NMLS EXAM 2025 WITH 100% ACCURATE
SOLUTIONS
What law deals with credit, APR & Advertising of consumer loans? - ✅✅✅CORRECT -TILA
Which regulation prohibits kickbacks? - ✅✅✅CORRECT -RESPA
Which regulations require the lender to cancel PMI when the loan reaches 78% LTV? - ✅✅✅CORRECT
-HPA-Homeowners Protection Act
Which Regulation prohibits fee splitting? - ✅✅✅CORRECT -RESPA
Regulation X is the letter used to describe which law? - ✅✅✅CORRECT -RESPA
RESPA is the acronym used to describe which law? - ✅✅✅CORRECT -Real Estate Settlement
Procedures Act
What type of mortgage requires a non-refundable funding fee? - ✅✅✅CORRECT -VA Loan
What is the provision in a mortgage enabling a lender to demand full repayment if the borrower
DEFAULTS on the loan? - ✅✅✅CORRECT -Acceleration Clause
What is the provision in a mortgage enabling a lender to demand full repayment if the borrower
TRANSFERS the loan? - ✅✅✅CORRECT -Alienation Clause
What does CFPB stand for? - ✅✅✅CORRECT -Consumer Financial Protection Bureau
What two laws created the CFBP? - ✅✅✅CORRECT -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? -
✅✅✅CORRECT -CRA- Community Reinvestment Act
Under ECOA rules and regulations, how many days the borrower have to request a copy of an appraisal
report? - ✅✅✅CORRECT -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? - ✅✅✅CORRECT -30
If a loan application is APPROVED, Under ECOA rules & regulations, when MUST a copy of the appraisal
be provided to the borrower? - ✅✅✅CORRECT -3 business days
Conforming loans follow guidelines of which regulators? - ✅✅✅CORRECT -Fannie Mae and Freddie
Mac
Which regulation requires the lenders to "BE EQUAL" when extending credit to borrowers? -
✅✅✅CORRECT -ECOA
How old must a borrower be to qualify for a Reverse Mortgage? - ✅✅✅CORRECT -62 years old
Which regulation has the primary function of preventing Identity Theft? - ✅✅✅CORRECT -FACT Act
Which regulation has Section 114 Rules? - ✅✅✅CORRECT -FACT Act
Which regulation requires the creditor to verify the VALIDITY of any change of address received? -
✅✅✅CORRECT -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? - ✅✅✅CORRECT -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? - ✅✅✅CORRECT -Straw Borrower
What government lender "insures" mortgages? - ✅✅✅CORRECT -FHA
What government lender "Guarantees" Mortgages? - ✅✅✅CORRECT -VA Loans
What government lender loans money to fund purchases in rural areas? - ✅✅✅CORRECT -USDA/
Dept. of Agriculture
What is the value remaining in property after all liens and debts have been paid? - ✅✅✅CORRECT -
Equity
A borrower is refinancing his home. How much time does Reg Z give him to change his mind? -
✅✅✅CORRECT -3 days
Which regulation established the 3-day right of rescission rule? - ✅✅✅CORRECT -TILA
Redlining is part of which regulation/Law? - ✅✅✅CORRECT -Fair Housing Act
Blockbusting is part of which regulation/Law? - ✅✅✅CORRECT -Fair Housing Act
Steering is part of which regulation/Law? - ✅✅✅CORRECT -Fair housing act
Trying to convince a homeowner to SELL his home by implying that another race/ethnicity is moving in
the neighborhood is called? - ✅✅✅CORRECT -Blockbusting/panic selling
Trying to convince a homeowner to PURCHASE in a particular neighborhood based on his race, religion
or ethnicity is called? - ✅✅✅CORRECT -STEERING
SOLUTIONS
What law deals with credit, APR & Advertising of consumer loans? - ✅✅✅CORRECT -TILA
Which regulation prohibits kickbacks? - ✅✅✅CORRECT -RESPA
Which regulations require the lender to cancel PMI when the loan reaches 78% LTV? - ✅✅✅CORRECT
-HPA-Homeowners Protection Act
Which Regulation prohibits fee splitting? - ✅✅✅CORRECT -RESPA
Regulation X is the letter used to describe which law? - ✅✅✅CORRECT -RESPA
RESPA is the acronym used to describe which law? - ✅✅✅CORRECT -Real Estate Settlement
Procedures Act
What type of mortgage requires a non-refundable funding fee? - ✅✅✅CORRECT -VA Loan
What is the provision in a mortgage enabling a lender to demand full repayment if the borrower
DEFAULTS on the loan? - ✅✅✅CORRECT -Acceleration Clause
What is the provision in a mortgage enabling a lender to demand full repayment if the borrower
TRANSFERS the loan? - ✅✅✅CORRECT -Alienation Clause
What does CFPB stand for? - ✅✅✅CORRECT -Consumer Financial Protection Bureau
What two laws created the CFBP? - ✅✅✅CORRECT -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? -
✅✅✅CORRECT -CRA- Community Reinvestment Act
Under ECOA rules and regulations, how many days the borrower have to request a copy of an appraisal
report? - ✅✅✅CORRECT -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? - ✅✅✅CORRECT -30
If a loan application is APPROVED, Under ECOA rules & regulations, when MUST a copy of the appraisal
be provided to the borrower? - ✅✅✅CORRECT -3 business days
Conforming loans follow guidelines of which regulators? - ✅✅✅CORRECT -Fannie Mae and Freddie
Mac
Which regulation requires the lenders to "BE EQUAL" when extending credit to borrowers? -
✅✅✅CORRECT -ECOA
How old must a borrower be to qualify for a Reverse Mortgage? - ✅✅✅CORRECT -62 years old
Which regulation has the primary function of preventing Identity Theft? - ✅✅✅CORRECT -FACT Act
Which regulation has Section 114 Rules? - ✅✅✅CORRECT -FACT Act
Which regulation requires the creditor to verify the VALIDITY of any change of address received? -
✅✅✅CORRECT -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? - ✅✅✅CORRECT -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? - ✅✅✅CORRECT -Straw Borrower
What government lender "insures" mortgages? - ✅✅✅CORRECT -FHA
What government lender "Guarantees" Mortgages? - ✅✅✅CORRECT -VA Loans
What government lender loans money to fund purchases in rural areas? - ✅✅✅CORRECT -USDA/
Dept. of Agriculture
What is the value remaining in property after all liens and debts have been paid? - ✅✅✅CORRECT -
Equity
A borrower is refinancing his home. How much time does Reg Z give him to change his mind? -
✅✅✅CORRECT -3 days
Which regulation established the 3-day right of rescission rule? - ✅✅✅CORRECT -TILA
Redlining is part of which regulation/Law? - ✅✅✅CORRECT -Fair Housing Act
Blockbusting is part of which regulation/Law? - ✅✅✅CORRECT -Fair Housing Act
Steering is part of which regulation/Law? - ✅✅✅CORRECT -Fair housing act
Trying to convince a homeowner to SELL his home by implying that another race/ethnicity is moving in
the neighborhood is called? - ✅✅✅CORRECT -Blockbusting/panic selling
Trying to convince a homeowner to PURCHASE in a particular neighborhood based on his race, religion
or ethnicity is called? - ✅✅✅CORRECT -STEERING
