Practice Test Geeks(NMLS) National Mortgage Licensing System Practice Test
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Licensing and Registration Flashcards

7 cards from real NMLS practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.

Read the first 7 Licensing and Registration flashcards as text

  1. How many hours of pre-licensure education does the SAFE Act require before an individual may obtain an MLO license?

    Answer: 20 hours

    The SAFE Act requires a minimum of 20 hours of NMLS-approved pre-licensure education before an individual can be licensed as an MLO.

  2. The SAFE MLO Test includes a national component and, for most states, a state-specific component. What is the minimum passing score for the national component?

    Answer: 75%

    Applicants must achieve a minimum score of 75% on the national component of the SAFE MLO Test to pass.

  3. If an MLO fails the SAFE MLO Test, how long must they wait before retaking it a fourth time after a third failure?

    Answer: 180 days

    After failing the SAFE MLO Test three times, the applicant must wait at least 180 days before taking the test again.

  4. An independent mortgage broker company (not a depository institution) that employs MLOs is called a:

    Answer: Licensed mortgage company or state-licensed entity

    Non-depository mortgage companies are state-licensed entities and must obtain a company license through NMLS in addition to having their MLOs licensed.

  5. Under the SAFE Act, which entity is responsible for reviewing and approving NMLS-approved pre-licensure education courses?

    Answer: NMLS on behalf of the state agencies

    NMLS approves pre-licensure education courses on behalf of participating state regulators, ensuring national consistency.

  6. What is the minimum number of hours of federal law content that must be included in the 20-hour SAFE Act pre-licensure education?

    Answer: 3 hours

    The 20-hour pre-licensure curriculum must include at least 3 hours of federal law and regulations.

  7. Which of the following actions would constitute 'acting as an MLO without a license' under the SAFE Act?

    Answer: Completing a loan application on behalf of a borrower for compensation without a license

    Taking a residential mortgage loan application or offering/negotiating loan terms for compensation constitutes MLO activity and requires a license.