NMLS Safe Test Mortgage Licensing Practice Exam Questions and Answers

NMLS Safe Test Mortgage Licensing Practice Exam Questions and Answers A Latina applies to a mortgage company for a home loan. She is refused based on the reputation of the neighborhood for a high number of foreclosures. This is an example of what illegal practice? - Answer-Redlining Which Act amended the Truth in Lending Act, establishing disclosure requirements and prohibiting equity stripping and other abusive practices in connection with "high cost" mortgages? - Answer-Home Ownership and Equity Protection Act (HOEPA) The type of mortgage that can provide the borrower with a monthly check instead of the borrower paying a monthly payments is known as - Answer-Reverse mortgage According to the Fair Credit Reporting Act, if adverse action is taken against a credit applicant because of information on a credit report, the lender who used that report is required to - Answer-provide to the consumer the name, address, and telephone number of the consumer reporting agency that furnished the report and the credit score used At closing, the buyers realizes that the lender changed the terms of the loan, but since he was facing foreclosure, he felt he had no choice but to go ahead with the refinance or lose the house. This could be an example of - Answer-Predatory lending The SAFE Act - Answer-Establishes minimum standards for licensing and registering mortgage loan originators