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In a New Mexico record-retention audit, a sponsorship reviewer sees a compliance issue involving licensing and NMLS authority. What should the file reflect?

Correct Answer

D) New Mexico Financial Institutions Division FAQ states all mortgage loan companies doing business in New Mexico must obtain a license through NMLS.

New Mexico Financial Institutions Division FAQ states all mortgage loan companies doing business in New Mexico must obtain a license through NMLS.

Answer Options
A
Rely on prior mortgage experience instead of the stated licensing or compliance requirement.
B
Continue the activity and document the issue only if a complaint is later filed.
C
Let the MLO originate while waiting for the New Mexico status, sponsorship, or renewal issue to be corrected.
D
New Mexico Financial Institutions Division FAQ states all mortgage loan companies doing business in New Mexico must obtain a license through NMLS.

Why This Is the Correct Answer

New Mexico Financial Institutions Division FAQ states all mortgage loan companies doing business in New Mexico must obtain a license through NMLS.

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