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NMLS MLO Exam Syllabus Topics:
| Section | Weight | Objectives |
|---|---|---|
| Ethics | 18% | - Fair lending and anti-discrimination - Conflict of interest and disclosure obligations - Fraud prevention and detection - Ethical practices and professional conduct |
| General Mortgage Knowledge | 20% | - Conventional, FHA, VA, USDA loan characteristics - Fixed-rate vs adjustable-rate mortgages - LTV, DTI, CLTV, PMI, points and fees - Mortgage terms, concepts and calculations |
| Mortgage Loan Origination Activities | 27% | - Borrower qualification and underwriting basics - Loan programs and product types - Closing and post-closing procedures - Loan application process |
| Federal Mortgage-Related Laws | 24% | - TILA, RESPA, ECOA, HMDA, FCRA - Disclosure requirements and timing - Fair lending and consumer protection rules - SAFE Act and federal regulatory framework |
| Uniform State Content | 11% | - License maintenance and renewal - Compliance and disciplinary standards - State licensing and regulatory requirements |
NMLS Mortgage Loan Origination (SAFE MLO) Sample Questions:
1. Which of the following sources of funds is acceptable to utilize for down payments, closing costs or financial reserves?
A) Community second funds
B) Foreign assets located outside of the U.S. or its territories
C) Personal unsecured loans
D) Virtual currency funds
2. The SAFE Act mandates that state regulatory authorities must have legal mechanisms to impose civil money penalties for which of the following activities?
A) Discriminating against applicants based on their race
B) Charging fees in excess of allowable tolerances
C) Acting as a mortgage loan originator without a valid license or registration
D) Paying or receiving referral fees
3. Which of the following services is included in the definition of a settlement service?
A) Title company/escrow agent services
B) Sale of the mortgage loan on the secondary market
C) Flood insurance
D) Homeowners association fees
4. How often must a nonexempt telemarketing entity check their call list against the National Do Not Call Registry?
A) Every 31 days
B) Every 2 weeks
C) Every 7 days
D) Annually
5. When a mortgage loan originator notices multiple Social Security number discrepancies within the same loan file, it is considered a red flag of:
A) fair lending.
B) a forgetful borrower.
C) pricing discrepancies.
D) mortgage fraud.
Solutions:
| Question # 1 Answer: A | Question # 2 Answer: C | Question # 3 Answer: A | Question # 4 Answer: A | Question # 5 Answer: D |






