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NMLS MLO Exam Syllabus Topics:

SectionObjectives
General Mortgage Knowledge- Loan Closing Procedures
- Mortgage Types and Products
- Loan Origination Process
- Underwriting Basics
Uniform State Content- Licensing Requirements and Compliance
- State Lending Regulations Overview
Federal Mortgage-Related Laws- Real Estate Settlement Procedures Act (RESPA)
- Truth in Lending Act (TILA) / Regulation Z
- Fair Housing Act
- Equal Credit Opportunity Act (ECOA)
Ethics and Professional Conduct- Disclosure Requirements
- Fraud Prevention
- Consumer Protection Standards

NMLS Mortgage Loan Origination (SAFE MLO) Sample Questions:

1. Which of the following is an origination fee?

A) Appraisal fee
B) Title insurance fee
C) Prepaid Interest fee
D) Underwriting fee


2. After receiving a completed application for a creditor's approval of a counteroffer, the creditor must notify an applicant of action taken within how many calendar days?

A) 20 calendar days
B) 60 calendar days
C) 15 calendar days
D) 30 calendar days


3. A mortgage loan originator (MLO) submits a refinance application for a primary residence. However, if the MLO later discovers that the property is no longer occupied by the borrower, which of the following actions, if any, should the MLO take?

A) Allow the application to be underwritten before raising any concerns
B) Notify the MLO's employer and/or the mortgage lender of the discovery
C) Allow the mortgage loan processor and/or underwriter to discover this through their due diligence processes
D) Take no action as the property was occupied at the time of application


4. Which of the following fees is a finance charge?

A) Discount points
B) Title insurance
C) Appraisal fees
D) Pest inspection fees


5. Which of the following acts requires mortgage loan originators to complete annual continuing education to satisfy the requirement for licensure?

A) The Truth in Lending Act (TILA)
B) The Equal Credit Opportunity Act
C) The Dodd-Frank Act
D) The SAFE Act


Solutions:

Question # 1
Answer: D
Question # 2
Answer: D
Question # 3
Answer: B
Question # 4
Answer: A
Question # 5
Answer: D

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