Week 1 | 1.3 The mortgage broker act
Which one of the following people would not be specifically exempt from the current registration
requirements of the mortgage brokers act?
1. Sasha, a mortgage loans officer at one of the banks listed in the bank act of Canada.
2. Jim, a criminal lawyer, helps clients out when in need by lending them money on the security of their
property. He has collected $19,000 of fees this year.
3. Anna, is a real estate licensee who facilitates the sale of a vendor take back mortgage for a client
during the course of one of his real estate transactions.
4. Joanne, an employee of the Ministry of finance for British Columbia (and the ministry lends money to
low income households on the security land.) - correct answer ✔✔2. Jim, a criminal lawyer, helps clients
out when in need by lending them money on the security of their property. He has collected $19,000 of
fees this year.
Who is responsible for ensuring that mortgage brokers meet the requirements of the mortgage brokers
act?
1. Real estate council of BC
2. Superintendent of mortgage brokers
3. Superintendent of real estate
4. Registrar of mortgage brokers - correct answer ✔✔4. Registrar of mortgage brokers (Boss)
Which of the following statements about the financial institutions commissions (FICOM) is FALSE?
1. FICOM is an agency of the provincial government that administers a number of statutes and
regulations, including the mortgage brokers act.
2. FICOM's Jurisdiction includes credit unions, insurance and trust companies.
3. FICOM is solely responsible for enforcing all of the consumer protection granted by the business
practises and consumer protection act.
4. Through the registrar of mortgage brokers, FICOM governs the registration of mortgage and sub
mortgage brokers. - correct answer ✔✔3. FICOM is solely responsible for enforcing all of the consumer
protection granted by the business practises and consumer protection act.
, Which of the following are powers of the registrar of mortgage brokers under the more mortgage broker
act?
A. The Registrar has the power to investigate any complaints regarding a breach of a mortgage brokers
act.
B. Registrar has the power to investigate criminal fraud.
C. Registar's powers of investigation allow him or her to enter, inspect all books of accounts and other
records, and to seize any relevant information from a mortgage broker.
D. The registrar has the power to freeze the trust funds of any mortgage broker pending the outcome of
the investigation.
1. A, C & D
2. A and C
3. A, B and C
4. All of the above - correct answer ✔✔4. All of the above
The registrar of mortgage brokers has the power to order that a person pay an administrative penalty up
to a maximum of:
1. $50,000
2. $1000
3. $500,000
4. $1,000,000 - correct answer ✔✔1. $50,000
The purpose of code of ethics is to:
A. Define the minimum standard of conduct for professionals, as required by law.
B. Maintain the reputation of the profession in the eyes of the public.
C. Set out the remedies that a person may have against a professional who has wronged him or her.
D. Replace the Registry of the legal system of professionals
Which one of the following people would not be specifically exempt from the current registration
requirements of the mortgage brokers act?
1. Sasha, a mortgage loans officer at one of the banks listed in the bank act of Canada.
2. Jim, a criminal lawyer, helps clients out when in need by lending them money on the security of their
property. He has collected $19,000 of fees this year.
3. Anna, is a real estate licensee who facilitates the sale of a vendor take back mortgage for a client
during the course of one of his real estate transactions.
4. Joanne, an employee of the Ministry of finance for British Columbia (and the ministry lends money to
low income households on the security land.) - correct answer ✔✔2. Jim, a criminal lawyer, helps clients
out when in need by lending them money on the security of their property. He has collected $19,000 of
fees this year.
Who is responsible for ensuring that mortgage brokers meet the requirements of the mortgage brokers
act?
1. Real estate council of BC
2. Superintendent of mortgage brokers
3. Superintendent of real estate
4. Registrar of mortgage brokers - correct answer ✔✔4. Registrar of mortgage brokers (Boss)
Which of the following statements about the financial institutions commissions (FICOM) is FALSE?
1. FICOM is an agency of the provincial government that administers a number of statutes and
regulations, including the mortgage brokers act.
2. FICOM's Jurisdiction includes credit unions, insurance and trust companies.
3. FICOM is solely responsible for enforcing all of the consumer protection granted by the business
practises and consumer protection act.
4. Through the registrar of mortgage brokers, FICOM governs the registration of mortgage and sub
mortgage brokers. - correct answer ✔✔3. FICOM is solely responsible for enforcing all of the consumer
protection granted by the business practises and consumer protection act.
, Which of the following are powers of the registrar of mortgage brokers under the more mortgage broker
act?
A. The Registrar has the power to investigate any complaints regarding a breach of a mortgage brokers
act.
B. Registrar has the power to investigate criminal fraud.
C. Registar's powers of investigation allow him or her to enter, inspect all books of accounts and other
records, and to seize any relevant information from a mortgage broker.
D. The registrar has the power to freeze the trust funds of any mortgage broker pending the outcome of
the investigation.
1. A, C & D
2. A and C
3. A, B and C
4. All of the above - correct answer ✔✔4. All of the above
The registrar of mortgage brokers has the power to order that a person pay an administrative penalty up
to a maximum of:
1. $50,000
2. $1000
3. $500,000
4. $1,000,000 - correct answer ✔✔1. $50,000
The purpose of code of ethics is to:
A. Define the minimum standard of conduct for professionals, as required by law.
B. Maintain the reputation of the profession in the eyes of the public.
C. Set out the remedies that a person may have against a professional who has wronged him or her.
D. Replace the Registry of the legal system of professionals
