MLO Exam Review| 120 QUESTIONS| WITH COMPLETE SOLUTIONS

What do mortgage brokers do? Correct Answer: Act as intermediaries between borrowers and lenders. Which statement about Ginnie Mae is true? Correct Answer: Ginnie Mae guarantees mortgage-backed securities. All of the following are examples of primary market mortgage lenders except: Correct Answer: A federal home loan mortgage corporation. All of the following are examples of primary market mortgage lenders: Correct Answer: Credit unions, S & L's and commercial banks. Which GSE holds the largest amount of home loan mortgages? Correct Answer: Federal National Mortgage Association (FNMA) What entity was established in 1932 as a cooperative to finance housing in local communities? Correct Answer: Federal home loan banks. ______ Loans have more risks than allowed in the conforming marked. Correct Answer: Subprime. What entity enforces the majority of mortgage laws & regulations? Correct Answer: Consumer Finance Protections Bureau (CFPB) The Consumer FInance Protection Bureau (CFPB) was created by the: Correct Answer: Dodd-Frank Act The _____ insures deposits in banks and thrift institutions. Correct Answer: FDIC The process of originating, processing and closing a mortgage occurs in the: Correct Answer: Primary mortgage market A cabinet level federal agency that is dedicated to quality, affordable housing for everyone, which has enforcement oversight for the Federal Fair Housing Act. Correct Answer: Department of Housing & Urban Development (HUD) The CFPB Act combined consumer responsibilities under the CFPB from the following agencies except: Correct Answer: The Department of Commerce Which is NOT a primary lender for residential properties? Correct Answer: Insurance companies. What is the name of the federal law that mandate