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NMLS MLO Exam Syllabus Topics:
| Section | Weight | Objectives |
|---|---|---|
| Topic 1: General Mortgage Knowledge | 20% | - Mortgage Fundamentals
|
| Topic 2: Ethics | 18% | - Ethical Practices
|
| Topic 3: Uniform State Content | 11% | - State Regulatory Content
|
| Topic 4: Mortgage Loan Origination Activities | 27% | - Loan Origination Process
|
| Topic 5: Federal Mortgage-Related Laws | 24% | - Federal Mortgage Laws
|
NMLS Mortgage Loan Origination (SAFE MLO) Sample Questions:
An individual who is a loan processor or underwriter must maintain a state originator license if they:
- A. perform clerical duties for a mortgage lender as a supervised employee
- B. are an independent contractor and collect, receive or distribute information in connection with making a credit decision.
- C. are an employee of a loan processing or underwriting company that supports a mortgage broker/lender and only perform supervised clerical duties.
- D. are not in communication with the consumer to obtain mortgage loan information.
Correct Answer: B 🗳️
Explanation: Only visible for Lead1Pass members. You can sign-up / login (it's free).
A qualified mortgage:
- A. Results in a balloon payment.
- B. Allows the consumer to defer repayment of principal.
- C. Results in an increase of the principal balance.
- D. Provides for regular periodic payments that are substantially equal.
Correct Answer: D 🗳️
Explanation: Only visible for Lead1Pass members. You can sign-up / login (it's free).
Which of the following loan types is regulated by the Home Ownership and Equity Protection Act (HOEPA)?
- A. USDA Rural Development
- B. Construction
- C. Reverse mortgage
- D. Refinance
Correct Answer: D 🗳️
Explanation: Only visible for Lead1Pass members. You can sign-up / login (it's free).
Which of the following actions do mortgage companies take to prevent falsified information by a borrower or mortgage loan originator (MLO)?
- A. Accept the documentation supplied by both the borrower and the MLO
- B. Verify the income information by a settlement service provider
- C. Verify information by third parties not involved in the transaction
- D. Accept the documentation supplied by the borrower
Correct Answer: C 🗳️
Explanation: Only visible for Lead1Pass members. You can sign-up / login (it's free).
A mortgage loan in which a large portion of the borrowed principal is repaid at the end of the loan period is known as a:
- A. deferred-payment mortgage.
- B. FHA mortgage.
- C. qualified mortgage.
- D. balloon mortgage.
Correct Answer: D 🗳️
Explanation: Only visible for Lead1Pass members. You can sign-up / login (it's free).
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