NMLS Uniform State Content Practice Test Questions

1) Which records should be maintained by lending institutions?

2) What happens after you’re licensed through NMLS?

3) How can lenders stay current with regulation changes?

4) Which activity is NOT part of a records audit?

5) Under national laws, mortgage lenders require an NMLS license to work as professionals in their industry. But is the license operated on a national or federal level?

6) How can borrowers educate themselves on state-specific prepayment-penalty rules?

7) What steps aid effective electronic record management?

8) A federally required mortgage disclosure must describe key costs and terms. Which item below does NOT belong in that disclosure?

9) How are licensing fees paid?

10) Which items are typically required for NMLS registration?

11) The SAFE Act sets national licensing baselines. Which area is commonly different from state to state?

12) Which is NOT a best practice for organizing records?

13) The Residential Mortgage Regulatory Taskforce (RMRT) publishes an annual guidebook. How can lenders who relocate benefit from these guidebooks?

14) If a licensed MLO moves to another state, must they retake the National NMLS exam?

15) All practicing lenders in the USA require an NMLS license, but how can licensing vary from state to state?

16) How long does the registration and licensing process take?

17) States can add provisions to the Fair Housing Act (FHA). Which of the following illustrates a state-level enhancement?

18) Where can you find resources and support for NMLS registration?

19) Must mortgage-education providers be NMLS-approved to appear on the NMLS course list?

20) Which option is NOT a consequence of inaccurate records?

21) Are resources available to help lenders meet CE requirements?

22) What is one key difference between individual and company NMLS registration?

23) Which task is NOT part of securing a new-state endorsement?

24) How can lenders track their completed CE credits?

25) Are there exemptions or waivers for CE requirements?

26) What role does technology play in recordkeeping?

27) Which statement is NOT an industry standard for record retention?

28) How often should records be updated?

29) The Equal Credit Opportunity Act (ECOA) bars discrimination. 
How might one state expand or modify ECOA compliance?

30) Can you transfer an NMLS license from one state to another?

31) How might a state’s disclosure rules depart from the federal baseline?

32) Can lenders choose their CE topics?

33) How might the Truth in Lending Act (TILA) differ from one state to another?

34) States have the power to adjust certain mortgage-licensing details. Which policy element may a state legitimately change?

35) Which topics are NOT included in typical CE programs for lenders?

36) Can CE credits from one state transfer to another?

37) Dodd-Frank tightened mortgage oversight after 2008. Which statement best describes state variation under Dodd-Frank?

38) Which option is NOT a reason continuing education matters?

39) What happens if a lender fails to complete required CE?

40) Do you need pre-licensing education to register on NMLS?

41) Are there state-specific documents that borrowers must sign or acknowledge during the mortgage process?

42) How do you start the NMLS registration process?

43) Which element is NOT included in every federally mandated disclosure package?

44) Do some states impose their own limits on late-payment fees, grace periods, or default procedures?

45) Mortgage activity is guided by multiple federal statutes. Which collection below represents the core national laws that every state must honor?

46) How often must lenders complete CE courses?

47) Can a single mortgage loan originator maintain licenses in all 50 states?

48) What background checks are conducted during NMLS registration?

49) How can institutions ensure accuracy of borrower information?

50) The NMLS license is national, but does it automatically allow a lender to originate loans in any state?

51) RESPA aims to curb kickbacks and escrow abuse. Which list shows ways a state can vary RESPA enforcement?

52) How can institutions ensure data security and privacy?

53) In which situations might a state require a post-closing cooling-off period that lets borrowers rescind a signed agreement?

54) What is the licensing process after NMLS registration?

55) Why is maintaining accurate records important?

56) What is the purpose of NMLS registration?

57) Why must lenders keep their own education-credit records?

58) Do you need to renew an NMLS registration, and how often?

59) Who needs to register on the NMLS?