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Under Alabama law, how long must a mortgage broker retain records related to loan transactions?

Uniform State Test (UST) · 11% of the SAFE exameasy

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Correct answer: 3 years after making the last entry on the transaction

Alabama requires licensees to preserve records for at least 3 years after making the last entry on any transaction. This is the STATE requirement under Alabama Code Title 5, Chapter 25. Note: some FEDERAL requirements may require longer retention (e.g., Closing Disclosures must be retained 5 years under Reg Z). When state and federal retention periods differ, the licensee must comply with BOTH — meaning the longer period controls for records covered by both requirements.

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