Respa Pre-course Knowledge Check

Once an application is created, NAM has a time frame of 3 days to send out disclosures. This means that within 3 days of creating the application, NAM must provide all necessary disclosures to the relevant parties.

The correct answer is NMLS Registration. This is because NMLS Registration is not covered under the Real Estate Settlement Procedures Act (RESPA). RESPA primarily focuses on regulations related to disclosures to consumers, kickbacks and unearned fees, and escrow account maintenance. NMLS Registration, on the other hand, is a separate requirement for mortgage loan originators and is governed by the Secure and Fair Enforcement for Mortgage Licensing Act (SAFE Act).

The subject property address is a key piece of data required to trigger the creation of an application because it is necessary to identify the specific property for which the loan application is being made. The address is used to determine the location of the property, which can affect various aspects of the loan process such as eligibility, appraisal, and underwriting. Without the subject property address, it would not be possible to accurately assess and process the loan application.

The Fair Lending Disclosure is not required by RESPA. RESPA, the Real Estate Settlement Procedures Act, is a federal law that governs the disclosure of information in real estate transactions. It requires certain disclosures to be made to borrowers, such as the Affiliated Business Arrangement disclosure, which informs borrowers of any business relationships between the lender and other service providers. The Service Providers List is also required to be provided to borrowers, which lists all the service providers that the borrower can shop for. The Servicing Disclosure is another required disclosure that informs borrowers about the transfer of their loan servicing. However, the Fair Lending Disclosure is not a requirement under RESPA.