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SAFE SPC EXAM LATEST WITH ACTUAL
QUESTIONS AND CORRECT VERIFIED
ANSWERS/ALREADY GRADED A+
Where credit institutions originate loans - .....ANSWER
...✔✔ Primary Mortgage Market
When an ARM has rate caps of 5/2/6, the 6 refers to
what?
A. The maximum rate increase at the initial adjustment
B. The start rate for the loan
C. The maximum the rate can increase over the life of
the loan
D. The rate maximum the rate can decrease over the life
of the loan - .....ANSWER ...✔✔ C. The maximum the
rate can increase over the life of the loan
When utilizing a temporary buydown to lower the
interest rate on a FHA loan, which of the following are
correct
A. The borrower qualified at the note rate
B. The borrower qualified at the buydown rate
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C. The rate cannot be more than 2% below the note
rate
D. Seller or builder can pay the discount points to
buydown the rate - .....ANSWER ...✔✔ B. The
borrower qualified at the buydown rate
All of the following are violations of the Fair Housing Act
EXCEPT
A. Age
B. National Origin
C. Disability
D.Religion - .....ANSWER ...✔✔ A. Age
Claim against property held by one who is not the legal
owner - .....ANSWER ...✔✔ Encrumbrance
Advertised term that requires additional disclosures -
.....ANSWER ...✔✔ Trigger Term
An advertisement must be presented "clearly and
conspicuously" to keep from being deceptive, unfair, or
otherwise violate a Commission rule - .....ANSWER
...✔✔ Advertising Disclosure
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Extenuating circumstances such as "bona fide personal
financial emergency - .....ANSWER ...✔✔ Waving
Right of Rescission
Right that borrowers have to cancel a loan or line of
credit with a lender within three days of closing -
.....ANSWER ...✔✔ Right of Rescission
When creditors office is open to the public, a calendar
working day except Sunday or a federal holiday -
.....ANSWER ...✔✔ Business Day
Financial information used for purposes of obtaining an
extension of credit - .....ANSWER ...✔✔ Application
The act of making new information known - .....ANSWER
...✔✔ Disclosure
Mission is to promote consumer protection and eliminate
and prevent anticompetitive business practices -
.....ANSWER ...✔✔ FTC
Federal Trade Commission
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Regulatory agency charged with overseeing financial
products and services offered to consumers -
.....ANSWER ...✔✔ CFPB
Consumer Financial Protection Bureau
Enacted 1968 promotes the informed use of consumer
credit by requiring disclosures about terms and costs
and standardizes the manner in which costs with
borrowing are calculated and disclosed - .....ANSWER
...✔✔ TILA
Truth in Lending Act
Interest charged on a loan for one or more days -
.....ANSWER ...✔✔ Per Diem Interest
Principal (X) Interest Rate = Annual Interest Rate -
.....ANSWER ...✔✔ Annual Interest Rate Formula
Mortgage where the mortgagor is only required to pay
off the interest that arises from the principal that is
borrowed for a set period - .....ANSWER ...✔✔
Interest Only Mortgage
SAFE SPC EXAM LATEST WITH ACTUAL
QUESTIONS AND CORRECT VERIFIED
ANSWERS/ALREADY GRADED A+
Where credit institutions originate loans - .....ANSWER
...✔✔ Primary Mortgage Market
When an ARM has rate caps of 5/2/6, the 6 refers to
what?
A. The maximum rate increase at the initial adjustment
B. The start rate for the loan
C. The maximum the rate can increase over the life of
the loan
D. The rate maximum the rate can decrease over the life
of the loan - .....ANSWER ...✔✔ C. The maximum the
rate can increase over the life of the loan
When utilizing a temporary buydown to lower the
interest rate on a FHA loan, which of the following are
correct
A. The borrower qualified at the note rate
B. The borrower qualified at the buydown rate
,2|Page
C. The rate cannot be more than 2% below the note
rate
D. Seller or builder can pay the discount points to
buydown the rate - .....ANSWER ...✔✔ B. The
borrower qualified at the buydown rate
All of the following are violations of the Fair Housing Act
EXCEPT
A. Age
B. National Origin
C. Disability
D.Religion - .....ANSWER ...✔✔ A. Age
Claim against property held by one who is not the legal
owner - .....ANSWER ...✔✔ Encrumbrance
Advertised term that requires additional disclosures -
.....ANSWER ...✔✔ Trigger Term
An advertisement must be presented "clearly and
conspicuously" to keep from being deceptive, unfair, or
otherwise violate a Commission rule - .....ANSWER
...✔✔ Advertising Disclosure
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Extenuating circumstances such as "bona fide personal
financial emergency - .....ANSWER ...✔✔ Waving
Right of Rescission
Right that borrowers have to cancel a loan or line of
credit with a lender within three days of closing -
.....ANSWER ...✔✔ Right of Rescission
When creditors office is open to the public, a calendar
working day except Sunday or a federal holiday -
.....ANSWER ...✔✔ Business Day
Financial information used for purposes of obtaining an
extension of credit - .....ANSWER ...✔✔ Application
The act of making new information known - .....ANSWER
...✔✔ Disclosure
Mission is to promote consumer protection and eliminate
and prevent anticompetitive business practices -
.....ANSWER ...✔✔ FTC
Federal Trade Commission
, 4|Page
Regulatory agency charged with overseeing financial
products and services offered to consumers -
.....ANSWER ...✔✔ CFPB
Consumer Financial Protection Bureau
Enacted 1968 promotes the informed use of consumer
credit by requiring disclosures about terms and costs
and standardizes the manner in which costs with
borrowing are calculated and disclosed - .....ANSWER
...✔✔ TILA
Truth in Lending Act
Interest charged on a loan for one or more days -
.....ANSWER ...✔✔ Per Diem Interest
Principal (X) Interest Rate = Annual Interest Rate -
.....ANSWER ...✔✔ Annual Interest Rate Formula
Mortgage where the mortgagor is only required to pay
off the interest that arises from the principal that is
borrowed for a set period - .....ANSWER ...✔✔
Interest Only Mortgage
