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SAFE MLO Mortgage Loan Origination (SAFE MLO) Exam

Mortgage Loan Origination (SAFE MLO) Exam

Last Update Feb 1, 2026
Total Questions : 230

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Questions 2

A borrower who knowingly makes false statements on a federally related mortgage loan to obtain property may be:

Options:

A.  

imprisoned for 10 to 16 months

B.  

fined up to JB10,000 or imprisoned for 6 months.

C.  

fined up to $1 million and imprisoned for 30 years.

D.  

fined up to the total purchase price of their home.

Discussion 0
Questions 3

Which of the following responses describes servicing transfers?

Options:

A.  

The transfer of an appraisal from one lender to another

B.  

The transfer of a HUD case number from one lender to another

C.  

The transfer of the responsibility to collect payments on the loan from one lender to another

D.  

The transfer of the processing of a loan to an independent service provider such as a contract processing provider

Discussion 0
Questions 4

A mortgage loan originator (MLO) submits a refinance application for a primary residence. However, if the MLO later discovers that the property is no longer occupied by the borrower, which of the following actions, if any, should the MLO take?

Options:

A.  

Allow the application to be underwritten before raising any concerns

B.  

Take no action as the property was occupied at the time of application

C.  

Notify the MLO's employer and/or the mortgage lender of the discovery

D.  

Allow the mortgage loan processor and/or underwriter to discover this through their due diligence processes

Discussion 0
Questions 5

Which of the following entities has the primary enforcement authority under the Red Flags Rule?

Options:

A.  

IRS

B.  

Federal Trade Commission

C.  

HUD

D.  

Conference of State Bank Supervisors

Discussion 0
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