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NMLS TEST-Affinity Exam Questions and
Answers 100% Pass
What law deals with credit, APR & Advertising of consumer loans? - ANS TILA
Which regulation prohibits kickbacks? - ANS RESPA
Which regulations require the lender to cancel PMI when the loan reaches 78% LTV? -
ANS HPA-Homeowners Protection Act
Which Regulation prohibits fee splitting? - ANS RESPA
Regulation X is the letter used to describe which law? - ANS RESPA
RESPA is the acronym used to describe which law? - ANS Real Estate Settlement Procedures
Act
What type of mortgage requires a non-refundable funding fee? - ANS VA Loan
What is the provision in a mortgage enabling a lender to demand full repayment if the
borrower DEFAULTS on the loan? - ANS Acceleration Clause
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What is the provision in a mortgage enabling a lender to demand full repayment if the
borrower TRANSFERS the loan? - ANS Alienation Clause
What does CFPB stand for? - ANS Consumer Financial Protection Bureau
What two laws created the CFBP? - ANS Dodd Frank Act and Consumer Finance Protection
Act
Which regulation is designed to help meet the Credit needs of the Communities in which it
operates? - ANS CRA- Community Reinvestment Act
Under ECOA rules and regulations, how many days the borrower have to request a copy of an
appraisal report? - ANS 90
Under ECOA rules and regulations, how many days does the lender have to provide a copy of an
appraisal report, once requested by the borrower? - ANS 30
If a loan application is APPROVED, Under ECOA rules & regulations, when MUST a copy of the
appraisal be provided to the borrower? - ANS 3 business days
Conforming loans follow guidelines of which regulators? - ANS Fannie Mae and Freddie Mac
Which regulation requires the lenders to "BE EQUAL" when extending credit to borrowers? -
ANS ECOA
How old must a borrower be to qualify for a Reverse Mortgage? - ANS 62 years old
Which regulation has the primary function of preventing Identity Theft? - ANS FACT Act
, ©THESTAR 2025 ALL RIGHTS RESERVED
Which regulation has Section 114 Rules? - ANS FACT Act
Which regulation requires the creditor to verify the VALIDITY of any change of address
received? - ANS SECTION 114 of the FACT Act
What is the payment method used in a reverse mortgage that allows the homeowners to
receive a monthly check while living in the property? - ANS Tenure Method
What is the fraud scheme where a borrower uses someone else's name to purchase the
property, but the person WILL NOT be living at the property? - ANS Straw Borrower
What government lender "insures" mortgages? - ANS FHA
What government lender "Guarantees" Mortgages? - ANS VA Loans
What government lender loans money to fund purchases in rural areas? - ANS USDA/ Dept.
of Agriculture
What is the value remaining in property after all liens and debts have been paid? -
ANS Equity
A borrower is refinancing his home. How much time does Reg Z give him to change his mind? -
ANS 3 days
Which regulation established the 3-day right of rescission rule? - ANS TILA
Redlining is part of which regulation/Law? - ANS Fair Housing Act
NMLS TEST-Affinity Exam Questions and
Answers 100% Pass
What law deals with credit, APR & Advertising of consumer loans? - ANS TILA
Which regulation prohibits kickbacks? - ANS RESPA
Which regulations require the lender to cancel PMI when the loan reaches 78% LTV? -
ANS HPA-Homeowners Protection Act
Which Regulation prohibits fee splitting? - ANS RESPA
Regulation X is the letter used to describe which law? - ANS RESPA
RESPA is the acronym used to describe which law? - ANS Real Estate Settlement Procedures
Act
What type of mortgage requires a non-refundable funding fee? - ANS VA Loan
What is the provision in a mortgage enabling a lender to demand full repayment if the
borrower DEFAULTS on the loan? - ANS Acceleration Clause
, ©THESTAR 2025 ALL RIGHTS RESERVED
What is the provision in a mortgage enabling a lender to demand full repayment if the
borrower TRANSFERS the loan? - ANS Alienation Clause
What does CFPB stand for? - ANS Consumer Financial Protection Bureau
What two laws created the CFBP? - ANS Dodd Frank Act and Consumer Finance Protection
Act
Which regulation is designed to help meet the Credit needs of the Communities in which it
operates? - ANS CRA- Community Reinvestment Act
Under ECOA rules and regulations, how many days the borrower have to request a copy of an
appraisal report? - ANS 90
Under ECOA rules and regulations, how many days does the lender have to provide a copy of an
appraisal report, once requested by the borrower? - ANS 30
If a loan application is APPROVED, Under ECOA rules & regulations, when MUST a copy of the
appraisal be provided to the borrower? - ANS 3 business days
Conforming loans follow guidelines of which regulators? - ANS Fannie Mae and Freddie Mac
Which regulation requires the lenders to "BE EQUAL" when extending credit to borrowers? -
ANS ECOA
How old must a borrower be to qualify for a Reverse Mortgage? - ANS 62 years old
Which regulation has the primary function of preventing Identity Theft? - ANS FACT Act
, ©THESTAR 2025 ALL RIGHTS RESERVED
Which regulation has Section 114 Rules? - ANS FACT Act
Which regulation requires the creditor to verify the VALIDITY of any change of address
received? - ANS SECTION 114 of the FACT Act
What is the payment method used in a reverse mortgage that allows the homeowners to
receive a monthly check while living in the property? - ANS Tenure Method
What is the fraud scheme where a borrower uses someone else's name to purchase the
property, but the person WILL NOT be living at the property? - ANS Straw Borrower
What government lender "insures" mortgages? - ANS FHA
What government lender "Guarantees" Mortgages? - ANS VA Loans
What government lender loans money to fund purchases in rural areas? - ANS USDA/ Dept.
of Agriculture
What is the value remaining in property after all liens and debts have been paid? -
ANS Equity
A borrower is refinancing his home. How much time does Reg Z give him to change his mind? -
ANS 3 days
Which regulation established the 3-day right of rescission rule? - ANS TILA
Redlining is part of which regulation/Law? - ANS Fair Housing Act
