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An MLO with temporary authority has their state license application approved on day 90 of the 120-day period. When does the temporary authority terminate?

Correct Answer

A) Immediately upon license approval

Temporary authority terminates immediately when the state license is approved and granted. The MLO then operates under the state license rather than temporary authority.

Answer Options
A
Immediately upon license approval
B
At the end of the 120-day period
C
30 days after license approval
D
When the MLO receives the physical license

Why This Is the Correct Answer

Temporary authority terminates immediately when the state license is approved and granted. The MLO then operates under the state license rather than temporary authority.

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