Uniform State Content (SAFE Act)Question 370 of 400
Carlos works at a mortgage company and only assembles and files paperwork after a licensed MLO has taken the application and negotiated terms. Carlos does not communicate with borrowers about rates or terms. Under the SAFE Act, Carlos:
a.Must obtain a state MLO license because he handles loan files
b.Is generally not required to be licensed, because purely clerical or administrative work does not meet the definition of an MLO
c.Must register as a federal MLO regardless of his duties
d.Must pass the SAFE MLO test but does not need education
Explanation
Individuals performing purely clerical or administrative tasks, such as assembling and filing documents after an application has been taken, generally do not meet the SAFE Act definition of an MLO and are not required to be licensed. Licensing is triggered by taking applications or offering/negotiating loan terms.
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Related questions on this topic
- During what annual window must a state-licensed MLO submit a license renewal request through NMLS?
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