An individual paid by a mortgage brokerage speaks with consumers and offers and negotiates interest rates and terms on loans secured by their primary residences, but she never takes the applications — a licensed colleague does that. Under the SAFE Act and the model state law, must she hold a state MLO license? A Yes — the definition is met by taking an application OR offering or negotiating terms, so negotiating alone requires a license B No — only the individual who signs the application as the originator needs a license C Yes, but only if she is paid by commission rather than by salary D No — an individual must both take the application and offer or negotiate terms to be a mortgage loan originator
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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