Florida Mortgage LIcense broker exam with complete verified solutions

What law prohibits a lender from requiring mortgage insurance through any agent or company? Anti - coercion law Who supervises all activities of the OFR? The director What are examples of prohibited practices under Chapter 494? Mostly fraud related activities Who can a fee or commission related to a mortgage loan transaction be paid to under chapter 393? Mortgage broker Mortgage lender A person exempt from licensure under the law. What disclosures need to be provided to the borrower in the case of a conflict of interest? The nature of the relationship, ownership, or financial interests. The estimated charge. The financial benefit. That alternative sources may be chosen by the borrower. The licensee or their relative owns or controls 10% or more of any class of equity securities in person prov. services In what cases would a licensee have a conflict of interest? additional products or services are provided by the licensee or licensee's family member. 1% is the key figure of ownership. How are files for each mortgage transaction to be maintained by mortgage brokers? in a central location and in an alphabetical or numerical sequence. What must each mortgage brokerage file contain? mortgage broker agreement copy of signed closing statement or documentation of denial or cancellation GFE If the mortgage broker issues a written commitment for the loan on behalf of the lender, what must be maintained in the file? A copy of the written commitment issued by the mortgage broker, AND a copy of the written commitment provided by the lender. What must the journal of mortgage brokerage transactions include? Name of applicant Date of application Disposition of the mortgage loan application Name of lender, if applicable What must mortgage lender files include? (not brokers) A copy of the GFE Original 1003 Copy of the closing statement or documentation demonstrating that the application was cancelled or denied. Copy of a lock-in agreement Copy of a written commitment Copy of written disclosures of a conflict of interest. Within how many days must a mortgage assignment be recorded? As soon as practical, but no later than 30 business days after the date of closing. If a title insurance policy is issued, what must it include? It must insure the non-institutional investor against the "unmarketability" of the mortgage interest in the property. It must specify any superior liens that exist against the property. What are the maximum fees for mortgage loans. Loans of of $1000 or less = $250 Loans between $1K and $2K = $250 for the first $1k and $10 for each additional $100. Loans between $2K and $5K = $350 for first $2K plus $10 for each additional $100 Loans greater than $5K = $250 plus 10% of the entire mortgage loan. What is the maximum commission for a loan? Loans of $5760 and over, divide the gross proceeds by 11 and add $227.27 It is a violation of the law for any person to advertise that an applicant will have unqualified access to credit without disclosing what material limitations on the availability of credit exist. What do this limitations include? (but not limited to) The percentage of downpayment required That a higher rate or points could be required That restrictions as to the maximum principal amount of the loan offered could apply. If a specific interest rate is advertised, what else must be disclosed? That the rate could change or not be available at commitment or closing. Is it okay for lenders to advertise mortgage loans and rates if it is not available to a reasonable number of qualified applicants? No For how long must advertisements and scripts be maintained? 2 years Within how many days at the end of the fiscal year must the audited financial statements be submitted? 120 days Who appoints the director of the OFR? The financial services commission. When does equitable right of redemption end? At the foreclosure sale Failure to keep a mortgage transaction journal will result in what penalty for the first offense? A "notice of non-compliance" issuance. What dollar amount change in fees would be considered material? $100 Are maximum commissions from a loan based on net proceeds of the loan, or net total from the GFE? Net proceeds of the loan Florida law requires a licensee to keep records of a mortgage transaction for how long? 3 years Part 1 of Chapter 494. General provisions as they apply to mortgage professionals. Part 2 of Chapter 494. Florida laws applicable to mortgage brokers and loan originators.