A branch manager asks about a loan file because the borrower has provided enough information to trigger a TRID application. What should happen?
Correct Answer
A) Provide the Loan Estimate within three business days
Lines 191-203; 12 CFR 1026.19(e)(1)(iii). After the application trigger is met, timing is driven by receipt of the application, not by underwriting, rate lock, or fee collection. Therefore, the correct response is "Provide the Loan Estimate within three business days".
Why This Is the Correct Answer
Lines 191-203; 12 CFR 1026.19(e)(1)(iii). After the application trigger is met, timing is driven by receipt of the application, not by underwriting, rate lock, or fee collection. Therefore, the correct response is "Provide the Loan Estimate within three business days".
More Origination Questions
A branch manager asks about a loan file because a processor wants to omit known monthly obligations from underwriting. What should happen?
In a mortgage origination file, the person preparing the valuation would be paid more if the value is higher. Which action should be taken?
An MLO is reviewing procedures for a case where the person preparing the valuation would be paid more if the value is higher. What is the proper handling?
A quality-control reviewer flags a case because the person preparing the valuation would be paid more if the value is higher. What correction is appropriate?
Before closing, the team discovers that a processor wants to omit known monthly obligations from underwriting. What is the safest compliant answer?
A compliance review finds that the consumer locks the interest rate after the initial disclosure package. What should the MLO do next?
A borrower-facing employee is unsure what to do when a processor wants to omit known monthly obligations from underwriting. What is the correct response?
An MLO is reviewing procedures for a case where a HELOC will provide funds for the down payment on the same dwelling. What is the proper handling?
A quality-control reviewer flags a case because a HELOC will provide funds for the down payment on the same dwelling. What correction is appropriate?
During intake, a manager proposes higher pay for loans with a higher interest rate. What is the best compliant response?
People Also Study
Federal Mortgage-Related Laws
24% of exam
General Mortgage Knowledge
20% of exam
Ethics, Fraud & Consumer Protection
18% of exam
Uniform State Test Content
11% of exam
Related Study Resources
Previous Question
A quality-control reviewer is reviewing a mortgage file during a company policy update. Which statement correctly handles MLO compensation restrictions?
Next Question
During a state-law refresher, a policy analyst identifies an issue involving FHA Loan Programs. Which response is most compliant?