In a Washington supervisory file review, a compliance manager sees a compliance issue involving licensing and NMLS authority. What should the file reflect?
Correct Answer
B) Under WAC 208-660-300, the loan file belongs to the mortgage broker named on the loan application, and the broker must keep the original files and documents.
Under WAC 208-660-300, the loan file belongs to the mortgage broker named on the loan application, and the broker must keep the original files and documents.
Why This Is the Correct Answer
Under WAC 208-660-300, the loan file belongs to the mortgage broker named on the loan application, and the broker must keep the original files and documents.
Why the Other Options Are Wrong
Option A: Close or renew first, then decide whether the remote-work procedure needs a compliance correction.
Close or renew first, then decide whether the remote-work procedure needs a compliance correction. is not correct because the governing rule requires the compliant answer shown in the explanation.
Option C: Proceed before the required Washington license, sponsorship, disclosure, record, or approval is in place.
Proceed before the required Washington license, sponsorship, disclosure, record, or approval is in place. is not correct because the governing rule requires the compliant answer shown in the explanation.
Option D: Use an informal manager exception without updating the license, file, or required record.
Use an informal manager exception without updating the license, file, or required record. is not correct because the governing rule requires the compliant answer shown in the explanation.
Memory Technique
WA -> wa-definitions-exemptions-and-activity-scope
Exam Tip
Washington definition and exemption items usually turn on role, compensation, and whether the person crosses into rates or terms.
Common Mistakes to Avoid
- -Using a national baseline answer when Washington has a state-specific rule
- -Confusing DFI guidance, RCW requirements, and WAC implementation details
- -Treating temporary authority, remote work, or exemptions as blanket permission
More UST Questions
In a pricing desk question, an audit analyst sees facts tied to Prohibited Misrepresentation. What should the file reflect?
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Which fact most directly supports disciplinary action against an MLO rather than merely a request for additional application information?
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