NMLS Exam Review Questions with Verified
Correct Answers
Reg C
HMDA (Home Mortgage Disclosure Act)
Why were HMDA laws written?
Laws were written in response to the public concerns that lenders were "redlining"
Under HMDA how often do institutions need to report public loan data? Regarding what kind
of data?
Annually, reports due every year in March. Data is in regards to ethnicity, race, and sex of ALL
applicants.
What is the log of applicants that a creditor must keep and provide to the federal gov? How
long must they be maintained?
Loan Applicant Register (LAR). 3 Years.
HMDA data must be maintained and available upon request for how many years?
3 Years
What is the community reinvestment act (CRA)?
Regulation to help meet credit needs of communities
Federal Financial Institutions Examination Council (FFIEC)
Composed of 5 banking regulators. Compiles information as individual disclosure statements for
EACH institution in the form of aggregate reports.
Gramm-Leach-Bliley Act (GLBA)
Provisions to protect consumer's personal financial information held by financial institutions
Another name for GLBA
Financial Services Modernization Act of 1999 (FSMA)
What must a borrower receive at first contact, then yearly if they are a remaining customer?
Correct Answers
Reg C
HMDA (Home Mortgage Disclosure Act)
Why were HMDA laws written?
Laws were written in response to the public concerns that lenders were "redlining"
Under HMDA how often do institutions need to report public loan data? Regarding what kind
of data?
Annually, reports due every year in March. Data is in regards to ethnicity, race, and sex of ALL
applicants.
What is the log of applicants that a creditor must keep and provide to the federal gov? How
long must they be maintained?
Loan Applicant Register (LAR). 3 Years.
HMDA data must be maintained and available upon request for how many years?
3 Years
What is the community reinvestment act (CRA)?
Regulation to help meet credit needs of communities
Federal Financial Institutions Examination Council (FFIEC)
Composed of 5 banking regulators. Compiles information as individual disclosure statements for
EACH institution in the form of aggregate reports.
Gramm-Leach-Bliley Act (GLBA)
Provisions to protect consumer's personal financial information held by financial institutions
Another name for GLBA
Financial Services Modernization Act of 1999 (FSMA)
What must a borrower receive at first contact, then yearly if they are a remaining customer?
