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an Indiana compliance file raises a sponsorship and employment status question involving DFI says the sponsoring employer for a DFI-licensed MLO must be a DFI-licensed mortgage lender or an entity. Which statement is supported by the state rule?

Correct Answer

B) Indiana MLO activity must satisfy the required sponsorship or employment-status condition before activity continues.

Indiana DFI says the sponsor/employer for a DFI-licensed MLO must be a DFI-licensed mortgage lender or an entity exempt from DFI licensure.

Answer Options
A
Allow the activity whenever the individual has general mortgage experience.
B
Indiana MLO activity must satisfy the required sponsorship or employment-status condition before activity continues.
C
Treat company licensing alone as enough for every individual MLO activity.
D
Ignore the state condition if the consumer file is otherwise complete.

Why This Is the Correct Answer

Indiana DFI says the sponsor/employer for a DFI-licensed MLO must be a DFI-licensed mortgage lender or an entity exempt from DFI licensure.

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