A mortgage loan originator working for a state-chartered bank that is FDIC-insured but not a Federal Reserve member must:
Correct Answer
C) Obtain federal registration because it's FDIC-insured
FDIC insurance, not the charter type, determines the requirement. Any MLO employed by an FDIC-insured institution qualifies for federal registration regardless of whether the bank is state or federally chartered. The key factor is federal deposit insurance coverage.
Why This Is the Correct Answer
FDIC insurance, not the charter type, determines the requirement. Any MLO employed by an FDIC-insured institution qualifies for federal registration regardless of whether the bank is state or federally chartered. The key factor is federal deposit insurance coverage.
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