NNA Critical Documents |
Questions with Correct Answers
100% Pass
Closing Disclosure - CORRECT ANSWER-The "_____" itemizes actual closing
services and fees charged to close the borrower's loan, and it will be the first
document you will present to the borrower.
Closing Disclosure - CORRECT ANSWER-This is the "_____". Your lender
should have sent you this in advance. It Itemizes all closing costs. Page one
includes loan amount, interest rate, projected monthly payments, closing cost and
cash to close. The remaining pages include closing cost details such as loan and
other costs, payoffs in payments, cash to close calculations, disclosures, loan
calculations, and contact information.
Notice of Right to Cancel - CORRECT ANSWER-For qualifying loans, the
"_____" gives the borrower three business days to cancel the loan. If a customers
principal dwelling is used as security for a residential mortgage loan, a right to
rescind the transaction often applies.
Notice of Right to Cancel - CORRECT ANSWER-How to Present
,"This is your "_____". Your loan includes a rescission option. This allows you to
cancel the transaction within a specified time frame."
Note - CORRECT ANSWER-Perhaps the most critical document in the entire
loan package is the "_____". The "_____" is a legal document that obligates a
borrower to repay a mortgage loan at a stated interest rate during a specified term.
It's the actual evidence of indebtedness and the borrowers promise to repay.
Note - CORRECT ANSWER-Think of the "_____" as the contract between the
lender and the borrower. You will already have mentioned the important elements
of this document when you presented the HUD-1 (Settlement Statement), but
identifying these important provisions again can't hurt and will build the signers
confidence to see that they are the same.
Note - CORRECT ANSWER-This document will tell you:
Loan amount
Interest rate
Payment amount and due date
Prepayment provisions
Late charges terms and conditions
COPYRIGHT ALL RIGHTS RESERVED ©️ 2025
, If a borrower asks questions about any of these items direct them to this document
and point to the appropriate section containing the information that will answer
the borrower's question.
Note - CORRECT ANSWER-How to present
"This document is your "_____". The "Definition" is a written promise to pay a
sum of money at a stated interest rate during a specified term."
Note - CORRECT ANSWER-You will see the word "Seal" on the signature line
for the "_____", but that doesn't mean that it should be notarized. This is just an
old-fashioned way of asking for the borrower's signature.
Mortgage - CORRECT ANSWER-The "_____" is the security instrument referred
to in the Note. The "____" is recorded in the local land records, and it places a lien
on the borrowers' property and states that their property has been pledged as
security for a debt.
Mortgage - CORRECT ANSWER-A "_____" only involves two parties: the
borrower and the lender. It has no neutral third party. With a "_____" the
borrower conveys legal title to the lender, who holds the title until the debt is
repaid.
Mortgage - CORRECT ANSWER-The "_____" contains:
Questions with Correct Answers
100% Pass
Closing Disclosure - CORRECT ANSWER-The "_____" itemizes actual closing
services and fees charged to close the borrower's loan, and it will be the first
document you will present to the borrower.
Closing Disclosure - CORRECT ANSWER-This is the "_____". Your lender
should have sent you this in advance. It Itemizes all closing costs. Page one
includes loan amount, interest rate, projected monthly payments, closing cost and
cash to close. The remaining pages include closing cost details such as loan and
other costs, payoffs in payments, cash to close calculations, disclosures, loan
calculations, and contact information.
Notice of Right to Cancel - CORRECT ANSWER-For qualifying loans, the
"_____" gives the borrower three business days to cancel the loan. If a customers
principal dwelling is used as security for a residential mortgage loan, a right to
rescind the transaction often applies.
Notice of Right to Cancel - CORRECT ANSWER-How to Present
,"This is your "_____". Your loan includes a rescission option. This allows you to
cancel the transaction within a specified time frame."
Note - CORRECT ANSWER-Perhaps the most critical document in the entire
loan package is the "_____". The "_____" is a legal document that obligates a
borrower to repay a mortgage loan at a stated interest rate during a specified term.
It's the actual evidence of indebtedness and the borrowers promise to repay.
Note - CORRECT ANSWER-Think of the "_____" as the contract between the
lender and the borrower. You will already have mentioned the important elements
of this document when you presented the HUD-1 (Settlement Statement), but
identifying these important provisions again can't hurt and will build the signers
confidence to see that they are the same.
Note - CORRECT ANSWER-This document will tell you:
Loan amount
Interest rate
Payment amount and due date
Prepayment provisions
Late charges terms and conditions
COPYRIGHT ALL RIGHTS RESERVED ©️ 2025
, If a borrower asks questions about any of these items direct them to this document
and point to the appropriate section containing the information that will answer
the borrower's question.
Note - CORRECT ANSWER-How to present
"This document is your "_____". The "Definition" is a written promise to pay a
sum of money at a stated interest rate during a specified term."
Note - CORRECT ANSWER-You will see the word "Seal" on the signature line
for the "_____", but that doesn't mean that it should be notarized. This is just an
old-fashioned way of asking for the borrower's signature.
Mortgage - CORRECT ANSWER-The "_____" is the security instrument referred
to in the Note. The "____" is recorded in the local land records, and it places a lien
on the borrowers' property and states that their property has been pledged as
security for a debt.
Mortgage - CORRECT ANSWER-A "_____" only involves two parties: the
borrower and the lender. It has no neutral third party. With a "_____" the
borrower conveys legal title to the lender, who holds the title until the debt is
repaid.
Mortgage - CORRECT ANSWER-The "_____" contains:
