A prospective borrower emails a loan originator her name, her monthly income, her Social Security number, the address of the property she wants to buy, her own estimate of the property's value, and the loan amount she is seeking. The originator replies that he cannot start the file until she signs an intent-to-proceed form and sends two pay stubs. Which statement is correct? A No application exists until the consumer provides pay stubs verifying her income. B An application exists only after the consumer has paid the appraisal fee. C An application has already been received; all six required items are present, and the creditor may not require verification documents before issuing the Loan Estimate. D No application exists until the consumer signs a statement of intent to proceed.
Practice questions written to the published NMLS content outline for the SAFE MLO National Test Component with Uniform State Content, and to the underlying federal regulations (TILA/Regulation Z, RESPA/Regulation X, ECOA/Regulation B, HMDA, FCRA, GLBA, the Fair Housing Act, and the S.A.F.E. Mortgage Licensing Act). NMLS is a service of the Conference of State Bank Supervisors; this site is not affiliated with or endorsed by NMLS, the CSBS, the CFPB, or any state regulator. Dollar thresholds, loan limits, mortgage insurance factors, funding fees, license fees and bond amounts are adjusted periodically and are deliberately not tested here — confirm current figures and your own state's requirements with your state regulator before testing. Nothing here is legal or financial advice.
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