Uniform State Content (SAFE Act)Question 394 of 400
Which of the following individuals is acting as a mortgage loan originator and would generally need to be licensed or registered?
a.A licensed appraiser determining the market value of a home
b.A loan officer who takes a borrower's application and negotiates the interest rate and loan terms for compensation
c.A title company employee preparing the title commitment
d.A home inspector evaluating the physical condition of the property
Explanation
A loan officer who takes applications and negotiates loan terms for compensation squarely fits the SAFE Act definition of an MLO. Appraisers, title company staff, and home inspectors perform separate real-estate functions and are not MLOs by virtue of those roles.
Law Reference: SAFE ActPractice all 400 questions free — no signup required.
Related questions on this topic
- Under the SAFE Act, an MLO must report certain changes to NMLS, such as a new criminal charge or a change of address, in order to:
- Which of the following would most likely be considered prohibited conduct subject to disciplinary action under the SAFE Act?
- The pre-licensing education requirement under the SAFE Act must be completed through:
- What is the purpose of requiring MLOs to disclose their unique identifier to consumers?
- A regulator issues a cease-and-desist order against an MLO. What does this order require the MLO to do?
- How does the surety bond amount for a state-licensed MLO or company typically vary?
Last reviewed: · editorial process
PrepPass Editorial Team · Verified against NMLS SAFE Mortgage Loan Originator National Test · How we review