Free NMLS MLO Exam Questions

Become NMLS Certified with updated MLO exam questions and correct answers

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Total 122 Questions | Updated On: Mar 25, 2025

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Question 1

Which of the following reasons is acceptable for denying a loan under the Equal Credit Opportunity Act (ECOA)?

A : Receipt of child support

B : Immigration status

C : Marital status

D : Country of birth

Answer: B

Question 2

Which of the following factors is considered when determining the interest rate for a subprime mortgage?

A : The term of the loan

B : The property location

C : The sales price of the property

D : The credit score of the applicants]

Answer: D

Question 3

Which of the following federal laws requires mortgage lenders to adopt and follow anti-money laundering (AML) rules and regulations?

A : The National Bank Act

B : The National Currency Act

C : The Bank Secrecy Act

D : The Real Estate Settlement Procedures Act

Answer: C

Question 4

A woman and her son meet with a mortgage loan originator (MLO) about refinancing the mother's home. During the meeting, the MLO senses that the mother is against the transaction and may be being unfairly coerced into the procedure. In which of the following ways should the MLO proceed?

A : Ask to speak to the mother privately to inquire whether she Is a willing participant in the transaction

B : [Consider the issue to be a private family matter and proceed with the next steps in the application process

C : Suggest that the son be listed as a co-borrower on the mortgage to ensure he assumes part of the risk of the loan

D : Tell the mother that she needs to sign a power of attorney so that her son may complete the transaction on her behalf

Answer: A

Question 5

An easement:

A : is a mortgage modification.

B : is a right to cross or otherwise use someone else's land for a specified purpose.

C : allows a loan applicant to close on a loan even if all the stipulations have not been met.

D : allows a borrower to make less than the required payments without going through a full mortgage modification.

Answer: B

Page: 1 / 25

Total 122 Questions | Updated On: Mar 25, 2025

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