NMLS : MLO Questions & Answers

Last Updated: Sep 12, 2026

No. of Questions: 232 Questions & Answers with Testing Engine

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NMLS MLO Exam Syllabus Topics:

SectionObjectives
Ethics and Professional Conduct- Disclosure Requirements
- Fraud Prevention
- Consumer Protection Standards
Federal Mortgage-Related Laws- Truth in Lending Act (TILA) / Regulation Z
- Fair Housing Act
- Equal Credit Opportunity Act (ECOA)
- Real Estate Settlement Procedures Act (RESPA)
General Mortgage Knowledge- Loan Closing Procedures
- Loan Origination Process
- Underwriting Basics
- Mortgage Types and Products
Uniform State Content- Licensing Requirements and Compliance
- State Lending Regulations Overview

NMLS Mortgage Loan Origination (SAFE MLO) Sample Questions:

Question #1

The appraiser valuation independence obligates appraisers to perform their duties in a manner free from outside influence through which of the following actions?

  • A. Communication directly between the loan officer and the appraiser
  • B. Encouraging a target value
  • C. Asking the appraiser to substantiate a value
  • D. Withholding payment from an appraiser
Answer: C

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Question #2

When two borrowers are refinancing a mortgage loan, the notice of the right to rescind:

  • A. must be given to both borrowers, but either borrower is permitted to rescind the loan.
  • B. is permitted to be given to either of the borrowers, but both borrowers need to sign the notice to rescind the loan.
  • C. is permitted to be given to either of the borrowers, and only one borrower is needed to rescind the loan.
  • D. must be given to both borrowers, and both borrowers must agree to rescind the loan.
Answer: A

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Question #3

When obtaining a mortgage loan, title insurance is required to protect the:

  • A. seller of the property.
  • B. mortgage loan officer.
  • C. lender providing the financing.
  • D. settlement agent.
Answer: C

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Question #4

If a borrower only receives commission pay for 18 months, which of the following actions should a mortgage loan originator (MLO) take?

  • A. Tell the borrower to come back in 6 months when they will have 24 months of commission pay
  • B. Take the application but tell the borrower that they will need a cosigner
  • C. Take the application because positive factors may offset the short income history
  • D. Tell the borrower they need a steady income and not one that fluctuates
Answer: C

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Question #5

According to Regulation Z, which of the following is a prohibited act?

  • A. Redisclosing a Loan Estimate immediately after locking the rate
  • B. Including undocumented child support payments made by the borrower
  • C. Issuing disclosures to applicants
  • D. Advertising rates not currently available to applicants
Answer: D

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