Which statement is most accurate about wage assignment and monies prohibition under Arizona loan originator law or AZDIFI guidance?
Correct Answer
A) Arizona prohibits accepting an assignment of the borrower wages or salary and receiving or disbursing monies in servicing or arranging a mortgage loan.
Arizona prohibits accepting an assignment of the borrower wages or salary and receiving or disbursing monies in servicing or arranging a mortgage loan. Arizona prohibits a loan originator from accepting an assignment of the borrower's wages or salary and from receiving or disbursing monies in servicing or arranging a mortgage loan.
Why This Is the Correct Answer
Arizona prohibits accepting an assignment of the borrower wages or salary and receiving or disbursing monies in servicing or arranging a mortgage loan. Arizona prohibits a loan originator from accepting an assignment of the borrower's wages or salary and from receiving or disbursing monies in servicing or arranging a mortgage loan.
Why the Other Options Are Wrong
Option B: Treat the timing or filing requirement as optional if the transaction appears low risk.
Treat the timing or filing requirement as optional if the transaction appears low risk. is not correct because the governing rule requires the compliant answer shown in the explanation.
Option C: Assume the Arizona requirement does not apply to this new-license application.
Assume the Arizona requirement does not apply to this new-license application. is not correct because the governing rule requires the compliant answer shown in the explanation.
Option D: Treat advertising and consumer-protection controls as satisfied by borrower consent alone.
Treat advertising and consumer-protection controls as satisfied by borrower consent alone. is not correct because the governing rule requires the compliant answer shown in the explanation.
Memory Technique
AZ -> az-advertising-compensation-and-prohibited-acts
Exam Tip
Wage assignments and money handling are Arizona prohibited-act traps.
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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