Champions Real Estate Finance Exams (Latest 2024/
2025 Updates STUDY BUNDLE PACKAGE) Questions and
Verified Answers| 100% Correct| A Grade
mortgage Broker - ANSWERFunctions as a middleman between the borrower and
the lender, negotiating, selling or arranging loans to be delivered to large investors
Mortgage Banker - ANSWERProvide their own funds for the purpose of providing
mortgage financing
Correspondent Lender - ANSWERSmaller in scale then mortgage bankers or brokers,
these lenders typically extended loans with their own funds at their own risk
Origination - ANSWERThe process of creating a new mortgage loan
Underwriting - ANSWERDetailed process of evaluating a borrowers loan application
to determine the risk involved for the lender
Closing/Settlement - ANSWERConsummation of a contractual real estate transaction
in which all appropriate documents are signed and the proceeds of the mortgage
loan are then distributed by the lender
Funding - ANSWERThe process of transferring funds into a title or escrow company
for disbursement
Housing and Economic Recovery Act of 2008 (HERA) - ANSWERDesigned to assist
with recovery and revitalization of America's residential housing market
SAFE Act (Secure & Fair Enforement of Mortgage Licensing Act) - ANSWERSets a
minimum standard for licensing and registering mortgage loan originators.
M1 - ANSWERSum of currency held by the public and transaction deposits at
depository institutions
M2 - ANSWERM1 plus savings accounts, certificates of deposit, and other liquid
assets
monetary policy - ANSWERMaintenance of a stable money supply that provides for
growth in the economy while keeping inflation in check. Federal reserve is
responsible for monetary policy
fiscal policy - ANSWERFederal government spending.
The Federal Reserve - ANSWERThe central banking system of the United States
Monetary inflation - ANSWERExcess of money supply in the market
, discount rate - ANSWERInterest rate a Reserve Bank charges eligible financial
institutions to borrow funds on a short term basis.
federal funds rate - ANSWERIs the rate that the federal reserve charges banks for
unsecured loans most of which are for a very short term (sometimes overnight)
banks use these to meet their liquidity requirements when withdrawals threaten to
exceed cash on hand
US Treasury - ANSWERPrimarily responsible for raising funds to finance the
operations of the US government. Management of fiscal policy
Office of the Comptroller of the Currency (OCC) - ANSWERcharters and regulates
national banks
US Mint - ANSWERMake US coins
Department of housing and urban development (HUD 1965) - ANSWERCreate strong
sustainable inclusive communities and quality affordable homes.
The Federal Housing Administration (FHA) - ANSWERProvides mortgage loans made
by FHA approved lenders through the United States and its territories
Community Development Block Grant (CDBG) - ANSWERHelp communities with
economic development, Job opportunities and housing rehabilitation
Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010 -
ANSWERPromote the financial stability of the United States by improving
accountability and transparency in the financial system, to end "to big to fail" to
protect the American taxpayer by ending bailouts to protect consumers from
abusive financial services practices and other purposes
Consumer Financial Protection Bureau (CFPB) - ANSWERExamine and enforce
consumer protection regulations for all mortgage related business. Established
under Dodd-Frank
Community Reinvestment Act - ANSWERA law requiring lenders to meet the needs
of the community in which they are charted to do business.
Redlining - ANSWERa practice in which banks refuse to make loans to people living in
certain geographic locations
Equal Credit Opportunity Act (ECOA) 1974 - ANSWEREnsures all consumers are given
an equal chance to obtain credit
Secondary mortgages - ANSWERSecond dairy Lien or junior liens
2025 Updates STUDY BUNDLE PACKAGE) Questions and
Verified Answers| 100% Correct| A Grade
mortgage Broker - ANSWERFunctions as a middleman between the borrower and
the lender, negotiating, selling or arranging loans to be delivered to large investors
Mortgage Banker - ANSWERProvide their own funds for the purpose of providing
mortgage financing
Correspondent Lender - ANSWERSmaller in scale then mortgage bankers or brokers,
these lenders typically extended loans with their own funds at their own risk
Origination - ANSWERThe process of creating a new mortgage loan
Underwriting - ANSWERDetailed process of evaluating a borrowers loan application
to determine the risk involved for the lender
Closing/Settlement - ANSWERConsummation of a contractual real estate transaction
in which all appropriate documents are signed and the proceeds of the mortgage
loan are then distributed by the lender
Funding - ANSWERThe process of transferring funds into a title or escrow company
for disbursement
Housing and Economic Recovery Act of 2008 (HERA) - ANSWERDesigned to assist
with recovery and revitalization of America's residential housing market
SAFE Act (Secure & Fair Enforement of Mortgage Licensing Act) - ANSWERSets a
minimum standard for licensing and registering mortgage loan originators.
M1 - ANSWERSum of currency held by the public and transaction deposits at
depository institutions
M2 - ANSWERM1 plus savings accounts, certificates of deposit, and other liquid
assets
monetary policy - ANSWERMaintenance of a stable money supply that provides for
growth in the economy while keeping inflation in check. Federal reserve is
responsible for monetary policy
fiscal policy - ANSWERFederal government spending.
The Federal Reserve - ANSWERThe central banking system of the United States
Monetary inflation - ANSWERExcess of money supply in the market
, discount rate - ANSWERInterest rate a Reserve Bank charges eligible financial
institutions to borrow funds on a short term basis.
federal funds rate - ANSWERIs the rate that the federal reserve charges banks for
unsecured loans most of which are for a very short term (sometimes overnight)
banks use these to meet their liquidity requirements when withdrawals threaten to
exceed cash on hand
US Treasury - ANSWERPrimarily responsible for raising funds to finance the
operations of the US government. Management of fiscal policy
Office of the Comptroller of the Currency (OCC) - ANSWERcharters and regulates
national banks
US Mint - ANSWERMake US coins
Department of housing and urban development (HUD 1965) - ANSWERCreate strong
sustainable inclusive communities and quality affordable homes.
The Federal Housing Administration (FHA) - ANSWERProvides mortgage loans made
by FHA approved lenders through the United States and its territories
Community Development Block Grant (CDBG) - ANSWERHelp communities with
economic development, Job opportunities and housing rehabilitation
Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010 -
ANSWERPromote the financial stability of the United States by improving
accountability and transparency in the financial system, to end "to big to fail" to
protect the American taxpayer by ending bailouts to protect consumers from
abusive financial services practices and other purposes
Consumer Financial Protection Bureau (CFPB) - ANSWERExamine and enforce
consumer protection regulations for all mortgage related business. Established
under Dodd-Frank
Community Reinvestment Act - ANSWERA law requiring lenders to meet the needs
of the community in which they are charted to do business.
Redlining - ANSWERa practice in which banks refuse to make loans to people living in
certain geographic locations
Equal Credit Opportunity Act (ECOA) 1974 - ANSWEREnsures all consumers are given
an equal chance to obtain credit
Secondary mortgages - ANSWERSecond dairy Lien or junior liens
