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A New York file is paused during a new-license application because of continuing education and renewal. Which statement clears the compliance question?

Correct Answer

D) New York originating entities must verify MLO license status and should not allow unlicensed, inactive, or unauthorized individuals to originate New York residential mortgage loans.

New York originating entities must verify MLO license status and should not allow unlicensed, inactive, or unauthorized individuals to originate New York residential mortgage loans.

Answer Options
A
Treat consumer consent as a cure for a prohibited or missing compliance step.
B
Treat the timing or filing requirement as optional if the transaction appears low risk.
C
Assume the New York requirement does not apply to this branch onboarding review.
D
New York originating entities must verify MLO license status and should not allow unlicensed, inactive, or unauthorized individuals to originate New York residential mortgage loans.

Why This Is the Correct Answer

New York originating entities must verify MLO license status and should not allow unlicensed, inactive, or unauthorized individuals to originate New York residential mortgage loans.

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