NMLS TEST-Affinity Questions And Answers

__________ occurs if the lender chooses the hazard insurance company when the borrower allows the policy to lapse. - Forced-placed insurance "APR" means? - Annual percentage rate. This is the cost of credit expressed as a percentage. A borrower is refinancing his home. How much time does Reg Z give him to change his mind? - 3 days A co-borrower whose income is used to qualify must sign the: - Mortgage and the note A deed is: - A legal instrument that conveys title to real property. A funding fee is required for a: - VA loan A graduated payment mortgage: - Has payments that start low and increase over time A guarantor or co-signer signs the: - Note A hihoe loan is one that has: - APR exceeds the average prime rate by at least: 1.5% for first-lien mortgage 2.5% for a first lien Jumbo loan, or 3.5% for a subordinate mortgage lien A lender that offers mortgage loans directly to the public is a: - Retail Lender A lender/Servicer can contact a borrower how many days after a missed payment? - 36 daysA lender/servicer must inform the borrower of the available loss mitigation options after __________days of missed payments? - 36 days A mortgage that includes appliances such as a stove or refrigerator is called what? - package mortgage A mortgage that includes more than one parcel of land is called what? - Blanket Mortgage A property sold for $200,000 and was appraised at $180,000. The borrower received a loan for $150,000. What is the loan-to-value? - 83.3% A Reconveyance Clause is: - The method used to transfer title for a property following full payment of a loan. Reconveyance is typically used with deed of trust. A subordinate lien is: - The same as a second mortgage. It may also be called a junior lien A VA appraisal is known as a: - CRV or NOV According to TILA/RESPA Z- what is the definition of a business day? - Any calendar day except for Sunday and Legal Holiday According to what regulation does a lender have 30 days to make a decision on a credit application? - ECOA After an escrow account analysis, money must be refunded if the over-paid amount equals or exceeds: - $50 After loan servicing is transferred, the new servicer cannot asses late fees for a period of __________ if the payment is made to the previous lender by mistake: - 60 daysAlimony payments must continue to be received for how long after the application date if they are to be included as income? - 3 years An amortization schedule is: - A table providing the periodic payments needed to pay off a loan by the end of its term. The Payments include principal and interest. An appraisal must be re-certified if it is older than: - 4 months As it relates to the initial loan estimate-what is the definition of a business day? - Any day that he Creditor's office is open for buisness Blockbusting is part of which regulation/Law? - Fair Housing Act Company or individual who, for a fee, places loans with lenders, buy doesn't service such loans is called a ? - Mortgage Broker Conforming loans follow guidelines of which regulators? - Fannie Mae and Freddie Mac Credit reports are good for how many days after they are pulled for qualifying purposes? - 120 Discount points are paid to? - The lender at closing to reduce the note rate of the loan During the loan process, if you ask a borrower is he/she is single.....What law are you violating? - ECOA During the loan process, where do you find HMDA government monitoring information? - Section X of the 1003 application Estimate of charges and terms for Settlement services must be available for at least business days from the time the Loan Estimate is provided? - 10