Federal Mortgage Law · 24% of the SAFE exammedium
Correct answer: 15 days before the transfer effective date
The TRANSFEROR must notify the borrower at least 15 days BEFORE the transfer effective date. The TRANSFEREE must notify within 15 days AFTER the transfer. Alternatively, both servicers can send a COMBINED notice at least 15 days before. This dual-notice (or combined-notice) structure ensures borrowers know where to send payments during the transition. A common exam mistake: confusing the transferor's "before" deadline with the transferee's "after" deadline.
CRAM ARCADE has the full NMLS question bank, timed practice exams, focus drills on your weakest category, flashcards and spaced repetition. No credit card.
Start studying free