MLO, TX|125 Practice Test Questions And Answers

Higher-Priced Mortgage Loans (HPML) are defined as closed-end residential mortgage loans secured by the consumer's principal dwelling with an APR that exceed the average prime offer rate (APOR) for comparable transactions by: - ️️2.5 percentage points for a first lien jumbo residential mortgage loan The Truth-In Lending Act requires residential mortgage loan originators to make certain "material disclosures" on loans subject to the Real Estate Settlement Procedures Act within three: - ️️Business days after receipt of the written application. Lenders must report under the HMDA the applicant's ethnicity, race, and sex. When conducting a face-to-face interview in which the applicant refuses to provide the required HMDA information; the loan officer must provide the information based on: - ️️Appearance and surname An Affiliated Business Arrangement disclosure is required to be given to the consumer? - ️️At or prior to the time of referral Under the TILA the consumer has a right of rescission in a credit transaction involving: - ️️Refinance of a principle dwelling. The Fair Credit Reporting Act allows consumers all of the following except: - ️️Demand all references to bankruptcies be removed from their report after 5 years from the date of discharge. Under ECOA, when is a disclosure concerning the applicant's right to obtain a copy of the appraisal report due the consumer? - ️️Within three business day after receipt of the written application. Under the Red Flags Rules, mortgage loan originators must develop a written program that identifies and detects the warning signs of: - ️️Identity theft.