NMLS PRACTICE TEST WELL REVISED
regulation b - ANSWER- Equal Credit Opportunity Act / 1974
Regulation C - ANSWER- Home Mortgage Disclosure Act / 1975
Regulation V - ANSWER- Fair Credit Reporting Act / 1968
Regulation X - ANSWER- Real Estate Settlement Procedures Act / 1974
Regulation Z - ANSWER- Truth in Lending Act/ 1968
Safe - ANSWER- Secure and Fair Enforcement /2008
Fact - ANSWER- Fair and Accurate credit transactions/ 2003
GLB - ANSWER- Gramm-Leach-Bliley Act /1999
Higher Priced Loans - ANSWER- 1.5,2.5,3.5% / 2008
HOEPA - Home Ownership and Equity Protection Act - ANSWER- Home Ownership and Equity
Protection Act, Section 32 , 1994
Fair Housing Act - ANSWER- 1968
HPA - ANSWER- Homeowners Protection Act: PMI /1998
,Civil Rights Act - ANSWER- Race 1866
Section 1 - ANSWER- Type of mortgage
Section 2 - ANSWER- Property Info
Section 3 - ANSWER- Borrowers information
Section 4 - ANSWER- Employment Information
Section 5 - ANSWER- Income
Section 6 - ANSWER- Assets & liabilities
Section 7 - ANSWER- Details of transaction
Section 8 - ANSWER- Declarations
Section 9 - ANSWER- Acknowledgement and Agreement
Section 10 - ANSWER- Information for government
Regulation H - ANSWER- Uniform State Test
Code of Federal Regulations 1938 - ANSWER- Codification of the general and permanent rules
and regulations published in the Federal Register by the executive departments and agencies of
the federal government of the United States.
,Consumer Financial Protection Bureau 2011 - ANSWER- An independent bureau within the
Federal Reserve that helps consumers make financial decisions and is responsible for consumer
protection in the financial sector.
Federal Reserve System 1913 - ANSWER- A Federal charter for banks that permits them to make
real estate loans
Federal Home Loan Bank Act 1932 - ANSWER- Established Federal Home Loan Banks and gives
authority to lend money to banks
Banking Act of 1933 - ANSWER- The law that established the Federal Deposit Insurance
Corporation (FDIC) to insure bank deposits. It also prohibited commercial banks from selling
insurance or acting as investment banks. Also Known as the Glass Steagall Act
Federal Deposit Insurance Corporation (FDIC) - ANSWER- An agency created in 1933 to insure
individuals' bank accounts, protecting people against losses due to bank failures, Insures up to
$250k
National Housing act of 1934 - ANSWER- Created Federal Housing Administration to insure
loans by private lending agencies for upgrading farms and small businesses
Federal Savings and Loan Insurance Corporation (FSLIC) - ANSWER- Abolished in 1988 by
Financial Institution Reform Recovery and Enforcement Act, it was an institution that
administered deposit insurance for savings and loan institutions in the United States
Financial Institution Reform Recovery and Enforcement Act 1989 - ANSWER- Established the
Resolution Trust Corporation to close hundreds of insolvent thrifts and provided funds to pay
out insurance to their depositors.
, Savings Association Insurance Fund (SAIF) 1989 - ANSWER- Part of the FDIC that insures holders
of accounts in savings and loan associations
Federal Home Loan Banks (FHL Banks) 1932 - ANSWER- 12 regional Banks that the U.S. Lending
institutions use to finance housing & economic development
Affordable Housing Program (AHP) 1990 - ANSWER- Profit 10% of the FHL Banks Income
Federal Housing Administration (FHA) 1934 - ANSWER- Created by the national housing act to
provide mortgage insurance
FHA Loans Have - ANSWER- No Income Limits
FHA Reimbursement - ANSWER- Banks are Reimbursed when Borrowers become default on
their loan
Government Sponsored Enterprises (GSEs) - ANSWER- Organizations created by the federal
government (Fannie Mae, Freddie Mac, Farmer Mac, Ginnie Mae) to help increase loan
opportunities for homebuyers.
Office of Thrift Supervision (OTS) 1989 - ANSWER- Division Of the U.S. Department of treasury
that chartered, supervised, and regulated all federally chartered and state-chartered savings
banks and savings and loans associations
Office of the Comptroller of the Currency (OCC) 1863 - ANSWER- Charters, regulates, and
supervises all national banks and thrift institutions and the federally licensed branches and
agencies of foreign banks in the United States.
regulation b - ANSWER- Equal Credit Opportunity Act / 1974
Regulation C - ANSWER- Home Mortgage Disclosure Act / 1975
Regulation V - ANSWER- Fair Credit Reporting Act / 1968
Regulation X - ANSWER- Real Estate Settlement Procedures Act / 1974
Regulation Z - ANSWER- Truth in Lending Act/ 1968
Safe - ANSWER- Secure and Fair Enforcement /2008
Fact - ANSWER- Fair and Accurate credit transactions/ 2003
GLB - ANSWER- Gramm-Leach-Bliley Act /1999
Higher Priced Loans - ANSWER- 1.5,2.5,3.5% / 2008
HOEPA - Home Ownership and Equity Protection Act - ANSWER- Home Ownership and Equity
Protection Act, Section 32 , 1994
Fair Housing Act - ANSWER- 1968
HPA - ANSWER- Homeowners Protection Act: PMI /1998
,Civil Rights Act - ANSWER- Race 1866
Section 1 - ANSWER- Type of mortgage
Section 2 - ANSWER- Property Info
Section 3 - ANSWER- Borrowers information
Section 4 - ANSWER- Employment Information
Section 5 - ANSWER- Income
Section 6 - ANSWER- Assets & liabilities
Section 7 - ANSWER- Details of transaction
Section 8 - ANSWER- Declarations
Section 9 - ANSWER- Acknowledgement and Agreement
Section 10 - ANSWER- Information for government
Regulation H - ANSWER- Uniform State Test
Code of Federal Regulations 1938 - ANSWER- Codification of the general and permanent rules
and regulations published in the Federal Register by the executive departments and agencies of
the federal government of the United States.
,Consumer Financial Protection Bureau 2011 - ANSWER- An independent bureau within the
Federal Reserve that helps consumers make financial decisions and is responsible for consumer
protection in the financial sector.
Federal Reserve System 1913 - ANSWER- A Federal charter for banks that permits them to make
real estate loans
Federal Home Loan Bank Act 1932 - ANSWER- Established Federal Home Loan Banks and gives
authority to lend money to banks
Banking Act of 1933 - ANSWER- The law that established the Federal Deposit Insurance
Corporation (FDIC) to insure bank deposits. It also prohibited commercial banks from selling
insurance or acting as investment banks. Also Known as the Glass Steagall Act
Federal Deposit Insurance Corporation (FDIC) - ANSWER- An agency created in 1933 to insure
individuals' bank accounts, protecting people against losses due to bank failures, Insures up to
$250k
National Housing act of 1934 - ANSWER- Created Federal Housing Administration to insure
loans by private lending agencies for upgrading farms and small businesses
Federal Savings and Loan Insurance Corporation (FSLIC) - ANSWER- Abolished in 1988 by
Financial Institution Reform Recovery and Enforcement Act, it was an institution that
administered deposit insurance for savings and loan institutions in the United States
Financial Institution Reform Recovery and Enforcement Act 1989 - ANSWER- Established the
Resolution Trust Corporation to close hundreds of insolvent thrifts and provided funds to pay
out insurance to their depositors.
, Savings Association Insurance Fund (SAIF) 1989 - ANSWER- Part of the FDIC that insures holders
of accounts in savings and loan associations
Federal Home Loan Banks (FHL Banks) 1932 - ANSWER- 12 regional Banks that the U.S. Lending
institutions use to finance housing & economic development
Affordable Housing Program (AHP) 1990 - ANSWER- Profit 10% of the FHL Banks Income
Federal Housing Administration (FHA) 1934 - ANSWER- Created by the national housing act to
provide mortgage insurance
FHA Loans Have - ANSWER- No Income Limits
FHA Reimbursement - ANSWER- Banks are Reimbursed when Borrowers become default on
their loan
Government Sponsored Enterprises (GSEs) - ANSWER- Organizations created by the federal
government (Fannie Mae, Freddie Mac, Farmer Mac, Ginnie Mae) to help increase loan
opportunities for homebuyers.
Office of Thrift Supervision (OTS) 1989 - ANSWER- Division Of the U.S. Department of treasury
that chartered, supervised, and regulated all federally chartered and state-chartered savings
banks and savings and loans associations
Office of the Comptroller of the Currency (OCC) 1863 - ANSWER- Charters, regulates, and
supervises all national banks and thrift institutions and the federally licensed branches and
agencies of foreign banks in the United States.
