A compliance review finds that a borrower asks to cancel PMI at the scheduled 80 percent point. What should the MLO do next?
Correct Answer
D) Cancel PMI if the written 80 percent request meets conditions
Lines 76-85; CFPB PMI cancellation page, borrower-requested cancellation section. Borrower-requested PMI cancellation can occur at the scheduled 80 percent point if the statutory conditions are satisfied. Therefore, the correct response is "Cancel PMI if the written 80 percent request meets conditions".
Why This Is the Correct Answer
Lines 76-85; CFPB PMI cancellation page, borrower-requested cancellation section. Borrower-requested PMI cancellation can occur at the scheduled 80 percent point if the statutory conditions are satisfied. Therefore, the correct response is "Cancel PMI if the written 80 percent request meets conditions".
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