NMLS PRACTICE TEST MORTGAGE
LOAN ORIGINATION QUESTIONS
WITH CORRECT ANSWERS
\.Which of the following would not be found on a credit report? - ANSWERS-
Payments made to creditors who do not send data to a repository
\.A borrower does not wish to complete the demographics questions in the
Government Monitoring section of the 1003. What should the mortgage loan
originator do? - ANSWERS-Indicate that the applicant chooses not to self-disclose,
and complete what he or she can based on visual observation during a face-to-
face interview
\.Bankruptcy information will remain on a consumer's credit report for: -
ANSWERS-Ten years
\.Sue Johnson is a receptionist for a construction company. She receives bi-weekly
pay in the amount of $1,153.85. What is her monthly qualifying income? -
ANSWERS-$2,500
\.Why would a borrower pay discount points in conjunction with his/her loan
transaction? - ANSWERS-To lower their note rate
LOAN ORIGINATION QUESTIONS
WITH CORRECT ANSWERS
\.Which of the following would not be found on a credit report? - ANSWERS-
Payments made to creditors who do not send data to a repository
\.A borrower does not wish to complete the demographics questions in the
Government Monitoring section of the 1003. What should the mortgage loan
originator do? - ANSWERS-Indicate that the applicant chooses not to self-disclose,
and complete what he or she can based on visual observation during a face-to-
face interview
\.Bankruptcy information will remain on a consumer's credit report for: -
ANSWERS-Ten years
\.Sue Johnson is a receptionist for a construction company. She receives bi-weekly
pay in the amount of $1,153.85. What is her monthly qualifying income? -
ANSWERS-$2,500
\.Why would a borrower pay discount points in conjunction with his/her loan
transaction? - ANSWERS-To lower their note rate
