A North Dakota state compliance officer is reviewing a state-law refresher tied to continuing education and renewal. Which rule should be applied?
Correct Answer
B) North Dakota mortgage licensees may have state or NMLS reporting, notice, call report, amendment, or renewal-update obligations.
North Dakota mortgage licensees may have state or NMLS reporting, notice, call report, amendment, or renewal-update obligations.
Why This Is the Correct Answer
North Dakota mortgage licensees may have state or NMLS reporting, notice, call report, amendment, or renewal-update obligations.
Why the Other Options Are Wrong
Option A: North Dakota: Mortgage records may be discarded once a loan is sold or servicing is transferred.
This choice conflicts with the official North Dakota or NMLS rule tested by the item.
Option C: North Dakota: Surety bond, report, and notice duties arise only after a consumer complaint has already been filed.
This choice overstates, understates, or misroutes the North Dakota state-law, regulator, or NMLS requirement.
Option D: North Dakota: The state regulator cannot examine records if the company also files information through NMLS.
This choice ignores the North Dakota controlling source condition that controls the licensing, scope, sponsor, bond, record, conduct, advertising, servicing, or enforcement scenario.
Memory Technique
ND -> nd-bonds-records-reports-exams
Exam Tip
North Dakota bond and record questions test surety coverage, books and records, regulator access, reports, notices, call reports, and examination authority.
Common Mistakes to Avoid
- -Using generic federal mortgage facts when North Dakota state-specific rules are being tested
- -Confusing North Dakota individual MLO licensing with company, branch, sponsor, bond, or record requirements
- -Treating North Dakota state-law conduct, advertising, reporting, servicing, or enforcement requirements as optional
More UST Questions
In a pricing desk question, an audit analyst sees facts tied to Prohibited Misrepresentation. What should the file reflect?
An applicant previously had an MLO license revoked by a state regulator. Under the SAFE Act minimum standards for a new state-licensed MLO license, which statement is correct?
Which statement correctly distinguishes a license suspension from a license revocation?
A state regulator has issued an order suspending an MLO's authority effective immediately. The MLO has filed an appeal, but no stay has been granted. What should the MLO do?
An MLO license application asks whether the applicant has been the subject of a regulatory order. The applicant has a recent consent order that falls within the question. What is the proper response?
Why does NMLS maintain licensing and enforcement information that participating regulators can access?
A regulator issues a final license suspension without giving the MLO notice of the alleged violation or any opportunity to respond, even though applicable law requires both. What issue is presented?
A regulator finds that an MLO charged consumers prohibited fees. Which set of actions is consistent with the enforcement tools contemplated by Regulation H?
An MLO's license status in NMLS changes to suspended, with no stay or reinstatement shown. What is the immediate operational effect?
Which fact most directly supports disciplinary action against an MLO rather than merely a request for additional application information?
People Also Study
Federal Mortgage-Related Laws
24% of exam
General Mortgage Knowledge
20% of exam
Mortgage Loan Origination Activities
27% of exam
Ethics, Fraud & Consumer Protection
18% of exam