LESSON 4 EXAM CCJ 4644 QUIZZES 7 11
COMPREHENSIVE TEST 2026 SOLVED
QUESTIONS
◉ If you want to be licensed in multiple states it is important to do
discover each state, initial licensing, fees, pre-licensing education,
requirements, renewal fees, continuing education requirements, and
one other important thing about initial licensing and continuing
licensure in each state. Answer: True
◉ If you can't help a borrower, find a loan, charging a fee for best
efforts isn't considered prohibited conduct. Answer: False
◉ Every state has their own requirements related to disciplinary
action. Answer: True
◉ If you have violated to comply with a cease and desist order the
maximum penalty for each act or omission is $25,000. Answer: True
◉ A mortgage lender is an individual who, for compensation or gain,
or in the expectation of compensation or gain takes residential
mortgage loan applications, and offers or negotiates terms of a
residential mortgage loan. Answer: False
,◉ Each state has a regulatory authority. Answer: True
◉ All of the following are examples of prohibited actions for
mortgage professionals, except:
1. Receiving compensation for MLO activities
2. Charging a fee for best efforts
3. Advertising terms that aren't available
4. Making any false statements to the NMLS Answer: 1.
◉ What is the name of the act that created the NMLS?
1. Frank-Dodd Act
2. SAFE Act
3. RESPA
4. TILA Answer: 2.
◉ In which of the following situations would an MLO license be
required?
1. When an individual performs real estate brokerage activities
2. When an individual is solely involved in the extension of credit for
time shares
3. When an individual is engaged solely as a loan processor or
underwriter
,4. When an individual offers or negotiates the terms of a residential
mortgage loan Answer: 4.
◉ The Uniform State Content Test includes all of the following
topics, except:
1. State-specific content
2. Ethics
3. General mortgage knowledge
4. Federal laws and regulations Answer: 1.
◉ All of the following are actions the Commissioner can take, except:
1. Denying or revoking licenses
2. Imposing fines or penalties
3. Investigating consumer complaints
4. Issuing a unique identifier Answer: 4.
◉ The two most common types of mortgages are fixed rate and
adjustable rate mortgages. Answer: True
◉ An adjustable rate mortgage (ARM) is one where the interest rate
periodically changes over the life of the loan. Answer: True
, ◉ The three types of interest rate caps on ARMs are called the first
adjustment, subsequent adjustment, and the last adjustment.
Answer: False
First adjustment cap, subsequent adjustment cap, and lifetime
adjustment cap
◉ The first number in an ARM represents the amount the interest
rate can increase or decrease over the life of the loan. Answer: False
Just for the first adjustment
◉ Hybrid ARMs are a blend of fixed rate and adjustable loans.
Answer: True
◉ The periodic interest rate is the annual interest rate divided by
the number of compounding periods. Answer: True
◉ Construction loans are usually 65% loan to value (LTV) so
borrowers will need to have a 35% down payment. Answer: False
◉ Bridge loans are also called Cross-Collateral loans. Answer: True
◉ Graduated payment mortgages (GPM) have a high initial payment
that gradually lowers over time. Answer: False
COMPREHENSIVE TEST 2026 SOLVED
QUESTIONS
◉ If you want to be licensed in multiple states it is important to do
discover each state, initial licensing, fees, pre-licensing education,
requirements, renewal fees, continuing education requirements, and
one other important thing about initial licensing and continuing
licensure in each state. Answer: True
◉ If you can't help a borrower, find a loan, charging a fee for best
efforts isn't considered prohibited conduct. Answer: False
◉ Every state has their own requirements related to disciplinary
action. Answer: True
◉ If you have violated to comply with a cease and desist order the
maximum penalty for each act or omission is $25,000. Answer: True
◉ A mortgage lender is an individual who, for compensation or gain,
or in the expectation of compensation or gain takes residential
mortgage loan applications, and offers or negotiates terms of a
residential mortgage loan. Answer: False
,◉ Each state has a regulatory authority. Answer: True
◉ All of the following are examples of prohibited actions for
mortgage professionals, except:
1. Receiving compensation for MLO activities
2. Charging a fee for best efforts
3. Advertising terms that aren't available
4. Making any false statements to the NMLS Answer: 1.
◉ What is the name of the act that created the NMLS?
1. Frank-Dodd Act
2. SAFE Act
3. RESPA
4. TILA Answer: 2.
◉ In which of the following situations would an MLO license be
required?
1. When an individual performs real estate brokerage activities
2. When an individual is solely involved in the extension of credit for
time shares
3. When an individual is engaged solely as a loan processor or
underwriter
,4. When an individual offers or negotiates the terms of a residential
mortgage loan Answer: 4.
◉ The Uniform State Content Test includes all of the following
topics, except:
1. State-specific content
2. Ethics
3. General mortgage knowledge
4. Federal laws and regulations Answer: 1.
◉ All of the following are actions the Commissioner can take, except:
1. Denying or revoking licenses
2. Imposing fines or penalties
3. Investigating consumer complaints
4. Issuing a unique identifier Answer: 4.
◉ The two most common types of mortgages are fixed rate and
adjustable rate mortgages. Answer: True
◉ An adjustable rate mortgage (ARM) is one where the interest rate
periodically changes over the life of the loan. Answer: True
, ◉ The three types of interest rate caps on ARMs are called the first
adjustment, subsequent adjustment, and the last adjustment.
Answer: False
First adjustment cap, subsequent adjustment cap, and lifetime
adjustment cap
◉ The first number in an ARM represents the amount the interest
rate can increase or decrease over the life of the loan. Answer: False
Just for the first adjustment
◉ Hybrid ARMs are a blend of fixed rate and adjustable loans.
Answer: True
◉ The periodic interest rate is the annual interest rate divided by
the number of compounding periods. Answer: True
◉ Construction loans are usually 65% loan to value (LTV) so
borrowers will need to have a 35% down payment. Answer: False
◉ Bridge loans are also called Cross-Collateral loans. Answer: True
◉ Graduated payment mortgages (GPM) have a high initial payment
that gradually lowers over time. Answer: False
