Which statement is most accurate about servicing fee schedule and default communication under North Carolina MLO law or NCCOB guidance?
Correct Answer
C) NC servicers must file servicing fee schedules, file requested activity reports, and act in good faith to inform and negotiate with borrowers after delinquency or default.
NC servicers must file servicing fee schedules, file requested activity reports, and act in good faith to inform and negotiate with borrowers after delinquency or default. North Carolina servicers must file a current schedule of servicing-related costs and fees, file requested activity reports with the Commissioner, and act in good faith to inform and negotiate with borrowers after delinquency or default.
Why This Is the Correct Answer
NC servicers must file servicing fee schedules, file requested activity reports, and act in good faith to inform and negotiate with borrowers after delinquency or default. North Carolina servicers must file a current schedule of servicing-related costs and fees, file requested activity reports with the Commissioner, and act in good faith to inform and negotiate with borrowers after delinquency or default.
Why the Other Options Are Wrong
Option A: Postpone the North Carolina advertising and consumer-protection controls issue until the next annual review.
Postpone the North Carolina advertising and consumer-protection controls issue until the next annual review. is not correct because the governing rule requires the compliant answer shown in the explanation.
Option B: Use only the federal baseline and ignore the separate North Carolina state requirement.
Use only the federal baseline and ignore the separate North Carolina state requirement. is not correct because the governing rule requires the compliant answer shown in the explanation.
Option D: Apply the rule only after the North Carolina regulator has already opened an examination.
Apply the rule only after the North Carolina regulator has already opened an examination. is not correct because the governing rule requires the compliant answer shown in the explanation.
Memory Technique
NC -> nc-servicing-prohibited-acts-advertising-and-high-cost
Exam Tip
NC servicing duties include reports, fee schedules, and good-faith default handling.
Common Mistakes to Avoid
- -Using a national baseline answer when North Carolina has a state-specific rule
- -Confusing company licensing, MLO licensing, and sponsorship
- -Treating an exemption or temporary authority rule as a blanket waiver
More UST Questions
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