disclosure for the nature and cost of real estate settlement process. - Protects consumer abusive practices such as Kick backs & places limitation on reserve accounts RESPA Prophibits Kickback or unearned fees RESPA is applicable to ? - -One to four unit residential properties RESPA is not applicable to ? - -- Commerical prope...

NMLS Exam Questions & Answers. 100% Accurate/ The preferred debt-to-income ratio for applicants for VA loans is: A. 35% B. 43% C. 50% D. 41% - -D. 41% When would a license be suspended without a hearing? A. If a licensee fails to renew B. If a licensee fails to request a hearing with the state regulator C. If a licensee has failed to complete pre-licensing requirements D. If a licensee has already executed a right to a hearing for a previous violation - -B. If a licensee fails to r...

NMLS – RESPA Questions and answers, rated A+ Real Estate Settlement Procedures Act (RESPA) will be administered and enforced by what agency: - -Consumer Financial Protection Bureau Real Estate Settlement Procedures Act (RESPA) insures that consumers throughout the nation are provided with more helpful information about what: - -The cost of the mortgage settlement and protected from unnecessarily high settlement charges caused by certain abusive practices. A required, standardized Goo...

NMLS PRACTICE QUESTIONS and answers, rated A+ which federal agency administers Regulation B implementing ECOA, Rgulation C implementig HMDA and Regulation Z implementing TILA? - -FEDERAL RESERVE SYSTEM the clause in a mortgage that allows the lender to foreclose if the borrower defaults is the - - Acceleration Clause at closing a borrower may deposit funds to establish reserves for which of the following? - -TAXES AND INSURANCE in a qualification of an applicant who receives child sup...

NMLS Exam Review Questions and answers, VERIFIED/ -AfBA/ABA stands for? -What is it? - --Affiliated Business Arrangement -If referring client to another business of yours (1%) then you must disclose ASAP Other ways to say "Doc Signing" - --Loan consummation -Loan Settlement -Loan Closing What is an escrow account? - --account holding money for insurance/taxes -AKA "impound account" or "reverse account" -What's an MU4? -What are requirements? - --Individual application after NM...

NMLS MLO Exam Questions and answers, rated A+ What must a borrower do to avoid having late payments reported to a credit bureau? - -Pay within 30 days of due date Max penalty if a borrower is required to use a specific title company or settlement agent? - -3 times the fee What should not be over-weighted in an analysis of borrower repayment capacity? - -Credit scores Max prepayment penalty on residential mortgages in the first year of the loan - -3% What must condominium associations ...

NMLS Practice Test Questions and answers, rated A+ 1) Seller can Sell property at a premium/profit with Fannie Mae financing after? 30 days •60 days •90 days - -•90 days 2) A COFI index is defined as? Cost of funds index •Cost of financial index •Cost of funding insurance - -cost of fund index 3) Subordinate financing relates to •seller financing. •second mortgages. •financing in the secondary mortgage market. •subprime loans. - -second mortgage 4) Explain what...

NMLS EXAM Review Questions and answers, rated A+ Fraud for money Laundering - --Criminal uses scheme known as value tampering -Criminal offers to buy house at reduced rate -Seller must sell at appraised value on paper, but after closing, seller give the criminal the difference in cash. Adverse Action - -An unfavorable credit decision rendered against a consumer made on the basis of information contained on the credit application. If a lender takes adverse action against an applicant, t...

NMLS Practice Test Hard Questions & Answers, Graded A+ A discount point is BEST described as a charge the borrower pays to: A.) A lender to decrease the interest rate on the mortgage loan B.) A mortgage broker at the time of application to obtain a favorable rate C.) The seller as part of the closing costs of a loan D.) A lender to ensure against foreclosure - -A.) A lender to decrease the interest rate on the mortgage loan A buyer has made an earnest money payment of $5,000. The buyer...

NMLS SAFE EXAM Questions and answers, VERIFIED/ What does TILA stand for? - -Truth-In-Lending Act, Regulation Z What is a HELOC loan? - -a secured loan in that you are borrowing against the equity that has been built in your house What is a REFI loan? - - LTV stands for - -Loan to Value Define PMI and state what the acronym stands for. - -Private mortgage insurance- on conventional loans Define one time variable funding fee and people in what situations is it waived for? - -Disabled ...