Ed Reed Ed Reed's Profile Page

Ed Reed Ed Reed

0 Course Enrolled • 0 Course Completed

Biography

Exam MLO Details | Efficient Certification MLO Cost: Mortgage Loan Origination (SAFE MLO) Exam 100% Pass

Provided you get the certificate this time with our MLO practice materials, you may have striving and excellent friends and promising colleagues just like you. It is also as obvious magnifications of your major ability of profession, so MLO practice materials may bring underlying influences with positive effects. The promotion or acceptance will be easy. So it is quite rewarding investment. Propulsion occurs when using our MLO practice materials. They can even broaden amplitude of your horizon in this line. Of course, knowledge will accrue to you from our MLO practice materials.

Taking MLO practice exams is also important because it helps you overcome your mistakes before the final attempt. When we talk about the Mortgage Loan Origination (SAFE MLO) Exam (MLO) certification exam, the NMLS MLO practice test holds more scoring power because it is all about how you can improve your MLO Exam Preparation. PassLeader offers desktop practice exam software and web-based MLO practice tests. These MLO practice exams help you know and remove mistakes.

>> Exam MLO Details <<

Exam MLO Details Useful Questions Pool Only at PassLeader

In order to meet different needs of our customers, we offer you three versions of MLO study materials for you. Each version has its own advantages, and you can choose the most suitable one according to your own needs. MLO PDF version is printable, and if you like paper one, you can choose this version. MLO soft test engine can stimulate the real exam environment, and you can build your confidence if you choose this version. MLO Online test engine can practice offline and can record the training process, if you have the needs like this, you can choose this version.

NMLS Mortgage Loan Origination (SAFE MLO) Exam Sample Questions (Q154-Q159):

NEW QUESTION # 154
Which of the following statements is true regarding a fixed-rate mortgage?

A. The rate is fixed for 10 years and then adjusts every year thereafter.
B. The rate is fixed for 15 years and is followed by a single balloon payment.
C. The rate is fixed for 30 years with no adjustment.
D. The rate is fixed for 5 years and is followed by a step-up for 5 years.

Answer: C

Explanation:
A fixed-rate mortgage (FRM) is a mortgage loan where the interest rate remains constant for the entire term of the loan, regardless of changes in market interest rates. These loans typically come in terms of 15, 20, or 30 years, with 30-year fixed-rate mortgages being the most common in the U.S.
"A fixed-rate mortgage is one in which the interest rate remains the same for the entire term of the loan. The most common term is 30 years. This provides borrowers with a stable and predictable monthly payment over the life of the loan."
- SAFE Mortgage Loan Originator Test Prep Guide (NMLS-approved)
"Unlike adjustable-rate mortgages, fixed-rate mortgages do not change over time. The interest rate is locked in at the time of loan origination."
- U.S. Department of Housing and Urban Development (HUD), Mortgage Basics Guide The other options describe adjustable-rate mortgages (ARMs) or balloon mortgages, which are distinctly different products:
* Option A: Describes a type of step-rate mortgage, not a fixed-rate loan.
* Option B: Refers to a 10/1 ARM, not a fixed-rate mortgage.
* Option C: Refers to a balloon mortgage, where a large payment is due at the end of the term.
Therefore, only Option D accurately describes a true fixed-rate mortgage product.
References:
SAFE MLO National Test Study Guide
NMLS Uniform State Content Outline
HUD Mortgage Basics Guide
CFPB Real Estate Settlement Procedures (RESPA) Overview

NEW QUESTION # 155
In a federally related mortgage loan transaction, a charge for a settlement service by a person for which no services or nominal services are performed is prohibited:

A. unless it is paid by the mortgage loan originator on the borrower's behalf.
B. regardless of the sources of payment.
C. unless it is paid by the seller or the seller's real estate agent.
D. only if it is paid by the borrower's real estate agent.

Answer: B

Explanation:
Under RESPA (Real Estate Settlement Procedures Act), it is illegal to charge a fee for a settlement service if no services or only nominal services are performed. This is true regardless of who pays the fee, whether it's the borrower, seller, real estate agent, or any other party. RESPA prohibits unearned fees, kickbacks, or payments for referrals in federally related mortgage transactions.
* Even if someone other than the borrower pays, the charge is still illegal if it is not justified by actual services performed.
References:
* RESPA Section 8 - Prohibition on kickbacks and unearned fees
* CFPB RESPA Guidelines

NEW QUESTION # 156
A loan applicant inquires about refinancing his primary residence. He reports receiving a competitor's quote of a 3.5% interest rate with no points. The mortgage loan originator (MLO) discovers that the best interest rate available at this time is 3.75% with no points. To get the applicant a 3.5% interest rate, the applicant needs to pay a 1.00% discount point. Which of the following interest rates is the MLO permitted to offer to the applicant?

A. 3.50% interest rate with a 1.00% discount point
B. 3.00% interest rate with a 0.50% discount point
C. 3.50% interest rate with no points
D. 3.25% interest rate with no points

Answer: A

Explanation:
A mortgage loan originator must only offer rates and terms that are actually available at the time. If a 3.5% rate is only available with 1 discount point, that is the only option the MLO may lawfully present.
"Originators may only quote and offer the rates, terms, and fees actually available from the creditor."
- Regulation Z, 12 CFR § 1026.25, SAFE MLO National Test Study Guide
References:
SAFE MLO National Test Study Guide
CFPB, Loan Estimate and Closing Disclosure FAQs

NEW QUESTION # 157
Which of the following is an example of a non-fluctuating income source?

A. Salaried W-2 position
B. Self-employed income
C. Commission-based W-2 income
D. Part-time work with irregular hours

Answer: A

Explanation:
A salaried W-2 position is an example of non-fluctuating income because the borrower receives a consistent, fixed salary each pay period. This type of income is easy to verify and predict, making it ideal for mortgage qualification.
Other types of fluctuating income:
* Self-employed income (B) and commission-based income (C) vary based on the nature of work and can fluctuate month to month.
* Part-time work with irregular hours (D) also fluctuates due to varying work hours, making it inconsistent.
References:
* Fannie Mae Selling Guide for income verification
* Freddie Mac's Loan Product Advisor for employment income documentation

NEW QUESTION # 158
A mortgage loan originator (MLO) received a salary of 1% per loan plus a bonus of $5,000 for closing the most loans in the office last year. In addition, he received a trip to Hawaii based on closing 100 or more transactions with an interest rate of 5% or higher. Is the MLO's compensation prohibited?

A. His compensation is permitted as compensation only includes salary and bonuses and his salary and bonus is not based on loan terms.
B. His compensation is not permitted as compensation only includes salary and his salary is based on loan terms.
C. His compensation is not permitted as compensation includes all financial incentives and his trip was awarded based on closing the most loans with certain loan terms.
D. His compensation is permitted as compensation only includes salary and his salary is not based on loan terms.

Answer: C

Explanation:
Under Dodd-Frank Act regulations and Regulation Z (TILA), mortgage loan originators (MLOs) cannot be compensated based on the terms of the loan, such as interest rates, loan amount, or product type. This includes any financial incentives, like bonuses or rewards, tied to loan terms. In this case:
* The trip to Hawaii was awarded based on closing loans with an interest rate of 5% or higher, which directly ties the MLO's compensation to a specific loan term (the interest rate).
* This violates the Loan Originator Compensation Rule, which prohibits compensating MLOs based on the terms or conditions of a loan, in order to protect borrowers from steering into unfavorable loan products.
Therefore, all forms of compensation-including bonuses, trips, or other rewards-are scrutinized if they are tied to loan terms, making the MLO's trip to Hawaii an illegal incentive under current law.
References:
* Dodd-Frank Act - Loan Originator Compensation Rules
* TILA/Regulation Z - Anti-Steering and Loan Terms Compensation Rules

NEW QUESTION # 159
......

The MLO study material provided by PassLeader can make you enjoy a boost up in your career and help you get the MLO certification easily. The 99% pass rate can ensure you get high scores in the actual test. In order to benefit more candidates, we often give some promotion about our MLO Pdf Files. You will get the most valid and best useful MLO study material with a reasonable price. Besides, you will enjoy the money refund policy in case of failure.

Certification MLO Cost: https://www.passleader.top/NMLS/MLO-exam-braindumps.html

Success in the Mortgage Loan Origination (SAFE MLO) Exam (MLO) test helps you land well-paying jobs, Besides, they still pursuit perfectness and profession in their career by paying close attention on the newest changes of Certification MLO Cost Certification MLO Cost - Mortgage Loan Origination (SAFE MLO) Exam practice exam questions, These professionals have deep exposure of the test candidates’ problems and requirements hence our MLO test dumps cater to your need beyond your expectations, So our study materials are helpful to your preparation of the MLO exam.

That, after all, was the way things regularly happened on the World Wide Web, wasn't it, Book Acknowledgments xxi, Success in the Mortgage Loan Origination (SAFE MLO) Exam (MLO) test helps you land well-paying jobs.

Besides, they still pursuit perfectness and profession in MLO their career by paying close attention on the newest changes of SAFE MLO Mortgage Loan Origination (SAFE MLO) Exam practice exam questions.

MLO test dumps, NMLS MLO exam pdf braindumps

These professionals have deep exposure of the test candidates’ problems and requirements hence our MLO test dumps cater to your need beyond your expectations.

So our study materials are helpful to your preparation of the MLO exam, Take action now, to have something to pursue and to become strengthener.

Cookie	Duration	Description
cookielawinfo-checkbox-analytics	11 months	This cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Analytics".
cookielawinfo-checkbox-functional	11 months	The cookie is set by GDPR cookie consent to record the user consent for the cookies in the category "Functional".
cookielawinfo-checkbox-necessary	11 months	This cookie is set by GDPR Cookie Consent plugin. The cookies is used to store the user consent for the cookies in the category "Necessary".
cookielawinfo-checkbox-others	11 months	This cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Other.
cookielawinfo-checkbox-performance	11 months	This cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Performance".
viewed_cookie_policy	11 months	The cookie is set by the GDPR Cookie Consent plugin and is used to store whether or not user has consented to the use of cookies. It does not store any personal data.

Ed Reed Ed Reed

Biography

COOKIE NOTICE