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In a New Mexico record-retention audit, a state compliance officer sees a compliance issue involving advertising and consumer-protection controls. What should the file reflect?

Correct Answer

B) New Mexico fees, charges, lock-ins, broker compensation, or borrower funds must be handled according to state mortgage law or regulator guidance.

New Mexico fees, charges, lock-ins, broker compensation, or borrower funds must be handled according to state mortgage law or regulator guidance.

Answer Options
A
Apply the New Mexico rule only to company licenses and never to individual MLO activity.
B
New Mexico fees, charges, lock-ins, broker compensation, or borrower funds must be handled according to state mortgage law or regulator guidance.
C
Handle branch, office, and remote-work controls with an informal note rather than the required license, disclosure, filing, or record.
D
Use another jurisdiction's approval as a substitute for the New Mexico requirement.

Why This Is the Correct Answer

New Mexico fees, charges, lock-ins, broker compensation, or borrower funds must be handled according to state mortgage law or regulator guidance.

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