final quiz

The document spells out that the borrower must repay the loan is called?
1. mortgage
2.binder
3. promissory note
4. contract

A contract by which real property is pledged and allows for its transfer in the event of default is a
1. mortgage
2. binder
3. note
4. contract

The stage of the loan cycle where you verify the borrower's income
1. pre-approval
2. underwriting
3. conditioning
4. processing

An independent specialist who uses competing lender's funds to originate loans is called a
1. mortgage banker
2. wholesaler
3. mortgage broker
4. loan originator

The residential mortgage where the whole loan is guaranteed by the federal government is a
1. VA loan
2. FHA loan
3. community housing loan
4. affordable housing loan

A home's title can be held by a married couple as
1. individual
2. tenancy by entirety
3. married
4. joint survivor

Fannie mae and Freddie Mac are
1. owned and operated by the federal government
2. major secondary market investors
3. government sponsored enterprises
4. all of the above

The cycle of the loan where approval takes place is
1. funding
2. originating
3. processing
4. underwriting

The loan officer need not be concerned with
1. movement of the bond market
2. the local real estate market
3. secretary of States Regulation B
4. interest rate

When disclosing the Good Faith Estimate the loan officer is
1. satisfying a RESPA requirement
2. disclosing what you want from the borrower
3. duplicating the pre-approval disclosure
4. mandating the borrower's commitment

Ulimately, the appraisal is paid for by
1. the lender
2. wholesaler
3. Fannie Mae & Freddie Mac
4. the borrower

The agreement signed by the buyer and seller that spells out the conditions of sale is commonly referred to as the
1.contract
2. offer to purchase
3. purchase agreement
4. all of the above

An item never found on a credit report is
a. date of birth
b. race
c. social security number
d. home address

Fees paid to attornys, appraisers, pet inspectors, etc are disclosed at closing on the
a. note
b. truth in lending statement
c. the funding fees disclosure
d. HUD settlement statement

The Truth in Lending Act is interpreted by
A. the department of HUD in 1968
B. the Federal Reserve and called Reg Z
C. Congress to further the goal of home ownership
D. Consumer Coalition for the Truth in Lending

The Truth in Lending Act was designed to disclose the
a. total cost of fees and points
b. cost of credit
c. lending patterns of banks
d. brokers' yield spread premium

RESPA limits the
A. number of days you have to decline a loan
B. number of times you can re-disclose your rate
C. amount a lender can hold in escrow
D. amount you can charge on a 3rd party fee

A loan officer can work for more than one broker when
A. doing a 1st mortgage and a 2nd mortgage
B. never
C. leaving one broker and going to another
D. their primary broker doesn't have the right loan

when selling a home, the law that prohibits discrimination in whom the house is sold to is
A. RESPA
B. FCRA
C. TILA
D. FHA

The instrument that gives "teeth" to the Note is the
a. 1003
b. deed of trust
c. fiduciary hold harmless
d. mortgage

The legal document that officially states payment, rate and terms of repayment is the
a. mortgage
d. deed of trust
c. debt ratio disclosure
d. promissory note

The number of loans a private seller and note holder can make without being licensed is
a. five
b. fifteen
c. three
d. seven

The law that prohibits a loan officer from discouraging anyone from applying for a loan is
a. FCRA
b. MLA
c. RESPA
d. ECOA