Mortgage loan originator ACTUAL
UPDATED Exam Questions and CORRECT
Answers
What does RESPA stand for? - CORRECT ANSWER - The Real Estate Settlement
Procedures Act (Regulation X)
What does ECOA stand for? - CORRECT ANSWER - Equal Credit Opportunity Act
(Regulation B)
What does TILA stand for? - CORRECT ANSWER - Truth In Lending Act (Regulation Z)
What does TRID stand for? - CORRECT ANSWER - TILA-RESPA Integrated Disclosure
Rule (a.k.a. "Know Before You Owe")
What does CFPB stand for? - CORRECT ANSWER - Consumer Financial Protection
Bureau
What does NMLS stand for? - CORRECT ANSWER - Nationwide Mortgage Licensing
System and Registry
What is SAFE and UST? - CORRECT ANSWER - Secure and Fair Enforcement for
Mortgage and Licensing Act of 2008, and Uniform State Test.
Included in the Loan Estimate, all of the following are part of the finance charge except the:
A. Appraisal cost
B. VA funding fee
C. Per diem interest
D. Origination charges - CORRECT ANSWER - A. Appraisal cost
, If an applicant works 40 hours every week and is paid $13.52 per hour, what is the applicant's
monthly income?
A. $2,163.20
B. $2,343.47
C. $2,379.52
D. $2,487.68 - CORRECT ANSWER - B. $2,343.47
According to the TILA, which of the following fees is excluded from the calculation of the
APR?
A. Wire Transfer
B. Prepaid interest
C. Hazard Insurance
D. Mortgage insurance premiums - CORRECT ANSWER - C. Hazard insurance
Brokerage Services - CORRECT ANSWER - Include obtaining or attempting to obtain, on
behalf of a borrower, a residential mortgage loan, secured by residential real estate, made with
the funds of another institutional lender and closed in the name of either that lender or the
licensee, for a fee paid by the borrower or the institutional lender.
What is DBO? - CORRECT ANSWER - Department of Business Oversight, one of the
two agencies that governs Mortgage-related activities in California
What occurred under the Governor's Reorganization Plan? - CORRECT ANSWER - The
Department of Corporations and the Department of Financial Institutions were merged as of July
1, 2013, into the Department of Business Oversight (DBO).
What agency is the Department of Business Oversight (DBO) under? - CORRECT
ANSWER - The Business, Consumer Services and Housing Agency
UPDATED Exam Questions and CORRECT
Answers
What does RESPA stand for? - CORRECT ANSWER - The Real Estate Settlement
Procedures Act (Regulation X)
What does ECOA stand for? - CORRECT ANSWER - Equal Credit Opportunity Act
(Regulation B)
What does TILA stand for? - CORRECT ANSWER - Truth In Lending Act (Regulation Z)
What does TRID stand for? - CORRECT ANSWER - TILA-RESPA Integrated Disclosure
Rule (a.k.a. "Know Before You Owe")
What does CFPB stand for? - CORRECT ANSWER - Consumer Financial Protection
Bureau
What does NMLS stand for? - CORRECT ANSWER - Nationwide Mortgage Licensing
System and Registry
What is SAFE and UST? - CORRECT ANSWER - Secure and Fair Enforcement for
Mortgage and Licensing Act of 2008, and Uniform State Test.
Included in the Loan Estimate, all of the following are part of the finance charge except the:
A. Appraisal cost
B. VA funding fee
C. Per diem interest
D. Origination charges - CORRECT ANSWER - A. Appraisal cost
, If an applicant works 40 hours every week and is paid $13.52 per hour, what is the applicant's
monthly income?
A. $2,163.20
B. $2,343.47
C. $2,379.52
D. $2,487.68 - CORRECT ANSWER - B. $2,343.47
According to the TILA, which of the following fees is excluded from the calculation of the
APR?
A. Wire Transfer
B. Prepaid interest
C. Hazard Insurance
D. Mortgage insurance premiums - CORRECT ANSWER - C. Hazard insurance
Brokerage Services - CORRECT ANSWER - Include obtaining or attempting to obtain, on
behalf of a borrower, a residential mortgage loan, secured by residential real estate, made with
the funds of another institutional lender and closed in the name of either that lender or the
licensee, for a fee paid by the borrower or the institutional lender.
What is DBO? - CORRECT ANSWER - Department of Business Oversight, one of the
two agencies that governs Mortgage-related activities in California
What occurred under the Governor's Reorganization Plan? - CORRECT ANSWER - The
Department of Corporations and the Department of Financial Institutions were merged as of July
1, 2013, into the Department of Business Oversight (DBO).
What agency is the Department of Business Oversight (DBO) under? - CORRECT
ANSWER - The Business, Consumer Services and Housing Agency
