A sponsorship reviewer is updating Arizona procedures for supervisory file review and flags sponsorship and employment status. Which answer is accurate?
Correct Answer
C) An Arizona loan originator employed by a mortgage broker or mortgage banker may not be concurrently employed by another mortgage broker or mortgage banker.
An Arizona loan originator employed by a mortgage broker or mortgage banker may not be concurrently employed by another mortgage broker or mortgage banker. An Arizona loan originator employed by a mortgage broker or mortgage banker may not be concurrently employed by another mortgage broker or mortgage banker.
Why This Is the Correct Answer
An Arizona loan originator employed by a mortgage broker or mortgage banker may not be concurrently employed by another mortgage broker or mortgage banker. An Arizona loan originator employed by a mortgage broker or mortgage banker may not be concurrently employed by another mortgage broker or mortgage banker.
Why the Other Options Are Wrong
Option A: Treat sponsorship and employment status as optional because the company has a general Arizona compliance policy.
Treat sponsorship and employment status as optional because the company has a general Arizona compliance policy. is not correct because the governing rule requires the compliant answer shown in the explanation.
Option B: Postpone the Arizona sponsorship and employment status issue until the next annual review.
Postpone the Arizona sponsorship and employment status issue until the next annual review. is not correct because the governing rule requires the compliant answer shown in the explanation.
Option D: Use only the federal baseline and ignore the separate Arizona state requirement.
Use only the federal baseline and ignore the separate Arizona state requirement. is not correct because the governing rule requires the compliant answer shown in the explanation.
Memory Technique
AZ -> az-license-requirement-nmls-and-sponsorship
Exam Tip
Do not treat Arizona loan originator employment as freely stackable.
Common Mistakes to Avoid
- -Using a national baseline answer when Arizona has a state-specific rule
- -Confusing NMLS registration, Arizona licensure, and employer authority
- -Treating an exemption, temporary license, or bond rule as broader than written
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