During a West Virginia renewal checklist, a compliance manager must resolve a question about licensing and NMLS authority. Which statement should control?
Correct Answer
D) West Virginia mortgage licensing violations may result in administrative orders, civil money penalties, restitution, cease-and-desist orders, or similar remedies as allowed by state law.
West Virginia mortgage licensing violations may result in administrative orders, civil money penalties, restitution, cease-and-desist orders, or similar remedies as allowed by state law.
Why This Is the Correct Answer
West Virginia mortgage licensing violations may result in administrative orders, civil money penalties, restitution, cease-and-desist orders, or similar remedies as allowed by state law.
Why the Other Options Are Wrong
Option A: Rely on prior mortgage experience instead of the stated licensing or compliance requirement.
Rely on prior mortgage experience instead of the stated licensing or compliance requirement. is not correct because the governing rule requires the compliant answer shown in the explanation.
Option B: Continue the activity and document the issue only if a complaint is later filed.
Continue the activity and document the issue only if a complaint is later filed. is not correct because the governing rule requires the compliant answer shown in the explanation.
Option C: Let the MLO originate while waiting for the West Virginia status, sponsorship, or renewal issue to be corrected.
Let the MLO originate while waiting for the West Virginia status, sponsorship, or renewal issue to be corrected. is not correct because the governing rule requires the compliant answer shown in the explanation.
Memory Technique
WV -> wv-enforcement-discipline-penalties-consumer-protection
Exam Tip
West Virginia enforcement questions test denial, suspension, revocation, administrative orders, penalties, consumer complaints, unlicensed activity, and Consumer Access verification.
Common Mistakes to Avoid
- -Using generic federal mortgage facts when West Virginia state-specific rules are being tested
- -Confusing West Virginia individual MLO licensing with company, branch, sponsor, bond, or record requirements
- -Treating West Virginia state-law conduct, advertising, reporting, servicing, or enforcement requirements as optional
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