NMLS Education and Testing 3 — Questions and Answers
Question 1: What is the minimum passing score on the SAFE MLO Test – National Component with Uniform State Content?
- 70%
- 75% (Correct answer)
- 80%
- 65%
Correct answer: 75%
Candidates must achieve a score of at least 75% to pass the SAFE MLO Test.
Question 2: After passing the SAFE MLO Test, how long is the test result valid if the applicant has not obtained a license?
- 1 year
- 2 years
- 3 years (Correct answer)
- 5 years
Correct answer: 3 years
A passing test score is valid for five years; if an applicant does not obtain licensure within that period, they must retest.
Question 3: How many hours of continuing education (CE) must a licensed MLO complete annually?
- 8 hours (Correct answer)
- 12 hours
- 20 hours
- 16 hours
Correct answer: 8 hours
Licensed MLOs must complete at least 8 hours of NMLS-approved continuing education each year.
Question 4: Of the 8 annual CE hours required, how many must address federal law and regulations?
- 1 hour (Correct answer)
- 2 hours
- 3 hours
- 4 hours
Correct answer: 1 hour
One of the 8 annual CE hours must specifically cover federal law and regulations.
Question 5: An MLO who fails to complete the required continuing education in a given year faces which consequence?
- A $500 fine from CFPB
- License renewal denial until CE is complete (Correct answer)
- Mandatory suspension for 6 months
- Automatic conversion to inactive status for 30 days
Correct answer: License renewal denial until CE is complete
States will not renew an MLO's license until all required continuing education has been completed.
Question 6: Can an MLO take the same approved CE course more than once to satisfy the annual CE requirement?
- Yes, if taken with a different provider
- Yes, any approved course counts each year
- No, the same course cannot be repeated in successive years (Correct answer)
- No, unless the course content was updated
Correct answer: No, the same course cannot be repeated in successive years
An MLO cannot use the same CE course to satisfy the annual requirement in successive years.
Question 7: Which body administers the SAFE MLO Test for most states and territories?
- Prometric
- Pearson VUE (Correct answer)
- PSI Services
- Castle Worldwide
Correct answer: Pearson VUE
Pearson VUE is contracted to administer the SAFE MLO Test at testing centers across the United States.
NMLS Education and Testing 3
What is the minimum passing score on the SAFE MLO Test – National Component with Uniform State Content?