MLO SAFE TEST QUESTIONS AND
ANSWERS ALL CORRECT
What does CD Stand For? - Answer- Closing Disclosure
What Does the Borrower Receive After Settlement? - Answer- The Annual Escrow
Statement
What Law Says the Borrower Must Receive the Annual Escrow Statement? - Answer-
RESPA Section 10
What is the Servicing Transfer Statement or the "Goodbye Letter"? - Answer- When the
Lender Notifies the Borrower that a Different Lender Will Service their Loan Moving
forward.
How Many Days in Advance Must the Lender Send the Servicing Transfer Statement to
the Borrower? - Answer- 15 Days Prior to Transfer
What is the Civil Rights Act About? - Answer- Race
What year did the Civil Rights Act pass? - Answer- 1866
What are Alternative Names for an Escrow Account? - Answer- Impound Account or
Reserve Account
What is Your NMLS ID? - Answer- 2676306
What is a Budget Mortgage? - Answer- PITI is "lumped" together in the mortgage
payment
What Does the CFPB Stand For? - Answer- Consumer Financial Protection Bureau
What Two Laws or Entities Created the CFPB? - Answer- The Dodd-Frank Act and the
Consumer Finance Protection Act
When Will the Borrower be Subject to Penalty's for Late Payments After a Transfer of
Loan Servicing? - Answer- After 60 Days
, If a Borrower misses Their Payment 30 Days After the Lender Transfers their Servicing
to a Different Lender Will They be Fined? - Answer- No
Are the Loan Estimate and the Closing Disclosure Under RESPA or TILA? - Answer-
TILA
What Law Says The Borrower has to Receive the Servicing Transfer Statement? -
Answer- RESPA
What Law Says The Borrower has to Receive the AFBA Disclosure? - Answer- RESPA
What Law Says The Borrower has to Receive a List of HUD Councilors? - Answer-
RESPA
What Law Says The Borrower has to Receive the Loan Estimate? - Answer- TILA
What Law Says The Borrower has to Receive Closing Disclosures? - Answer- TILA
What is the Only Fee that can be Collected Before the Loan Estimate? - Answer- Credit
Report Fee
What Fees can be Collected Before the delivery of the Loan Estimate? - Answer- Only
Credit Report Fee
How Many Days are the Terms on the Loan Estimate Good For? - Answer- 10 Business
Days
What is the TIP an Acronym for? - Answer- Total Interest Percentage
Does the Closing Disclosure have Estimates for Fees on it? - Answer- No, It Shows the
True Fees and Actual Terms
Who is Responsible for Providing the Closing Disclosure to the Borrower? - Answer-
The Creditor/Lender
Who is Responsible for Providing the Closing Disclosures to the Seller? - Answer- The
Settlement Agent/Title/Escrow
When Does the Borrower Receive the Closing Disclosures? - Answer- 3 Days Before
Doc Signing and at Doc Signing
What is Regulation B(ECOA)? - Answer- Requires the regulators to (Reg. B)e equal on
a Credit Application.
ANSWERS ALL CORRECT
What does CD Stand For? - Answer- Closing Disclosure
What Does the Borrower Receive After Settlement? - Answer- The Annual Escrow
Statement
What Law Says the Borrower Must Receive the Annual Escrow Statement? - Answer-
RESPA Section 10
What is the Servicing Transfer Statement or the "Goodbye Letter"? - Answer- When the
Lender Notifies the Borrower that a Different Lender Will Service their Loan Moving
forward.
How Many Days in Advance Must the Lender Send the Servicing Transfer Statement to
the Borrower? - Answer- 15 Days Prior to Transfer
What is the Civil Rights Act About? - Answer- Race
What year did the Civil Rights Act pass? - Answer- 1866
What are Alternative Names for an Escrow Account? - Answer- Impound Account or
Reserve Account
What is Your NMLS ID? - Answer- 2676306
What is a Budget Mortgage? - Answer- PITI is "lumped" together in the mortgage
payment
What Does the CFPB Stand For? - Answer- Consumer Financial Protection Bureau
What Two Laws or Entities Created the CFPB? - Answer- The Dodd-Frank Act and the
Consumer Finance Protection Act
When Will the Borrower be Subject to Penalty's for Late Payments After a Transfer of
Loan Servicing? - Answer- After 60 Days
, If a Borrower misses Their Payment 30 Days After the Lender Transfers their Servicing
to a Different Lender Will They be Fined? - Answer- No
Are the Loan Estimate and the Closing Disclosure Under RESPA or TILA? - Answer-
TILA
What Law Says The Borrower has to Receive the Servicing Transfer Statement? -
Answer- RESPA
What Law Says The Borrower has to Receive the AFBA Disclosure? - Answer- RESPA
What Law Says The Borrower has to Receive a List of HUD Councilors? - Answer-
RESPA
What Law Says The Borrower has to Receive the Loan Estimate? - Answer- TILA
What Law Says The Borrower has to Receive Closing Disclosures? - Answer- TILA
What is the Only Fee that can be Collected Before the Loan Estimate? - Answer- Credit
Report Fee
What Fees can be Collected Before the delivery of the Loan Estimate? - Answer- Only
Credit Report Fee
How Many Days are the Terms on the Loan Estimate Good For? - Answer- 10 Business
Days
What is the TIP an Acronym for? - Answer- Total Interest Percentage
Does the Closing Disclosure have Estimates for Fees on it? - Answer- No, It Shows the
True Fees and Actual Terms
Who is Responsible for Providing the Closing Disclosure to the Borrower? - Answer-
The Creditor/Lender
Who is Responsible for Providing the Closing Disclosures to the Seller? - Answer- The
Settlement Agent/Title/Escrow
When Does the Borrower Receive the Closing Disclosures? - Answer- 3 Days Before
Doc Signing and at Doc Signing
What is Regulation B(ECOA)? - Answer- Requires the regulators to (Reg. B)e equal on
a Credit Application.
