NMLS

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 pays an additional $2,000 in option money to be credited a...

Which federal law requires that the Loan Estimate be provided to the borrower within three business days of the time of loan application is taken? - TILA What type of scam entails homeowners who are encouraged to refinance their property over and over until little or no equity remains? - Loan flipping or churning After a loan closing, funds are disbursed. When are the funds disbursed for an owner-occupied, residential refinance? - After 3 business-day rescission period What is the adjustab...

California State NMLS Practice Test Exam Questions with Correct Answers A borrower approaches a lender to refinance their existing negative amortization loan, which was originated by that same lender. Which of the following statements is incorrect? A. The lender must make due regard for the borrower's ability to repay the new loan. B. The new loan cannot be a stated income pay option arm. C. The lender can collect a prepayment penalty, as long as it does not exceed 1.75% of the p...

Module 1 NMLS exam questions with complete answers latest update What can result in a 1,000,000 fine and 30 years in prison? - Answer-Acts of mortgage fraud Definition of the term "creditor" - Answer-The Equal Credit Opportunity Act (ECOA), the Fair Credit Reporting Act (FCRA), and the Fair and Accurate Credit Transactions Act (FACTA) all use the same definition for creditor. A creditor is any person who regulary extends, renews, or continues credit. Loan originators, lenders, and other ...

Mortgage NMLS Exam Questions with Correct Answers Deed of Trust - Answer-Legal document between lender and borrower (aka the trustor) which is used in some states instead of a mortgage to transfer a property's legal title to a neutral third party (trustee) to secure the repayment of loan. Discount Points - Answer-Fees charged by a lender to borrowers at closing to lower the stated interest rate and the interest portion of each monthly payment. Ethics - Answer-Set of values, conduct, an...

NMLS - Champion Test Exam Questions and Answers Which law sets forth escrow requirements for higher priced mortgage loans? - Answer-Truth in Lending Act Which federal act introduced the idea of a qualified mortgage? - Answer-Dodd-Frank Act The federal Truth In Lending Act - Answer-regulates advertising with references to mortgage interest rates. What action would not be considered "adverse action" according to the Fair Credit Reporting Act - Answer-granting a mortgage loan based on...

Nmls exam 2 questions with complete solutions (Graded A+) annually - Answer-For a loan that has escrow included RESPA requires a lender to perform an escrow analysis Cannot call the borrower because she is on the lending company's do not call list - Answer-A borrowers name is on the national do not call list and on the lending company internal do not call list the borrower calls the mortgage for a loan qualification the mortgage loan originator Regulation z and regulation x - Answer-...

NMLS exam Questions with 100% Verified Answers (Rated A+) servicing a mortgage loan - Answer-collecting payments and maintaining a payment schedule and escrows, which can be optional, for a mortgage loan. loan to value ratio - Answer-The amount of money borrowed compared to the appraised value or the sale price of a property, whichever is less margin - Answer-The portion of the ARM that cannot change and is used to compute the interest rate on a variable rate mortgage is known as the ...

NMLS Exam Questions with Complete Solutions Latest Update 15 - Answer-The Notice of Transfer of Servicing Rights is due within ___ days prior to transfer. The lender or servicer must provide notice to the borrower. 15 - Answer-The new loan servicer must provide notice within ___ days after the transfer has occurred. 60 - Answer-The borrower cannot be charged a late fee for any payments made on time to the previous server for ___ days 3 - Answer-A copy of the LE must be provided to th...

NMLS Exam Questions with Correct Answers (Definite Pass) All of the following types of information must be reported for government monitoring purposes in accordance with HMDA, except: Identification of loans subject to HOEPA Action taken on the loan and the location of the subject property Ethnicity, race, sex, and income of the applicant Ethnicity, race, sex, and religion of the applicant - Answer-ethnicity, race, sex, and religion of the applicant The administrative authority of the ...