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During a Maryland training scenario, a licensing coordinator must resolve a question about sponsorship and employment status. Which statement should control?

Correct Answer

B) Maryland defines an MLO as an individual who, for compensation or gain or expectation of it, takes a loan application or offers or negotiates mortgage loan terms.

Maryland defines an MLO as an individual who, for compensation or gain or expectation of it, takes a loan application or offers or negotiates mortgage loan terms.

Answer Options
A
Use only the federal baseline and ignore the separate Maryland state requirement.
B
Maryland defines an MLO as an individual who, for compensation or gain or expectation of it, takes a loan application or offers or negotiates mortgage loan terms.
C
Apply the rule only after the Maryland regulator has already opened an examination.
D
Skip the Maryland requirement because the company already follows general SAFE Act procedures.

Why This Is the Correct Answer

Maryland defines an MLO as an individual who, for compensation or gain or expectation of it, takes a loan application or offers or negotiates mortgage loan terms.

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