SAFE Mortgage Loan Originator Test
EXAM QUESTIONS AND ANSWERS 100%
SOLVED (Newest 2025) Prequalification - Correct Answers ✅an estimate of the loan amt. for which the buyer can qualify based on his income/credit under the lenders standards USDA ratio - Correct Answers ✅29/41 FHA ratio - Correct Answers ✅31/43 Asset based loan - Correct Answers ✅-loans based on borrowers equity -bad when lenders fail to consider ability to repay High Cost Loan - Correct Answers ✅Reg Z - Sec. 1026.32 -APR will exceed by more than 6.5% for first lien loans or by more than 8.5% for subordinate -APOR - average prime offer rate
- 5%
2. 6.5%
3. 8.5%
RESPA - Section 8 - Correct Answers ✅Nothing of value for referrals - No kickbacks 1 / 3
SAFE Mortgage Loan Originator Test
EXAM QUESTIONS AND ANSWERS 100%
SOLVED (Newest 2025) Respa - Esign Act - Correct Answers ✅can use electronic signature with permission of borrower Gramm Leach Bliley - Correct Answers ✅-borrower notification must state who company shares info with -consumers can opt-out of info sharing (send notice to consumer) -Protects from phishing -Safeguard Rules Safeguard Rules - Correct Answers ✅-company and staff need to protect the consumers identity -lock up files -part of GLB act second mortgage - Correct Answers ✅-All money upfront -no escrow as long as first mortgage is paying it Subordination Clause - Correct Answers ✅A contract clause that puts a mortgage in the first lien position over an earlier recorded mortgage Denial Of License - Correct Answers ✅-any non-financial felony in the past 7 years 2 / 3
SAFE Mortgage Loan Originator Test
EXAM QUESTIONS AND ANSWERS 100%
SOLVED (Newest 2025) -financial felony ever -financial misdemeanor (state decides) -License has been revoked in another state -default on a federal student loan Income - Correct Answers ✅-Need to years history and 3 more years expected income -do not include sporadic overtime and bonuses -likelihood of continued income TILA - Respa Integrated Disclosure - Correct Answers ✅- TRID -LE must be disclosed within 3 business days -cannot require documentation from borrower without "intent to proceed" -Appraisal is considered 0% tolerance Do Not Call - Correct Answers ✅-$16,000 fine -Area code report cant be over 30 days old -allowed to call closed, declined and cancelled loans 18 months after the fact -can call 90 days after inquiry or pre-qual -someone says do not call - cant call, email, fax anything
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