SAFE Mortgage Loan Originator Exam
Questions With Complete Solutions 2024
Prequalification j- jANS✓✓-an jestimate jof jthe jloan jamt. jfor jwhich jthe jbuyer jcan
jqualify jbased jon jhis jincome/credit junder jthe jlenders jstandards
USDA jratio j- jANS✓✓-29/41
FHA jratio j- jANS✓✓-31/43
Asset jbased jloan j- jANS✓✓--loans jbased jon jborrowers jequity
-bad jwhen jlenders jfail jto jconsider jability jto jrepay
High jCost jLoan j- jANS✓✓-Reg jZ j- jSec. j1026.32
-APR jwill jexceed jby jmore jthan j6.5% jfor jfirst jlien jloans jor jby jmore jthan j8.5%
jfor jsubordinate
-APOR j- javerage jprime joffer jrate
1. j5%
2. j6.5%
3. j8.5%
RESPA j- jSection j8 j- jANS✓✓-Nothing jof jvalue jfor jreferrals j- jNo jkickbacks
Respa j- jEsign jAct j- jANS✓✓-can juse jelectronic jsignature jwith jpermission jof
jborrower
Gramm jLeach jBliley j- jANS✓✓--borrower jnotification jmust jstate jwho jcompany
jshares jinfo jwith
-consumers jcan jopt-out jof jinfo jsharing j(send jnotice jto jconsumer)
-Protects jfrom jphishing
-Safeguard jRules
Safeguard jRules j- jANS✓✓--company jand jstaff jneed jto jprotect jthe jconsumers
jidentity
-lock jup jfiles
-part jof jGLB jact
second jmortgage j- jANS✓✓--All jmoney jupfront
-no jescrow jas jlong jas jfirst jmortgage jis jpaying jit
, Subordination jClause j- jANS✓✓-A jcontract jclause jthat jputs ja jmortgage jin jthe
jfirst jlien jposition jover jan jearlier jrecorded jmortgage
Denial jOf jLicense j- jANS✓✓--any jnon-financial jfelony jin jthe jpast j7 jyears
-financial jfelony jever
-financial jmisdemeanor j(state jdecides)
-License jhas jbeen jrevoked jin janother jstate
-default jon ja jfederal jstudent jloan
Income j- jANS✓✓--Need jto jyears jhistory jand j3 jmore jyears jexpected jincome
-do jnot jinclude jsporadic jovertime jand jbonuses
-likelihood jof jcontinued jincome
TILA j- jRespa jIntegrated jDisclosure j- jANS✓✓--TRID
-LE jmust jbe jdisclosed jwithin j3 jbusiness jdays
-cannot jrequire jdocumentation jfrom jborrower jwithout j"intent jto jproceed"
-Appraisal jis jconsidered j0% jtolerance
Do jNot jCall j- jANS✓✓--$16,000 jfine
-Area jcode jreport jcant jbe jover j30 jdays jold
-allowed jto jcall jclosed, jdeclined jand jcancelled jloans j18 jmonths jafter jthe jfact
-can jcall j90 jdays jafter jinquiry jor jpre-qual
-someone jsays jdo jnot jcall j- jcant jcall, jemail, jfax janything
-call jbetween j8-9
Fully jIndexed jRate j- jANS✓✓-Index jrate jplus jMargin
The j1003 j- jANS✓✓-Contains jall jBorrower jInfo j(form)
Months jof jbank jstatements jneeded j- jANS✓✓-2 jmonths
Patriot jAct j- jANS✓✓-Part jof jBank jSecrecy jAct
-Establish jpolicies jfor jidentification jof jborrowers
-Check jagainst jbad jguy jlist jand jretention jof jrecords
Civil jRights jAct j- jANS✓✓-Cant jdiscriminate jbased jon jrace jor jcolor j(Act)
High jPriced jLoans j- jANS✓✓-Reg jZ j- j1026.35
-1.5% jor jmore jon jfirst jlien
-3.5% jsubordinate jliens
- j0% jtrigger jfee, j1.5% jfirst jmortgage, j3.5% jsecond
HMDA j- jANS✓✓-Reg jC
-Collection jof jborrower jdata
-Any jlender jthat jfunds jloans jmust jreport jmarch j1
Questions With Complete Solutions 2024
Prequalification j- jANS✓✓-an jestimate jof jthe jloan jamt. jfor jwhich jthe jbuyer jcan
jqualify jbased jon jhis jincome/credit junder jthe jlenders jstandards
USDA jratio j- jANS✓✓-29/41
FHA jratio j- jANS✓✓-31/43
Asset jbased jloan j- jANS✓✓--loans jbased jon jborrowers jequity
-bad jwhen jlenders jfail jto jconsider jability jto jrepay
High jCost jLoan j- jANS✓✓-Reg jZ j- jSec. j1026.32
-APR jwill jexceed jby jmore jthan j6.5% jfor jfirst jlien jloans jor jby jmore jthan j8.5%
jfor jsubordinate
-APOR j- javerage jprime joffer jrate
1. j5%
2. j6.5%
3. j8.5%
RESPA j- jSection j8 j- jANS✓✓-Nothing jof jvalue jfor jreferrals j- jNo jkickbacks
Respa j- jEsign jAct j- jANS✓✓-can juse jelectronic jsignature jwith jpermission jof
jborrower
Gramm jLeach jBliley j- jANS✓✓--borrower jnotification jmust jstate jwho jcompany
jshares jinfo jwith
-consumers jcan jopt-out jof jinfo jsharing j(send jnotice jto jconsumer)
-Protects jfrom jphishing
-Safeguard jRules
Safeguard jRules j- jANS✓✓--company jand jstaff jneed jto jprotect jthe jconsumers
jidentity
-lock jup jfiles
-part jof jGLB jact
second jmortgage j- jANS✓✓--All jmoney jupfront
-no jescrow jas jlong jas jfirst jmortgage jis jpaying jit
, Subordination jClause j- jANS✓✓-A jcontract jclause jthat jputs ja jmortgage jin jthe
jfirst jlien jposition jover jan jearlier jrecorded jmortgage
Denial jOf jLicense j- jANS✓✓--any jnon-financial jfelony jin jthe jpast j7 jyears
-financial jfelony jever
-financial jmisdemeanor j(state jdecides)
-License jhas jbeen jrevoked jin janother jstate
-default jon ja jfederal jstudent jloan
Income j- jANS✓✓--Need jto jyears jhistory jand j3 jmore jyears jexpected jincome
-do jnot jinclude jsporadic jovertime jand jbonuses
-likelihood jof jcontinued jincome
TILA j- jRespa jIntegrated jDisclosure j- jANS✓✓--TRID
-LE jmust jbe jdisclosed jwithin j3 jbusiness jdays
-cannot jrequire jdocumentation jfrom jborrower jwithout j"intent jto jproceed"
-Appraisal jis jconsidered j0% jtolerance
Do jNot jCall j- jANS✓✓--$16,000 jfine
-Area jcode jreport jcant jbe jover j30 jdays jold
-allowed jto jcall jclosed, jdeclined jand jcancelled jloans j18 jmonths jafter jthe jfact
-can jcall j90 jdays jafter jinquiry jor jpre-qual
-someone jsays jdo jnot jcall j- jcant jcall, jemail, jfax janything
-call jbetween j8-9
Fully jIndexed jRate j- jANS✓✓-Index jrate jplus jMargin
The j1003 j- jANS✓✓-Contains jall jBorrower jInfo j(form)
Months jof jbank jstatements jneeded j- jANS✓✓-2 jmonths
Patriot jAct j- jANS✓✓-Part jof jBank jSecrecy jAct
-Establish jpolicies jfor jidentification jof jborrowers
-Check jagainst jbad jguy jlist jand jretention jof jrecords
Civil jRights jAct j- jANS✓✓-Cant jdiscriminate jbased jon jrace jor jcolor j(Act)
High jPriced jLoans j- jANS✓✓-Reg jZ j- j1026.35
-1.5% jor jmore jon jfirst jlien
-3.5% jsubordinate jliens
- j0% jtrigger jfee, j1.5% jfirst jmortgage, j3.5% jsecond
HMDA j- jANS✓✓-Reg jC
-Collection jof jborrower jdata
-Any jlender jthat jfunds jloans jmust jreport jmarch j1
