A renewal specialist is reviewing a mortgage file during an MLO sponsorship update. Which statement correctly handles loan-originator obligations?
Correct Answer
C) Avoid steering the borrower to increase compensation
MLO obligations include fair dealing, no steering, accurate information, and compliant compensation. The best answer is "Avoid steering the borrower to increase compensation".
Why This Is the Correct Answer
MLO obligations include fair dealing, no steering, accurate information, and compliant compensation. The best answer is "Avoid steering the borrower to increase compensation".
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An MLO is reviewing procedures for a case where a manager proposes higher pay for loans with a higher interest rate. What is the proper handling?
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