MLO Practice Test 5 Exam Questions and
Answers Graded A+
The Dodd-Frank Act directed the _____ to integrate the mortgage loan disclosures
formally under TILA and RESPA.
Consumer Financial Protection Bureau
Federal Deposit Insurance Corporation
Nationwide Multistate Licensing System & Registry
National Credit Union Administration - Correct answer-Consumer Financial
Protection Bureau
What federal legislation prohibits the free exchange of nonpublic information
between consumers' creditors?
Equal Credit Opportunity Act
Fair Credit Reporting Act
©COPYRIGHT 2025, ALL RIGHTS RESERVED 1
,Truth in Lending Act
Gramm-Leach-Bliley Act - Correct answer-Gramm-Leach-Bliley Act
All of the following personal information must be included as part of an MLO
license application EXCEPT
a copy of any other MLO license issued by other states.
credit report authorization.
authorization to obtain criminal findings from any government jurisdiction.
fingerprints for submission to a criminal background check. - Correct answer-a
copy of any other MLO license issued by other states.
With a fixed-rate mortgage loan, a change in what item may increase or decrease
the monthly payment amount?
delinquent payment
interest rate
mortgage insurance premium
property value - Correct answer-mortgage insurance premium
©COPYRIGHT 2025, ALL RIGHTS RESERVED 2
, Recurring costs, such as PMI and property taxes, are included in the monthly
payment amount. Changes in property taxes or a homeowner's insurance premium
may raise or lower the monthly payment amount of a fixed-rate loan.
The interest rate stated on the financing instrument is the
discount percentage.
note rate.
origination percentage.
annual percentage rate. - Correct answer-note rate.
The financing instrument, usually a promissory note, shows the interest rate for the
loan. This is the note rate, which is not the same as the APR.
______ let a borrower make a tradeoff between paying more upfront costs and
receiving a lower interest which results in a lower monthly payment and paying
less over time.
©COPYRIGHT 2025, ALL RIGHTS RESERVED 3
Answers Graded A+
The Dodd-Frank Act directed the _____ to integrate the mortgage loan disclosures
formally under TILA and RESPA.
Consumer Financial Protection Bureau
Federal Deposit Insurance Corporation
Nationwide Multistate Licensing System & Registry
National Credit Union Administration - Correct answer-Consumer Financial
Protection Bureau
What federal legislation prohibits the free exchange of nonpublic information
between consumers' creditors?
Equal Credit Opportunity Act
Fair Credit Reporting Act
©COPYRIGHT 2025, ALL RIGHTS RESERVED 1
,Truth in Lending Act
Gramm-Leach-Bliley Act - Correct answer-Gramm-Leach-Bliley Act
All of the following personal information must be included as part of an MLO
license application EXCEPT
a copy of any other MLO license issued by other states.
credit report authorization.
authorization to obtain criminal findings from any government jurisdiction.
fingerprints for submission to a criminal background check. - Correct answer-a
copy of any other MLO license issued by other states.
With a fixed-rate mortgage loan, a change in what item may increase or decrease
the monthly payment amount?
delinquent payment
interest rate
mortgage insurance premium
property value - Correct answer-mortgage insurance premium
©COPYRIGHT 2025, ALL RIGHTS RESERVED 2
, Recurring costs, such as PMI and property taxes, are included in the monthly
payment amount. Changes in property taxes or a homeowner's insurance premium
may raise or lower the monthly payment amount of a fixed-rate loan.
The interest rate stated on the financing instrument is the
discount percentage.
note rate.
origination percentage.
annual percentage rate. - Correct answer-note rate.
The financing instrument, usually a promissory note, shows the interest rate for the
loan. This is the note rate, which is not the same as the APR.
______ let a borrower make a tradeoff between paying more upfront costs and
receiving a lower interest which results in a lower monthly payment and paying
less over time.
©COPYRIGHT 2025, ALL RIGHTS RESERVED 3
