NMLS MLO : Mortgage Loan Origination (SAFE MLO) Exam

Exam Code: MLO

Exam Name: Mortgage Loan Origination (SAFE MLO) Exam

Updated: Jun 17, 2026

Q & A: 232 Questions and Answers

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NMLS Mortgage Loan Origination (SAFE MLO) Sample Questions:

1. If an applicant provides a waiver for the requirement to receive their appraisal three business days prior to a loan's consummation and the transaction ends up not closing at all, a creditor must still provide a copy of the appraisal no later than how many days after the creditor determines consummation will not occur?

A) 10 days
B) 60 days
C) 45 days
D) 30 days


2. How long does Regulation Z of the Truth in Lending Act (TILA) require a mortgage company to retain the Closing Disclosure for a closed mortgage loan?

A) 3 years
B) 5 years
C) 2 years
D) 4 years


3. Interest-only mortgages are considered high risk compared to traditional mortgage products because:

A) the interest rate exceeds the average prime offer (APOR) rate by 1.5 percentage points.
B) scheduled payments do not reduce the loan's principal balance.
C) the interest rate exceeds the APOR by 6.5 percentage points.
D) the borrower's ability to repay is not considered when making the credit decision.


4. A loan secured by any lien other than the first lien position is referred to as:

A) Non-conforming
B) Collectible
C) Subordinate
D) Agency


5. Which of the following responses describes servicing transfers?

A) The transfer of a HUD case number from one lender to another
B) The transfer of an appraisal from one lender to another
C) The transfer of the processing of a loan to an independent service provider such as a contract processing provider
D) The transfer of the responsibility to collect payments on the loan from one lender to another


Solutions:

Question # 1
Answer: D
Question # 2
Answer: B
Question # 3
Answer: B
Question # 4
Answer: C
Question # 5
Answer: D

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