NMLS Licensing and Registration 4

Question 1

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

Accepted Answer

20 hours

Answer

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

Question 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?

Accepted Answer

75%

Answer

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

Question 3

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

Accepted Answer

180 days

Answer

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

Question 4

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

Accepted Answer

Licensed mortgage company or state-licensed entity

Answer

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

Question 5

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

Accepted Answer

NMLS on behalf of the state agencies

Answer

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

(NMLS) National Mortgage Licensing System Practice Test

(NMLS) National Mortgage Licensing System Practice Test

NMLS Licensing and Registration 4