NMLS Uniform State Content (USC) 2

Question 1

Under the SAFE Act's Uniform State Content, what is the minimum number of hours of pre-licensure education required for mortgage loan originators?

Accepted Answer

20 hours

Answer

The SAFE Act requires a minimum of 20 hours of pre-licensure education for MLOs, including specific hours in federal law, ethics, and nontraditional mortgage products.

Question 2

Which entity is primarily responsible for maintaining the Nationwide Multistate Licensing System (NMLS)?

Accepted Answer

The Conference of State Bank Supervisors (CSBS)

Answer

The Conference of State Bank Supervisors (CSBS) and the American Association of Residential Mortgage Regulators (AARMR) developed and maintain NMLS.

Question 3

A mortgage loan originator who wants to move from one state-licensed company to another must:

Accepted Answer

Submit a new sponsorship request through NMLS

Answer

When changing employers, an MLO must submit a new sponsorship request through NMLS to associate their existing license with the new company.

Question 4

Under USC standards, a felony conviction involving fraud, dishonesty, or breach of trust within the past how many years will disqualify an MLO applicant?

Accepted Answer

10 years

Answer

The SAFE Act disqualifies applicants with a felony involving fraud, dishonesty, or breach of trust within the past 10 years, though certain felonies result in permanent disqualification.

Question 5

What does the USC require regarding continuing education for licensed MLOs?

Accepted Answer

8 hours annually with specific topic requirements

Answer

Licensed MLOs must complete 8 hours of continuing education annually, including courses on federal law, ethics, and nontraditional mortgage products.

(NMLS) National Mortgage Licensing System Practice Test

(NMLS) National Mortgage Licensing System Practice Test

NMLS Uniform State Content (USC) 2