Uniform State Test (UST) · 11% of the SAFE examhard
Correct answer: Two — Employees 1 and 3, because collecting applications and inputting data into origination systems both constitute taking a mortgage application
Under the SAFE Act, two of the four employees require NMLS registration: Employee 1 clearly meets the MLO definition — explaining mortgage options, collecting financial information, and beginning the application process constitute taking a mortgage application and negotiating terms. Employee 3 also requires registration — the SAFE Act explicitly states that an individual who inputs information into a loan application using an online system is considered to be 'taking a mortgage application' and must be licensed or registered, even if acting at the direction of a licensed MLO. Employee 2 does not require registration — merely mentioning that the bank offers mortgages while discussing other products is informational and does not constitute origination activity. Employee 4 does not require registration — preparing and sending closing disclosures after loan approval is a post-origination administrative function that does not involve taking applications or negotiating terms. "One — only Employee 1, who collects financial inform..." is incorrect because it excludes Employee 3. "Three — Employees 1, 3, and 4, because all three are..." is incorrect because Employee 4's post-approval document preparation is clerical in nature. "All four, because any bank employee who has any cont..." is incorrect — the SAFE Act's licensing requirement is activity-specific, not based on any incidental contact with mortgage-related matters.
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