The SAFE Mortgage Loan Originator
National Exam Practice UPDATED
ACTUAL Exam Questions and CORRECT
Answers
The Real Estate Settlement Procedures Act (RESPA) is implemented as: - CORRECT
ANSWER - Regulation X
Which government agency enforces the RESPA regulations? - CORRECT ANSWER -
CFPB
RESPA is concerned with: - CORRECT ANSWER - Kickbacks
The Good Faith Estimate/Loan Estimate must be sent to the borrower within how many business
days of receiving a loan application? - CORRECT ANSWER -3
The Special Information Booklet must be sent to the borrower within how many business day of
receiving a loan application? - CORRECT ANSWER -3
The Mortgage Servicing Disclosure Statement must be sent to the borrower within how many
business days of receiving a loan application? - CORRECT ANSWER -3
How often must a summary of escrow activity statement be sent to the borrower? - CORRECT
ANSWER - Once a year
RESPA requires which of the following to be given to the borrower when the loan services
changes? - CORRECT ANSWER - Servicing Transfer Statement
When must a referring party give the Affiliated Business Arrangement Disclosure to the
consumer? - CORRECT ANSWER - At or prior to the time of referral
,A borrower is entitled to request and obtain a copy of the HUD-1 Settlement Statement how
many days before closing? - CORRECT ANSWER -1
After an escrow account analysis, money must be refunded if the over-paid amount equals or
exceeds: - CORRECT ANSWER - $50
The servicer has how many days to notify the borrower is the servicing rights have been sold and
are being transferred to another company? - CORRECT ANSWER - 15
A borrower who makes a timely payment to the old servicer after a loan transfer, can be
penalized after how many days if he still is not sending the payment to the correct servicer? -
CORRECT ANSWER - 60
What is the maximum criminal penalty for a kickback violation? - CORRECT ANSWER -
$10,000 and a year in prison
The HUD-1 Settlement Statement is required for what type of transaction? - CORRECT
ANSWER - Reverse Mortgage
The maximum escrow cushion that a lender can require is: - CORRECT ANSWER - 1/6
of total yearly disbursement's
The lender has how many days after settlement to refund any portion of charges on the HUD-1
that exceed the acceptable variance? - CORRECT ANSWER - 30
The Equal Credit Opportunity Act (ECOA) is implemented as: - CORRECT ANSWER -
Regulation B
ECOA allows an applicant to have a copy of his: - CORRECT ANSWER - Property
appraisal report
, What government agency enforces ECOA? - CORRECT ANSWER - CFPB
A lender can discriminate based on: - CORRECT ANSWER - Credit history
How many days does a lender have after receipt of an application to notify the applicant of its
action on the application? - CORRECT ANSWER - 30
How many days does an applicant have after receipt of an adverse action notice to request a
statement of reasons from the lender? - CORRECT ANSWER - 60
How many days does a lender have to send a statement of reasons for an adverse action after
receiving a request from an applicant? - CORRECT ANSWER - 30
The Truth-in-Lending Act (TILA) is implemented as: - CORRECT ANSWER -
Regulation Z
The Truth-in-Lending Act (TILA) was implemented by the: - CORRECT ANSWER -
Federal Reserve Bond
The Truth-in-Lending Act is administered by: - CORRECT ANSWER - CFPB
The TILA disclosure must be given to the applicant within how many days after receiving the
signed loan application for a reverse mortgage? - CORRECT ANSWER - 3 Business Days
Which of the following is NOT a trigger term? - CORRECT ANSWER - Lowest rates in
town
The Right of Rescission does NOT apply to: - CORRECT ANSWER - First mortgage on a
purchase
National Exam Practice UPDATED
ACTUAL Exam Questions and CORRECT
Answers
The Real Estate Settlement Procedures Act (RESPA) is implemented as: - CORRECT
ANSWER - Regulation X
Which government agency enforces the RESPA regulations? - CORRECT ANSWER -
CFPB
RESPA is concerned with: - CORRECT ANSWER - Kickbacks
The Good Faith Estimate/Loan Estimate must be sent to the borrower within how many business
days of receiving a loan application? - CORRECT ANSWER -3
The Special Information Booklet must be sent to the borrower within how many business day of
receiving a loan application? - CORRECT ANSWER -3
The Mortgage Servicing Disclosure Statement must be sent to the borrower within how many
business days of receiving a loan application? - CORRECT ANSWER -3
How often must a summary of escrow activity statement be sent to the borrower? - CORRECT
ANSWER - Once a year
RESPA requires which of the following to be given to the borrower when the loan services
changes? - CORRECT ANSWER - Servicing Transfer Statement
When must a referring party give the Affiliated Business Arrangement Disclosure to the
consumer? - CORRECT ANSWER - At or prior to the time of referral
,A borrower is entitled to request and obtain a copy of the HUD-1 Settlement Statement how
many days before closing? - CORRECT ANSWER -1
After an escrow account analysis, money must be refunded if the over-paid amount equals or
exceeds: - CORRECT ANSWER - $50
The servicer has how many days to notify the borrower is the servicing rights have been sold and
are being transferred to another company? - CORRECT ANSWER - 15
A borrower who makes a timely payment to the old servicer after a loan transfer, can be
penalized after how many days if he still is not sending the payment to the correct servicer? -
CORRECT ANSWER - 60
What is the maximum criminal penalty for a kickback violation? - CORRECT ANSWER -
$10,000 and a year in prison
The HUD-1 Settlement Statement is required for what type of transaction? - CORRECT
ANSWER - Reverse Mortgage
The maximum escrow cushion that a lender can require is: - CORRECT ANSWER - 1/6
of total yearly disbursement's
The lender has how many days after settlement to refund any portion of charges on the HUD-1
that exceed the acceptable variance? - CORRECT ANSWER - 30
The Equal Credit Opportunity Act (ECOA) is implemented as: - CORRECT ANSWER -
Regulation B
ECOA allows an applicant to have a copy of his: - CORRECT ANSWER - Property
appraisal report
, What government agency enforces ECOA? - CORRECT ANSWER - CFPB
A lender can discriminate based on: - CORRECT ANSWER - Credit history
How many days does a lender have after receipt of an application to notify the applicant of its
action on the application? - CORRECT ANSWER - 30
How many days does an applicant have after receipt of an adverse action notice to request a
statement of reasons from the lender? - CORRECT ANSWER - 60
How many days does a lender have to send a statement of reasons for an adverse action after
receiving a request from an applicant? - CORRECT ANSWER - 30
The Truth-in-Lending Act (TILA) is implemented as: - CORRECT ANSWER -
Regulation Z
The Truth-in-Lending Act (TILA) was implemented by the: - CORRECT ANSWER -
Federal Reserve Bond
The Truth-in-Lending Act is administered by: - CORRECT ANSWER - CFPB
The TILA disclosure must be given to the applicant within how many days after receiving the
signed loan application for a reverse mortgage? - CORRECT ANSWER - 3 Business Days
Which of the following is NOT a trigger term? - CORRECT ANSWER - Lowest rates in
town
The Right of Rescission does NOT apply to: - CORRECT ANSWER - First mortgage on a
purchase
