MN MLO EXAM QUESTIONS AND 100% CORRECT ANSWERS
This state agency has authority to conduct examinations and investigations of mortgage
licensees in Minnesota. - Answer DOC
This is a person who, for compensation, assists a borrower in obtaining a residential
mortgage loan, including accepting loan applications and negotiating with lenders. -
Answer Mortgage broker
What a mortgage broker must do when providing duty of care for their customer, the
following is EXCEPT: - Answer Originate a loan with terms or conditions not in the
broker's normal course of business
Under this Minnesota law all the following would have to provide the unique identifiers
on loan applications, solicitations, advertisements and other: - Answer The Minnesota
S.A.F.E. Act
The Residential Mortgage Originator and Servicer Licensing Act does not permit the
following as it pertains to a prepayment penalty: - Response More than 42 months after
closing
The Minnesota prepayment penalty disclosure is due: - Response Within three business
days of closing (N)
For which of the following would Tyler's advertisement be required to include? -
Response Tyler's unique identifier
For the Knightleys, the lender's fee can't exceed what percentage of the loan amount? -
Answer 5%
Under which one of the following circumstances would Tyler be required to be an agent
, of the Knightleys? - Answer Charged any advance fee
How long must licensees maintain their records, under the Residential Mortgage
Originator and Servicer Licensing Act? - Answer 60 months
Licensees must deposit trust funds within what time frame upon receipt? Three
business days
"Lender fees" includes all of the following according to Minnesota law, EXCEPT:
Recording fees
The DOC is headed by the: Commissioner
Which of the following best describes duty of agency requirements in Minnesota? The
duty of agency in Minnesota applies to mortgage brokers
By examination or investigation the Commissioner may take any of the following actions
EXCEPT: - Answer Transfer control of the licensee to a personother than the owner
Every interest rate agreement must include all of the following, EXCEPT: - Answer The
risks and rewards of accepting a mortgage loan
If a lender fails to make timely payments from an escrow account, they may be liable to
the borrower for: - Answer Damages caused by failure to pay, plus a $500 penalty
To whom is satisfaction of a mortgage due upon written request? - Answer Any party
paying the full, final balance
This is the prohibited practice of originating or making an arrangement for a mortgage
loan that does not have a reasonable, tangible net benefit to the borrower. - Answer
Churning
This state agency has authority to conduct examinations and investigations of mortgage
licensees in Minnesota. - Answer DOC
This is a person who, for compensation, assists a borrower in obtaining a residential
mortgage loan, including accepting loan applications and negotiating with lenders. -
Answer Mortgage broker
What a mortgage broker must do when providing duty of care for their customer, the
following is EXCEPT: - Answer Originate a loan with terms or conditions not in the
broker's normal course of business
Under this Minnesota law all the following would have to provide the unique identifiers
on loan applications, solicitations, advertisements and other: - Answer The Minnesota
S.A.F.E. Act
The Residential Mortgage Originator and Servicer Licensing Act does not permit the
following as it pertains to a prepayment penalty: - Response More than 42 months after
closing
The Minnesota prepayment penalty disclosure is due: - Response Within three business
days of closing (N)
For which of the following would Tyler's advertisement be required to include? -
Response Tyler's unique identifier
For the Knightleys, the lender's fee can't exceed what percentage of the loan amount? -
Answer 5%
Under which one of the following circumstances would Tyler be required to be an agent
, of the Knightleys? - Answer Charged any advance fee
How long must licensees maintain their records, under the Residential Mortgage
Originator and Servicer Licensing Act? - Answer 60 months
Licensees must deposit trust funds within what time frame upon receipt? Three
business days
"Lender fees" includes all of the following according to Minnesota law, EXCEPT:
Recording fees
The DOC is headed by the: Commissioner
Which of the following best describes duty of agency requirements in Minnesota? The
duty of agency in Minnesota applies to mortgage brokers
By examination or investigation the Commissioner may take any of the following actions
EXCEPT: - Answer Transfer control of the licensee to a personother than the owner
Every interest rate agreement must include all of the following, EXCEPT: - Answer The
risks and rewards of accepting a mortgage loan
If a lender fails to make timely payments from an escrow account, they may be liable to
the borrower for: - Answer Damages caused by failure to pay, plus a $500 penalty
To whom is satisfaction of a mortgage due upon written request? - Answer Any party
paying the full, final balance
This is the prohibited practice of originating or making an arrangement for a mortgage
loan that does not have a reasonable, tangible net benefit to the borrower. - Answer
Churning
