CRU Practice Test

The Certified Residential Underwriter (CRU) designation from the Mortgage Bankers Association is for mortgage underwriters who want a recognised credential across Levels I, II and III. This page has free practice sets grouped by underwriting topic and worked answers to sample questions. It also covers the verified fees, eligibility and retake rules, and gives a plain study plan that points back to the official MBA course material.

CRU Exam at a Glance

What the CRU is and how it works

According to Mortgage Bankers Association, “A passing grade of at least 75% is required on the first attempt. (No manual review will be available.)”^[3]

The CRU is a residential underwriting designation run by the Mortgage Bankers Association (MBA). It is built in levels: Level I and Level II each lead to a certificate, and Level III leads to the designation itself. The program is delivered online and is self-paced.

Eligibility. Level II requires the Residential Underwriter Level I Certificate, and MBA recommends 1–2 years of industry experience. Level III requires both the Level I and Level II certificates, and MBA recommends 2+ years of experience. MBA lists about 10 hours of course seat time for Level II and about 15 hours for Level III. These are study hours, not exam time limits.

Cost. For MBA members, the full path costs $1,950 ($550 + $650 + $750). Self-paced products like the CRU can be fully refunded within 7 days of enrollment if you have not started the exam for any component.

Scoring and retakes. To test out of Level I or II through the exemption exam, you need at least 75% on the first attempt, and no manual review is available. MBA Education can grant one automatic extension of 3 weeks and one additional exam attempt. Attempts beyond that may cost a fee.

The sources we verified do not publish exam length, question counts or time limits, and policies can change. Confirm current details on the official MBA CRU designation page before you enroll.

Worked examples: how to reason through CRU questions

These are practice questions written for this site, not questions from the real exam. Each explanation shows why the right answer is right and why the others are wrong.

Example 1

Question: Which of the following can negatively impact a credit score?

1. On-time payments
2. Low account balances
3. Late payments
4. Credit inquiries over five years old

Answer: C. Late payments

Explanation:

C is correct. Payment history shows whether a borrower meets obligations as agreed. A late payment is a direct sign of higher risk, and a recent one on a major account usually does the most damage.

• A (on-time payments) builds a score rather than hurting it.
• B (low account balances) keeps credit utilization down, which helps the score.
• D (credit inquiries over five years old) no longer count. Inquiries only affect a score for a limited time and drop off well before then.

Rule to remember: when asked what hurts a score, look first for late or missed obligations. Balances and inquiries matter less, and old activity matters least.

Example 2

Question: Which law mandates disclosure of settlement costs?

1. TILA
2. RESPA
3. HOEPA
4. ECOA

Answer: B. RESPA

Explanation:

B is correct. The Real Estate Settlement Procedures Act (RESPA) is built around settlement costs. It requires lenders to disclose closing charges and restricts practices such as kickbacks. Today these disclosures appear in the Loan Estimate and the Closing Disclosure, which combine RESPA and TILA requirements.

• A (TILA) focuses on the cost of credit, such as the APR and finance charge, not settlement costs as a whole.
• C (HOEPA) adds protections for high-cost mortgages.
• D (ECOA) bans discrimination in credit decisions and governs adverse action notices.

Rule to remember: settlement and closing costs point to RESPA, cost of credit points to TILA, and fair lending points to ECOA.

Example 3

Question: When assessing portfolio credit quality trends over time, an underwriter uses 'vintage analysis.' What does this technique primarily examine?

1. The geographic distribution of loans originated in different regions
2. Delinquency and loss performance of loan cohorts grouped by origination year
3. The evolution of interest rate spreads across product types
4. Loan-to-value changes resulting from property value appreciation

Answer: B. Delinquency and loss performance of loan cohorts grouped by origination year

Explanation:

B is correct. Vintage analysis groups loans into cohorts by origination year and tracks each cohort's delinquencies and losses as it ages. Comparing cohorts at the same age shows whether underwriting became looser or tighter, and how economic conditions affected loans made at different times.

• A describes geographic concentration analysis, which slices the portfolio by location rather than by when loans were made.
• C is pricing or spread analysis across product types.
• D concerns changes in collateral value, which is a separate risk measure.

Rule to remember: "vintage" means origination period. If an answer groups loans by when they were made and follows how they perform, it describes vintage analysis.

How to use these practice tests

Start with the official MBA course material for the level you are enrolled in, because that is what the CRU exams are based on. After each module, take the matching practice set here to check what you retained.

1. Begin with Credit Analysis & Risk Assessment and Income & Employment Verification, the core of most loan files.
2. Move on to collateral and closing: Property Appraisal & Valuation, Insurance & Title Requirements and Documentation & Legal Requirements.
3. Cover the rules: Regulatory Framework & Compliance, Regulatory Compliance & Legal Considerations and Ethical Standards & Professional Conduct.
4. Finish with decisions and portfolio topics: Underwriting Decision-Making & Loan Approval, Risk Assessment & Mitigation and Portfolio Management & Strategy.
5. Take the mixed CRU practice test to check your recall across topics.

Keep a short error log, and for each miss write the rule in your own words. If you plan to take an exemption exam, remember that it requires 75% on the first attempt with no manual review. Sit it only once your practice results are steadily above that mark.

Sources & last verified

1. Mortgage Bankers Association — time limit (official source). “The courses represent approximately 10 hours of seat time.” Verified Oct 25, 2026.
2. Mortgage Bankers Association — time limit (official source). “The courses represent approximately 15 hours of seat time.” Verified Oct 25, 2026.
3. Mortgage Bankers Association — passing score, retake policy, delivery (official source). “A passing grade of at least 75% is required on the first attempt. (No manual review will be available.)” Verified Oct 25, 2026.
4. Mortgage Bankers Association — exam fee, eligibility (official source). “Total: $1,950” Verified Oct 25, 2026.

How we verify: editorial & fact-checking policy. Report an error: contact us.