1
NAFCU NCCO TEST 4 2025/2026 EXAM
QUESTIONS AND ANSWERS | 100%
PASS
How long do mortgage servicers have to make contact with delinquent members -
🧠 ANSWER ✔✔Live contact: establish or make a good faith effort to establish live
contact by the 36th day of delinquency
written notice: provide written notice of loss mitigation options by the 45th day of
delinquency
What are the requirements for Credit unions to use coupon books intead of periodic
statements. - 🧠 ANSWER ✔✔Only applied to Fixed mortgages
require to have ammount due, amount of any late fees, the date late fees are
charged, the due date
Are there any types of loans exempt from periodic statement requirements? If so
what types of loans are exempt? - 🧠 ANSWER ✔✔Reverse mortgages, HELOC,
timeshare loans, and small services
COPYRIGHT©NINJANERD 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE. PRIVACY
1
STATEMENT. ALL RIGHTS RESERVED
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What is the timing of the notice requirements for force-placed insurance? - 🧠
ANSWER ✔✔First notice - send at least 45 days before charging the member
reminder notice - sent 30 days before the first notice
renewal notice - sent 45 days before renewal
When is a credit union considered a "small servicer"?
What are some of the provisions that would still apply to "small servicers"? What
are some provions that do not apply to "small servicers" - 🧠 ANSWER ✔✔A
servicer that, together with any affiliates, services 5,000 or fewer mortgage loans
and the servicers it eh creditor or assignee for all of them.
Not exempt from ARM notices, prompt crediting of payments, responding to
QWRs, escrow account servicing requirements
Extempt from general servicing procedures and requirements, periodic statements,
prohibition on purchasing force placed insurance, majority of rules for servicing
delinquent mortgages
What is an error for the purposes of the error resolution rule? - 🧠 ANSWER ✔✔No
exact defintion
COPYRIGHT©NINJANERD 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE. PRIVACY
2
STATEMENT. ALL RIGHTS RESERVED
, 3
but regulation provides example such as
- failure to accept a conforming payment
- failure to apply payment
- not related orgination or underwriting
What is the difference between information request and an error notice? - 🧠
ANSWER ✔✔Information request does not require notice of error.
What is a periodic payment? How much servicers handle these payments? - 🧠
ANSWER ✔✔Include the amount neccesary to pay principal interest and any
applicable escrow
must credit the day they are recieved
How are partial payments treated?
Can CUs charge a late payment fee for a partial payment? - 🧠 ANSWER ✔✔CU
may credit the payment, return the payment, place in a suspense account until the
funds are sufficient to cover the periodic payment
can cause the payment to be late
COPYRIGHT©NINJANERD 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE. PRIVACY
3
STATEMENT. ALL RIGHTS RESERVED
NAFCU NCCO TEST 4 2025/2026 EXAM
QUESTIONS AND ANSWERS | 100%
PASS
How long do mortgage servicers have to make contact with delinquent members -
🧠 ANSWER ✔✔Live contact: establish or make a good faith effort to establish live
contact by the 36th day of delinquency
written notice: provide written notice of loss mitigation options by the 45th day of
delinquency
What are the requirements for Credit unions to use coupon books intead of periodic
statements. - 🧠 ANSWER ✔✔Only applied to Fixed mortgages
require to have ammount due, amount of any late fees, the date late fees are
charged, the due date
Are there any types of loans exempt from periodic statement requirements? If so
what types of loans are exempt? - 🧠 ANSWER ✔✔Reverse mortgages, HELOC,
timeshare loans, and small services
COPYRIGHT©NINJANERD 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE. PRIVACY
1
STATEMENT. ALL RIGHTS RESERVED
,2
What is the timing of the notice requirements for force-placed insurance? - 🧠
ANSWER ✔✔First notice - send at least 45 days before charging the member
reminder notice - sent 30 days before the first notice
renewal notice - sent 45 days before renewal
When is a credit union considered a "small servicer"?
What are some of the provisions that would still apply to "small servicers"? What
are some provions that do not apply to "small servicers" - 🧠 ANSWER ✔✔A
servicer that, together with any affiliates, services 5,000 or fewer mortgage loans
and the servicers it eh creditor or assignee for all of them.
Not exempt from ARM notices, prompt crediting of payments, responding to
QWRs, escrow account servicing requirements
Extempt from general servicing procedures and requirements, periodic statements,
prohibition on purchasing force placed insurance, majority of rules for servicing
delinquent mortgages
What is an error for the purposes of the error resolution rule? - 🧠 ANSWER ✔✔No
exact defintion
COPYRIGHT©NINJANERD 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE. PRIVACY
2
STATEMENT. ALL RIGHTS RESERVED
, 3
but regulation provides example such as
- failure to accept a conforming payment
- failure to apply payment
- not related orgination or underwriting
What is the difference between information request and an error notice? - 🧠
ANSWER ✔✔Information request does not require notice of error.
What is a periodic payment? How much servicers handle these payments? - 🧠
ANSWER ✔✔Include the amount neccesary to pay principal interest and any
applicable escrow
must credit the day they are recieved
How are partial payments treated?
Can CUs charge a late payment fee for a partial payment? - 🧠 ANSWER ✔✔CU
may credit the payment, return the payment, place in a suspense account until the
funds are sufficient to cover the periodic payment
can cause the payment to be late
COPYRIGHT©NINJANERD 2025/2026. YEAR PUBLISHED 2025. COMPANY REGISTRATION NUMBER: 619652435. TERMS OF USE. PRIVACY
3
STATEMENT. ALL RIGHTS RESERVED
