TE Practice Exam Questions and
Answers Latest Versions 2025 Top Rated
A+
What if theres a surplus?
Borrower must be current:
within 30 days, refund borrower if surplus is greater than or equal to $50
if the surplus is less than $50, may refund borrower OR credit the amount against the
next years escrow payments
What if theres a surplus?
Borrower must be current:
within 30 days, refund borrower if surplus is greater than or equal to $50
if the surplus is less than $50, may refund borrower OR credit the amount against the
next years escrow payments
What happens if there is a shortgage?
Less than 1 months pmt:
1. do nothing
2. require borrower to repay within 30 days
OR
3. require borrower to repay over a 12 month period
Greater than 1 pmt:
1. no nothing
2. may require borrower to repay over a 12 month period
What happens if there is a shortgage?
Less than 1 months pmt:
1. do nothing
2. require borrower to repay within 30 days
OR
3. require borrower to repay over a 12 month period
Greater than 1 pmt:
1. no nothing
2. may require borrower to repay over a 12 month period
What happens if there is a deficiency:
Borrower is current:
Less than 1 month pmt:
,1. do nothing
2. may require repayment within 30 days
OR
3. may require repayment in 2 or more monthly pmts
More than 1 month pmt:
1. do nothing
OR
2. may require repayment within 30 days
What happens if there is a deficiency:
Borrower is current:
Less than 1 month pmt:
1. do nothing
2. may require repayment within 30 days
OR
3. may require repayment in 2 or more monthly pmts
More than 1 month pmt:
1. do nothing
OR
2. may require repayment within 30 days
Initial escrow statement
MUST provide at settlement OR within 45 calendar days of settlement
Initial escrow statement
MUST provide at settlement OR within 45 calendar days of settlement
When does the look back for TILA restitution go back too?
LX = closed-end
2yrs = open-end
When does the look back for TILA restitution go back too?
LX = closed-end
2yrs = open-end
Complete application
ALIENS
address
loan amount
income
estimated prop value
name
SSN
Complete application
ALIENS
address
loan amount
, income
estimated prop value
name
SSN
LE business days
Includes Saturdays if open for substantially all business functions
I was told Saturdays always count
LE business days
Includes Saturdays if open for substantially all business functions
I was told Saturdays always count
SAFE ACT objectives
aggregating and improving the flow of info to and between regulators, providing
increased accountability/tracking of MLOs, enhancing consumer protections, support
anti-fraud messages, and providing consumers with easily accessible information at no
charge regarding the employment history of MLOs
SAFE ACT objectives
aggregating and improving the flow of info to and between regulators, providing
increased accountability/tracking of MLOs, enhancing consumer protections, support
anti-fraud messages, and providing consumers with easily accessible information at no
charge regarding the employment history of MLOs
MLO:
takes a residential mortgage loan application AND offers or negotiates terms of the a
residential mortgage loans for compensation or gain
EXCLUDES:
1. individual who performs admin/clerical tasks on behalf of an MLO
2. individual who performs real estate brokerage activities
OR
3. individual who extends credit related to timeshare plans
MLO:
takes a residential mortgage loan application AND offers or negotiates terms of the a
residential mortgage loans for compensation or gain
EXCLUDES:
1. individual who performs admin/clerical tasks on behalf of an MLO
2. individual who performs real estate brokerage activities
OR
3. individual who extends credit related to timeshare plans
Loans subject to TRID
most closed-end consumer credit secure by real property
includes:
- construction only
- loans secured by vacant land or by 25acres or more (even if home will not be placed
Answers Latest Versions 2025 Top Rated
A+
What if theres a surplus?
Borrower must be current:
within 30 days, refund borrower if surplus is greater than or equal to $50
if the surplus is less than $50, may refund borrower OR credit the amount against the
next years escrow payments
What if theres a surplus?
Borrower must be current:
within 30 days, refund borrower if surplus is greater than or equal to $50
if the surplus is less than $50, may refund borrower OR credit the amount against the
next years escrow payments
What happens if there is a shortgage?
Less than 1 months pmt:
1. do nothing
2. require borrower to repay within 30 days
OR
3. require borrower to repay over a 12 month period
Greater than 1 pmt:
1. no nothing
2. may require borrower to repay over a 12 month period
What happens if there is a shortgage?
Less than 1 months pmt:
1. do nothing
2. require borrower to repay within 30 days
OR
3. require borrower to repay over a 12 month period
Greater than 1 pmt:
1. no nothing
2. may require borrower to repay over a 12 month period
What happens if there is a deficiency:
Borrower is current:
Less than 1 month pmt:
,1. do nothing
2. may require repayment within 30 days
OR
3. may require repayment in 2 or more monthly pmts
More than 1 month pmt:
1. do nothing
OR
2. may require repayment within 30 days
What happens if there is a deficiency:
Borrower is current:
Less than 1 month pmt:
1. do nothing
2. may require repayment within 30 days
OR
3. may require repayment in 2 or more monthly pmts
More than 1 month pmt:
1. do nothing
OR
2. may require repayment within 30 days
Initial escrow statement
MUST provide at settlement OR within 45 calendar days of settlement
Initial escrow statement
MUST provide at settlement OR within 45 calendar days of settlement
When does the look back for TILA restitution go back too?
LX = closed-end
2yrs = open-end
When does the look back for TILA restitution go back too?
LX = closed-end
2yrs = open-end
Complete application
ALIENS
address
loan amount
income
estimated prop value
name
SSN
Complete application
ALIENS
address
loan amount
, income
estimated prop value
name
SSN
LE business days
Includes Saturdays if open for substantially all business functions
I was told Saturdays always count
LE business days
Includes Saturdays if open for substantially all business functions
I was told Saturdays always count
SAFE ACT objectives
aggregating and improving the flow of info to and between regulators, providing
increased accountability/tracking of MLOs, enhancing consumer protections, support
anti-fraud messages, and providing consumers with easily accessible information at no
charge regarding the employment history of MLOs
SAFE ACT objectives
aggregating and improving the flow of info to and between regulators, providing
increased accountability/tracking of MLOs, enhancing consumer protections, support
anti-fraud messages, and providing consumers with easily accessible information at no
charge regarding the employment history of MLOs
MLO:
takes a residential mortgage loan application AND offers or negotiates terms of the a
residential mortgage loans for compensation or gain
EXCLUDES:
1. individual who performs admin/clerical tasks on behalf of an MLO
2. individual who performs real estate brokerage activities
OR
3. individual who extends credit related to timeshare plans
MLO:
takes a residential mortgage loan application AND offers or negotiates terms of the a
residential mortgage loans for compensation or gain
EXCLUDES:
1. individual who performs admin/clerical tasks on behalf of an MLO
2. individual who performs real estate brokerage activities
OR
3. individual who extends credit related to timeshare plans
Loans subject to TRID
most closed-end consumer credit secure by real property
includes:
- construction only
- loans secured by vacant land or by 25acres or more (even if home will not be placed
