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A lender preparing a New Jersey mortgage operations checklist asks a compliance manager about sponsorship and employment status. Which response should be followed?

Correct Answer

A) A New Jersey licensed attorney negotiating mortgage terms as an ancillary matter to client representation is exempt unless compensated by a residential mortgage lender or residential mortgage broker.

A New Jersey licensed attorney negotiating mortgage terms as an ancillary matter to client representation is exempt unless compensated by a residential mortgage lender or residential mortgage broker.

Answer Options
A
A New Jersey licensed attorney negotiating mortgage terms as an ancillary matter to client representation is exempt unless compensated by a residential mortgage lender or residential mortgage broker.
B
Let the MLO originate while waiting for the New Jersey status, sponsorship, or renewal issue to be corrected.
C
Let production staff decide whether sponsorship and employment status matters for the file.
D
Skip documentation because the loan-originator transfer appears routine.

Why This Is the Correct Answer

A New Jersey licensed attorney negotiating mortgage terms as an ancillary matter to client representation is exempt unless compensated by a residential mortgage lender or residential mortgage broker.

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