Minh's 50 question quiz Flashcards
A person wanting a loan originator license in four states must…
Must pass the state component of the license in each state
All of the following are included in a finance charge; Loan origination Fee, Closing fee, Appraisal Fee. True or false?
False
The homeowners Protection Act states that a borrower has the right to request the cancellation of private mortgage insurance when he pays down his mortgage payment to the point that it equals what?
80 % of the original purchase price or appraised value of the home
What is a borrower called in a mortgage transaction?
A mortgagor
In a month with 30 days and a purchase closing on the 15th day of the month, how many days of interest would the title agent be required to collect?
16
What may an underwriter use as a basis of approving a mortgage loan application?
Likelihood of continued income
A loan processor or underwriter who is NOT licensed as a mortgage loan originator may perform all of the following task EXCEPT:
Counsel consumers about available residential mortgage loan rates or terms.
Which is NOT an index that is typically used for adjustable rate mortgages?
HELOC
When purchasing a home, what is the right of recession period?
No right to rescind
A VA appraisal is known as what?
CRV
A first lien loan greater than 20,350 would be considered a Section 32 loan if the points and feed are greater than:
5% of the loan amount
A borrower receives his adverse action along with his right to receive appraisal notice. The lender provided him a copy of his appraisal but the borrower lost it. He requests another copy6 months later.When should he expect to receive a copy of the appraisal?
Never
A questionable fee that is incorporated into the closing cost associated with the loan is a ___fee.
Junk
When must the information obtained on the HMDA-Lar (section X of the 1003) be made publicly available?
March 31st of the following year
A(n) ____ of title is a written statement by an attorney of title agent determining whether the property is encumbered or has clear and marketable title.
Opinion
The FTC Red Flag Rule requires that creditors create and monitor policies applying to red flag rules indicating…
Identity theft
A loan applicant decides to withdraw his loan application. He has already paid for his appraisal and requests a copy of it from the lender. Is he entitled to a copy?
Yes, because he has already pad for the appraisal
How many years of employment history are required to be disclosed on the mortgage loan application?
Two
