8/18/2021

Practice NMLS Mortgage Florida License Test

 













Florida Free NMLS test Questions and Answers



The Office of Financial Regulation has three divisions and one bureau

Decision for licensed in writing

If application not approved due to a condition you can challenge

 Commission is comprised of four members:

 the Governor, the Attorney General, the Chief Financial Officer 

and the Commissioner of Agriculture.

To protect Florida’s financial services consumers, 
promote a safe and sound financial marketplace, 
and contribute to the growth of Florida’s economy 
through fair, innovative, and excellent regulation 
of the financial services industry.

Which of the following is NOT a member of the Financial Services Commission?

 

Commissioner of Agriculture

The Governor

Chief Operating Officer

The Attorney General

The Financial Services Commission is comprised of four members: 

the Governor, the Attorney General, the Chief Financial Officer and the Commissioner of Agriculture.


Which best details the mission statement of the Commission and Office?

 

To protect the citizens of Florida by creating a solid financial marketplace, and protecting from

 predatory financial services.

To promote a sound financial marketplace, in order to contribute to Florida's economic growth through the financial services industry.

To protect the citizens of Florida with smart, efficient and effective appropriate regulation of the financial services industry.

To protect the citizens of Florida, promote a sound financial marketplace, and contribute to the growth of Florida's economy with appropriate regulation of the financial services industry.

Mission Statement: To protect the citizens of Florida, promote a safe and sound financial marketplace, 

and contribute to the growth of Florida's economy with smart, efficient and effective 

regulation of the financial services industry.

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How many days after a completed application is received 

must the determination be made to approve or deny the application for a license?

 

90 days

60 days

30 days

120 days

An application for a license must be approved or denied within 

90 days after receipt of a completed application unless a 

shorter period of time for agency action is provided by law.

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Which of the following correctly describes the Office of Financial Regulation (OFR) structure?

 

Has two Divisions and two Bureaus

Has two Bureaus and one Division

Has three Divisions and one Bureau

Has three Divisions

The OFR has three Divisions and one Bureau.

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Which of the following statements is 

NOT TRUE regarding an area that the

 commission may adopt rules and requirements?

 

Prescribe procedures for filing violations

Require use of uniform forms for reporting violations

Requiring loan originators to register through the Nationwide Mortgage Licensing System and Registry

Prescribing actions to be taken by a borrower when seeking a mortgage

The commission may adopt rules to administer parts I, II, and III of this chapter, including rules:

 (a)?Requiring electronic submission of any forms, documents, or fees required by this act.

 (b)?Relating to compliance with the S.A.F.E. Mortgage Licensing Act of 2008, including rules to:

 1.?Require loan originators, mortgage brokers, mortgage lenders, and branch offices to register through the registry. 

2.?Require the use of uniform forms that

 have been approved by the registry, 

and any subsequent amendments to such forms if the forms are substantially 

in compliance with the provisions of this chapter. Uniform forms that the commission 

may adopt include, but are not limited to: 

a.Uniform Mortgage Lender/Mortgage Broker Form, MU1.

 b.Uniform Mortgage Biographical 

Statement & Consent Form, MU2. 

c.Uniform Mortgage Branch Office Form, MU3. 

d.Uniform Individual Mortgage License/Registration & Consent Form, MU4.

 3.Require the filing of forms, documents.

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Which of the following BEST DEFINES "Loan origination fee"?

 

fee added to the mortgage loan for originating the loan application.

total compensation that a mortgage broker receives acting as a loan originator

the maximum fee allowed by law for originating a non-traditional mortgage loan

all fees to be paid by the borrower to vendors for the services rendered toward loan closing

"Loan origination fee" means the total compensation 

from any source received by a mortgage broker acting as a loan originator.


Which of the following is NOT included in the definition of "Rule"?

 

agency statement interpreting policy and its requirements

memoranda issued by the Executive Office of the Governor relating to information resources management

statement of agency practice that further explains a required statute requirement

an amendment to an existing rule

"Rule" means each agency statement of general applicability that 

implements, interprets, or prescribes law or policy 

or describes the procedure or practice requirements 

of an agency and includes any form which imposes 

any requirement or solicits any information not specifically 

required by statute or by an existing rule. 

The term also includes the amendment or repeal of a rule.

 The term does not include: 

(a)  Internal management memoranda which do not affect either 

the private interests of any person or any plan or procedure

important to the public and which have no application 

outside the agency issuing the memorandum.

 (b)  Legal memoranda or opinions issued to an agency 

by the Attorney General or agency legal opinions 

prior to their use in connection with an agency action. 

(c)  The preparation or modification of: 

1.Agency budgets. 

2. Statements, memoranda, or instructions to state agencies

 issued by the Chief Financial Officer or Comptroller as chief fiscal officer of the state .

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Which of the following is the BEST DEFINITION of

 "Good faith"?

 

honesty and fair dealing with the public in a commercial setting

statements made under oath

trusting that the information provided is factual and accurate

best practices for ensuring borrowers receive all required disclosures

"Good faith" means honesty in fact and the observance 

of reasonable commercial standards of fair dealing.

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Which of the following statements is 

NOT TRUE per the definition of "Material change"?

 

a change in the type of loan offered to a borrower

a change in the interest rate previously offered a borrower

a change that is important enough to influence a 

borrower in making a borrowing decision

a change that affects the borrower's information 

as given on the application such as an incorrect address

"Material change" means a change that would be important 

to a reasonable borrower in making a borrowing decision,

 and includes a change in the interest rate previously 

offered a borrower, a change in the type of loan offered to a borrower, 

or a change in fees to be charged to a borrower resulting in 

total fees greater than $100.

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Which of the following would not be included as a "Control person"?

 

shareholder who owns 10% or more or has the 

power to vote 10% or more of voting securities

a trustee within a trust

a mortgage broker

a company's executive officers

"Control person" means an individual, partnership, 

corporation, trust, or other organization that possesses 

the power, directly or indirectly, to direct the management

 or policies of a company, whether through ownership of 

securities, by contract, or otherwise. 

The term includes, but is not limited to: 

(a)  A company's executive officers, including the president, 

chief executive officer, chief financial officer, chief operations officer, 

chief legal officer, chief compliance officer, 

director, and other individuals having similar status or functions. 

b)  For a corporation, each shareholder that, directly or indirectly, 

owns 10 percent or more or that has the power to vote 

10 percent or more, of a class of voting securities 

unless the applicant is a publicly traded company. 

(c   For a partnership, all general partners and limited or 

special partners that have contributed 10 percent 

or more or that have the right to receive, upon dissolution, 

10 percent or more of the partnership's capital.

 

 

Which of the following is not included as a "Loan originator"?

 

an individual who accepts or offers to accept an application for a mortgage loan

someone who solicits or offers to solicit a mortgage loan

someone who negotiates the terms / conditions of a new or existing mortgage loan on behalf of a borrower

an individual who is employed by a mortgage lender to transmit completed application forms to a lender for prospective borrowers

"Loan originator" means an individual who, directly or indirectly, 

solicits or offers to solicit a mortgage loan, accepts or offers to accept 

an application for a mortgage loan, negotiates or offers to negotiate 

the terms or conditions of a new or existing mortgage loan on behalf 

of a borrower or lender, or negotiates or offers to negotiate 

the sale of an existing mortgage loan to a noninstitutional investor 

for compensation or gain. 

The term includes an individual who is 

required to be licensed as a

 loan originator under the S.A.F.E. Mortgage 

Licensing Act of 2008. 

The term does not include an employee of a mortgage broker 

or mortgage lender whose duties are limited to physically 

handling a completed application form or transmitting a 

completed application form to a lender on behalf of a prospective borrower.

Which of the following is NOT considered exempt from licensure?

 

A person who performs real estate brokerage activities and is 

compensated by a mortgage broker or other loan originator

any agency of the Federal Government

a depository institution

an attorney licensed in Florida who negotiates mortgage loan terms on behalf of a client

The following are exempt from regulation 

 (a)  Any person operating exclusively as a registered loan originator 

in accordance with the S.A.F.E. Mortgage Licensing Act of 2008. 

(b)  A depository institution; subsidiaries that are owned and

 controlled by a depository institution and regulated by the

 Board of Governors of the Federal Reserve System, 

the Comptroller of the Currency, the Director of the Office of Thrift Supervision, 

the National Credit Union Administration,

 or the Federal Deposit Insurance Corporation; 

or institutions regulated by the Farm Credit Administration. 

(c)  The Federal National Mortgage Association; 

the Federal Home Loan Mortgage Corporation; 

any agency of the Federal Government; any state, county, 

or municipal government; or any quasi-governmental agency 

that acts in such capacity under the specific authority of the laws 

of any state or the United States. 

(d)   An attorney licensed in this state who negotiates the t

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What is the current renewal fee for a 

loan originator license in the state of Florida?

 

$150

$100

$200

$250

Submit a nonrefundable renewal fee of $150,

 the $20 nonrefundable fee if required by s. 494.00172, 

and nonrefundable fees to cover the cost of further 

fingerprint processing and retention as set forth in commission rule.

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What happens if a license was issued by mistake?

 

The license is annulled.

The application fee is returned to the applicant and license is annulled.

The license is valid for 30 days only.

The license holder may not re-apply for a period of six months.

A loan originator license shall be annulled pursuant to

 s. 120.60 if it was issued by the office by mistake.

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Which statement is TRUE regarding fingerprints 

submitted with an application for a loan originator license?

 

The costs of fingerprint processing, including the cost of retaining the fingerprints, 

shall be borne by the Financial Services Commission.

The registry is responsible for reviewing the results of the state 

and federal criminal history checks and determining 

whether the applicant meets licensure requirements

The office may contract with a third-party 

vendor to provide live-scan fingerprinting

A federal criminal history background check must be conducted through the CIA.

Submit fingerprints in accordance with rules adopted by the commission:

 1.  The fingerprints may be submitted to the registry, 

the office, or a vendor acting on behalf of the registry or the office.

 2.  The office may contract with a third-party vendor to provide live-scan fingerprinting.

 3.  A state criminal history background check must be conducted through 

the Department of Law Enforcement, and a federal criminal history

 background check must be conducted through the 

Federal Bureau of Investigation. 

4.  All fingerprints submitted to the Department of Law Enforcement 

must be submitted electronically and entered into the statewide 

automated biometric identification system established 

in s. 943.05(2)(b) and available for use in accordance with s. 

943.05(2)(g) and (h). The office shall pay an annual fee to the

 department to participate in the system and inform the department

 of any person whose fingerprints are no longer required to be retained.

 5.  The costs of fingerprint processing.

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What is the cut-off date in which all loan originator licenses must be renewed?

 

The anniversary date that the license was initially issued

1-Jan

31-Dec

1-Sep

All loan originator licenses must be renewed annually by

 December 31 pursuant to s. 494.00313.

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