NMLS Test I

Age

What is NOT considered a protected class under the Fair Housing Act?

7 Years

What is the maximum length of time that collection information can be reported on a credit report according to the Fair Credit Reporting Act?

RESPA

What law regulates settlement and closing procedures and practices?

Likelihood of continued income

What may an underwriter use as a basis for approving a mortgage loan application?

Home equity lines of credit

What type of loan requires reporting under the Home Mortgage Disclosure Act?

March 1

After the collection of statistical data, lenders are required to forward that information to the regulator by what date under the Home Mortgage Disclosure Act?

'can call Bob for up to 3 months from the meeting date

Bob meets with a loan originator at XYZ Mortgage Company to inquire about loan options. His name is on the National Do Not Call Registry but not on XYZs internal do not call list. XYZ

'Helen's application to purchase a duplex where she will live in one unit and rent the other'

Broker Danny is currently working on four loan applications. For which transaction must Danny follow the regulations of the Truth in Lending Act?

80% Conventional Loan

Debra is borrowing $160,000 to purchase a home that has an appraised value and sales price of $200,000. Which type of conventional loan is she getting?

'Section X of the Residential Loan Application

During the loan process, you find the government monitoring information on

'A customer calls and informs the loan officer of her income, states her debt, and says her credit is struggling. The loan officer suggests that she clean the credit to obtain loan approval

ECOA considers an oral application the same as a written application, requiring standard disclosures. Which is an example of an oral application?

TILA

HOEPA is an addendum to what law?

15%

Gary has a stable monthly income of $4,000 and recurring debts of $600. What is his current consumer debt ratio?

possible discriminatory lending patterns

HMDA identifies...

RESPA

If a loan includes an escrow account, the lender is allowed to require a cushion of up to two months, according to what law?

Indefinitely

Ike closes a loan with Max Mortgage. His name is not on the National Do Not Call Registry nor on Max internal do not call list. Max Mortgage can call Ike

Home Mortgage Disclosure Act

Regulation C is more commonly known as the

30

The Equal Credit Opportunity Act is a law that requires the lender to provide the borrower a reason for rejection of credit in writing within how many days of loan application?

Regulation B

The Equal Credit Opportunity Act is also known as

'regulates advertising with references to mortgage interest rates

The Federal Truth in Lending Act does what:

Section 32

The Home Owner Equity Protection Act is also known as

HERA

The SAFE Act is part of what larger law?

Owner Occupied Refinance

The right of rescission is in effect for what type of loan closing (assuming it is not a high-cost loan)?

'treat income the same, regardless of source

To comply with the ECOA, non-taxable income such as Social Security is grossed up in the mortgage industry in order to

bankruptcies be removed from their credit report after five years, if credit has been reestablished

Under the FCRA, consumers do NOT have the right to