A federal MLO worked for a credit union for 11 months before moving to a state-licensed mortgage company. What is the MLO's status regarding temporary authority?
Correct Answer
B) Must obtain state license before originating loans
The MLO does not qualify for temporary authority because they did not meet the minimum 12-month employment requirement at the depository institution. They must obtain a state license before originating mortgage loans.
Why This Is the Correct Answer
The MLO does not qualify for temporary authority because they did not meet the minimum 12-month employment requirement at the depository institution. They must obtain a state license before originating mortgage loans.
More UST Questions
If a state regulatory authority finds violations during an examination, what factors typically influence the severity of enforcement action?
Under the SAFE Act, an individual who works for a federally chartered bank and takes mortgage applications must:
An MLO under investigation claims that certain requested documents are protected by attorney-client privilege because they were prepared in consultation with legal counsel. How should the state regulator respond?
Which scenario represents the MOST serious violation of appraisal independence requirements?
An MLO's license is suspended for 6 months, but after 3 months, the MLO demonstrates completion of remedial actions. Can the regulator lift the suspension early?
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