A sponsorship reviewer is reviewing a mortgage file during an NMLS filing review. Which statement correctly handles advertising and consumer-protection controls?
Correct Answer
D) Decline dual compensation when the consumer pays directly
loan originator compensation cannot be based on transaction terms or proxies and dual compensation is restricted. This item uses an exam-style scenario; any file details in the stem are illustrative and the governing rule controls the compliant response. The best answer is "Decline dual compensation when the consumer pays directly".
Why This Is the Correct Answer
loan originator compensation cannot be based on transaction terms or proxies and dual compensation is restricted. This item uses an exam-style scenario; any file details in the stem are illustrative and the governing rule controls the compliant response. The best answer is "Decline dual compensation when the consumer pays directly".
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