RESPA
One purpose of RESPA is to account for all the ______________ associated with the transaction.
Money
At what loan-to-value ratio must a lender automatically cancel private mortgage insurance on a conventional loan under the Homeowners Protection Act, assuming the borrower is current?
78%
A disclosure that allows a consumer to more easily compare loan options is required under which regulation?
Regulation Z
How many scored questions are on the test?
115
The FHA program allows the highest back-end DTI qualification of
43%
RESPA stipulates that the borrower has the right to review the Closing Disclosure how long before the actual settlement?
3 Business Days
What is the LTV of a home that was appraised at $100,000 if the homeowners took out a mortgage for $80,000?
80% LTV
High-cost mortgages are subject to additional disclosure requirements under HOEPA. These disclosures are due to the borrower at least:
Three Business days before consummation
All states require at least _____ hours of continuing education each year in order to renew an MLO license.
8 hours
HOEPA is an amendment to __________ that protects borrowers from predatory lending practices associated with high-cost loans and high-price mortgage loans
TILA
A mortgage broker splits a $500 fee with a title company for referring a client, but no actual services are performed by the title company. Under RESPA, this practice is prohibited by what section
A violation of Section 8’s
What document is used to transfer ownership of property?
Deed
As defined by TILA, this term refers to a residential structure that contains one to four units, whether or not that structure is attached to real property
dwelling
MLO license renewals with NMLS open each year on:
November 1st
___________ occurs when a vendor takes advantage of a consumer by charging high prices, either through fraudulent acts or because the consumer has no available alternative
Price gouging
According to RESPA how much of a cushion can a lender keep in the escrow account and how often must it be reconciled.
1/6th reconciled annually
What credit score model is most commonly used in mortgage underwriting?
FICO
What is the highest APR for a nonconforming loan under TILA
5.5%
What is the only thing you need to bring to the test?
ID
A____________ allows access to the current home's equity for closing on a new home before the current home is sold.
Bridge Loan
If loan servicing is transferred during the term of the mortgage, a loan servicing transfer disclosure must be made to the borrower within
15 days before effective date of the servicing transfer
The submission of loan/application register is due by march 1st of each year. The requirement is imposed by:
HMDA- Reg C.
How long do you have to cancel an escrow account after established and who can cancel it?
5 years after consummation and it is borrowers request.
What chapter order did they say to read the book?
2,3,1,4,5
What is the name for a loan that has a straw or non-existent buyer, or a non-existent property?
Air Loan