Numbers
After taking a complete application, an MLO has this many days to send a loan estimate.
3 business days.
The Ability to Repay Rule fall under this law.
TILA
Regulation Z
TILA (Truth In Lending Act)
MIP is an acronym for this.
Mortgage Insurance Premium
Luke is a mortgage loan originator, and he is working with a new borrower.
Luke needs to determine how much the home is worth versus the loan amount that the new borrower is requesting.
What is Luke attempting to determine?
LTV
This many years of employment are required for a loan application.
2 years
This law outlines licensing requirements for MLOs.
SAFE Act
Regulation X
RESPA (Real Estate Settlement Procedures Act)
This is the name of the automatic underwriting system used by Fannie Mae.
Desktop Underwriter (DU)
Anna is looking to purchase a new home. She lives in a small town of under 20,000 people. This is a good loan program that she could use.
USDA loan
This section of RESPA covers Kickbacks.
8
This law prohibits loan originator compensation from being based on the terms of the loan.
Loan Origination Compensation Law
Regulation B
ECOA (Equal Credit Opportunity Act)
This type of appraisal uses similar homes that have recently sold to determine the value.
Sales Comparison Approach
Joanna is looking to purchase a property and needs a loan for $750,000. She will need this type of mortgage loan.
Jumbo loan
The Uniform Residential Appraisal Report is filled out on this form.
URAR 1004
This law requires that identification be provided for a mortgage transaction.
USA Patriot Act
Regulation H
S.A.F.E. Mortgage Licensing Act
Section 35 of TILA governs this type of loan.
Higher Priced
A potential borrower calls you for rates and programs.
Assume that they are on the DNC Registry.
You are allowed to call them back for up to ___ months.
3
The Red Flags rules and guidelines are covered under this.
Section 114 of the FACT Act
This federal law created the idea of a qualified mortgage.
Dodd-Frank Act
Regulation N
Mortgage Acts and Practices - Advertising Rule
According to the SAFE Act, it is required to be this in order to act as a mortgage loan originator employed by a federally insured depository institution.
Registered with NMLS, does not need to be licensed
The borrower refinances a loan on a Pizza shop. Under the Truth in Lending Act how long will he have to change his mind after he signs the refinance loan papers?
There is no right of recession as this is an exempt transaction.