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A team member asks about Good Faith Dealing in a compliance desk review while trying to avoid a shortcut that would misapply the rule. Which response should the supervisor use?

Correct Answer

A) Give objective information without compensation bias

MLO obligations include fair dealing, no steering, accurate information, and compliant compensation. The best answer is "Give objective information without compensation bias".

Answer Options
A
Give objective information without compensation bias
B
Let sales goals control the recommendation when the file facts point elsewhere.
C
Treat borrower familiarity with mortgages as a waiver of required file steps.
D
Continue with incomplete facts because the loan appears likely to close.

Why This Is the Correct Answer

MLO obligations include fair dealing, no steering, accurate information, and compliant compensation. The best answer is "Give objective information without compensation bias".

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