HI STATE TEST

Under HI state law what chapter is the SAFE Act under & what Act is its amendment under?

What does does the SAFE Mtg Lic Act require states to do?

What does SAFE stand for

What is another name of Act 84?

What does NMLS stand for?

Who needs to be registered w/the NMLS?

According to Chapter 91 of 454F-B what shall the DFI commissioner establish?

What is the Mtg Loan Recovery Fund for?

What is the maximum a person can receive from the Mtg Loan Recovery Fund?

Who pays & what amount are paid into the Mtg Loan Recovery Fund?

Upon application for renewal of a license who pays & what amounts do they pay?

Is your fee refundable upon a denial of a license renewal?

According to Ch 91 the commissioner may adjust or cease renewal fees if the Mtg Loan Recovery Fund attains what funding level?

Can the commissioner adjust fees to a reasonable level to obtain a funding level of $750k?

What can the commissioner or designee expend Mtg Loan Recovery Fund monies on?

Can the the commissioner adjust fees if the Mtg Loan Recovery Fund falls below $260k after the 1st 4 yrs of it being established?

What does DFI stand for?

Who supervises & regulates all state-chartered & state-licensed financial institutions in the state of Hawaii, all escrow depositories, & all $ transmitters?

What is the 2 branches of DFI?

What is the (DFI) Examination Branch responsible for?

What is (DFI) Licensing & Regulatory Analysis Branch responsible for?

The purpose of Senate Bill Act 084 is to

A) be in compliance with act 454
B) allow the state to continue to work toward meeting its obligations under the Federal Secure and Fair Enforcement for Mortgage Licensing Act of 2010
C) allow the state to continue to work toward meeting its obligations under the Federal Secure and Fair Enforcement for Mortgage Licensing Act of 2008
D) pass general mortgage doctirine # 454

Act 32

A) was a necessary step in meeting the mandates of the SAFE act
B) was passed in early 2009
C) established a compliance resolution fund
D) all of the above

True or False: Act 84 amended Chapter 412 by adding a new sections stating NonDepository financial loan
services companies must register with the NMLS system only if any employee acts as a mortgage loan originator.
True False

What would be considered grounds for having you Mortgage Loan Originator license revoked?

a) Denying a loan based on insufficient income b) Denying a loan based on a borrowers race
c) Denying a loan based on a lack of equity based on the appraisal
d) Denying a loan based an applicant not being of legal age to sign a contract

What would be grounds for revoking a Mortgage Loan Originator license?

A) Doing loans out-of-state
B) Holding active licenses for both Insurance and Mortgage Loan Origination
C) Purchasing a primary residence out-of-state
D) Not completing the required Continuing Education hours

The entitiy responsible for the supervision and oversight of Mortgage Loan Originators/ Companies is?

A) The Commissioner
B) The governor
C) The Division of Financial Institutions
D) Professional and vocational Licensing Division

Which of the following is not correct?

A) The expiration of a Mortgage Originators license will not protect the licensee from any preexisting contract between the licensee and the borrower
B) The surrender of a Mortgage Originators license releases you from liability
C) The surrender of a Mortgage Originators license will not protect the licensee from a proceeding to revoke a license.
D) The surrender of a Mortgage Originator license, does not protect the licensee from liability for acts committed prior to the surrender

Who is required to have a Mortgage Loan Originator license?

A) A person selling Timeshares
B) A contract processor
C) A person doing commercial loans
D) An attorney helping a client as an ancillary matter

Pre-Licensing Education is required to be taken how often:

A) Every 2 years
B) Only once
C) Every license renewal
D) When your license expires

Which of the following are exempt from a Mortgage Loan Originator License?

A) Out-of-State Loan Originator
B) Processor who discusses rates
C) Realtor, paid by a mortgage lender
D) Owner selling their personal property

How much notice is required to be given to the Commissioner before a branch office can be closed?

A) 60 days
B) Current loan applicants only need to be notified
C) No notice is required
D) 30 days

A licensed loan originator must retake the exam if they fail to maintain a valid license for how many years?

A) 3 years
B) 1 year
C) 2 years
D) 5 years

The Mortgage Originator Application process includes all of the following except:

A) Background Check
B) Credit Report
C) Fingerpirnts
D) Tax Returns

What is the amount of the Mortgage Loan Recovery Fund renewal fee?

A) $250
B) $50
C) $100
D) $75

What would be an allowable reason to delay a closing?

A) The mortgage Loan Originator quit the Mortgage broker
B) The hospitalizaation of a family member of the Mortgage Loan Originator
C) The Mortgage Loan Originator double-booked the closing
D) The borrowers are out-of-town

Which answer best describes a Non-Traditional Mortgage Product?

A) Longest term fixed FHA/VA
B) Interest Only
C) 30-yr fixed Conventional Conforming
D) Jumbo fixed for 30 years

Select the most correct definition of a Residential Mortgage Loan:

A) Mobile Home on a fixed foundation
B) 1-4 Units
C) New Home Construction
D) 6-Plex

If you fail the exam a second time, how long must you wait before you can re-take the exam?

A) 1 day
B) 15 days
C) 7 days
D) 30 days

Which of the following is NOT true?

A) A mortgage loan originator can only work for one company at any time
B) All licensees shall pay a Mortgage Loan Recovery Fund fee
C) An application is "filed" only after all information and fees required have been received by the Commissioner
D) NMLS is responsible to keep licensee info updated

What would not be grounds to cause a loan originator to have their license revoked?

A) Charging for the actual cost of a Title Commitment
B) Charging a $10 administration fee to the cost of an appraisal
C) Charging a $20 for a $15 credit report
D) Charging a flat add-on fee above the cost of an inspection

If a borrower writes a check to pay for a credit reprot to whom is the check made out to?

A) The Mortgage Broker
B) The Mortgage Loan Originator
C) The Mortgage Lender
D) The check can be left blank and filled in later

Which is not one of the duties of the Commissioner:

A) Criminally Prosecute a Licensee
B) The Commissioner may, reinstate a license, terminate, suspension, or grant a new license
C) The Commissioner can suspend a license application for being incomplete
D) The Commissioner can charge an hourly fee of $40, charged to the licensee during an investigation or examination

All of the following are correct except:

A) The Commissioner shall have free and reasonable access to the offices, books and records of the licensee
B) The Commissioner may conduct examinations of any licenses
C) The Commissioner may investigate a Licensees personal checking account
D) The Commissioner may at any time investigate the books and records of any licensesee

The Unique Identifier must be displayed on all of the following except?

A) E-mail Correspondence
B) Advertising
C) Loan Applications
D) Business Cards

What could a Mortgage Loan Originator say to an appraiser and risk having their license revoked?

A) "Do not forget there is a minimum value needed for the appraisal"
B) "there was a home that sold around the corner as a For-Sale-By-Owner"
C) "I believe you made an error on the appraisal"
D) "Do not forget the horse stables in the backyard"

A borrower has rescinded the mortgage loan within the allowable days, what should the loan originator do?

A) Tell the borrower they will be reported to the credit bureaus which will damage their credit
B) Tell the borrower they will be sued for Breach-of-Contract
C) Refund only the application fee
D) Refund all of the borrower's money that was paid to the loan originator

The loan application fee for a Mortgage Loan Originator is?

A) $300
B) $200
C) $500
D) $100

Hawaii State Testing includes all of the following except?

A) Federal law and regulation pertaining to mortgage origination
B) Ethics
C) Consumer Protection
D) SEC Regulations

The number of hours required for Pre-Licensing Education is:

A) 8 hours
B) 10 hours
C) 14 hours
D) 20 hours

The Commisioner may do all of the following except?

A) Deny a license
B) Order restitution
C) Regulate commissions
D) Require specific Continuing Education courses

Which of the following would not be grounds for license revocation/suspension:

A) Engage in misrepresentation
B) Withhold material information about borrower
C) Notify borrower of changes on the Good Faith Estimate
D) Fill in blanks on the application ata later time

Which entity funds a loan?

A) Loan Officer
B) Escrow Officer
C) Mortgage Lender
D) Mortgage Broker

What is the maximum fine that can be issued from the Mortgage Loan Recovery Fund?

A) $50,000
B) $75,000
C) $25,000
D) $100,000

How many hours of Mortgage Fraud education are required for Pre-licensing?

A) Mortgage Fraud is not required for Pre-licensing
B) 2 hours
C) 1 hour
D) 3 hours

Which of the following is correct regarding Continuing Education?
A) CE Course Credit is good for 2 yrs
B) A licensed mortgage loan originator, who is an instructor, needs to take all 8 hrs of CE just like everyone else
C) If you re-apply for a Mortgage License, you may have to take additional CE hours
D) You can retake the same class course each year for Continuing Education Credit

Which of the following needs a Mortgage Loan Originator License?

A) Attorney
B) Person selling his own home and providing his own financing
C) Processor
D) Person originating 1st

The 8 hours for Pre-Licensing require all of the following except:

A) Federal Law
B) Federal Banking Law
C) Ethics
D) Fraud

Which of the following are required hours of Pre-Licensing Education?

A) 3 hours of Federal Law, 3 hours of Ethics, 2 hours of non-traditional mortgage
B) 3 hours of Federal Law, 2 hours of Ethics, 3 hours of non-traditional mortgage
C) 2 hours of Federal Law, 3 hours of Ethics, 3 hours of non-traditional mortgage
D) 2 hours of Federal Law, 3 hours Ethics, 2 hours of non-traditional mortgage

How many hours of Continuing Education are required each year?

A) 14
B) 12
C) 10
D) 8

The Title of the person who approves and /or issues your mortgage license is?

A) Superintendent
B) Commissioner
C) Director
D) Governor

Which is not Pre-requisite for a new license application?

A) 20 hours of Hawaii approved education
B) 20 hours of NMLS approved education
C) Pass the NMLS exam
D) Pass the Hawaii State Exam

All of the following are required for a Mortgage License Application except:

a) 7 year Previous Background Check
b) Personal Assets
c) Financial Responsibility
d) License Revoked

Which of the following can cause you to be denied a Mortgage Originator License?

a) Had a mortgage loan originator license revoked 10 years ago
b) Had a Foreclosure 4yrs ago
c) Have 2 Medical Judgments
d) Have 3 Paid Tax liens