Course Syllabus

Course Title

8 Hour SAFE Comprehensive: 2026 Mortgage Loan Originator Continuing Education

Completion Requirements

This online self-study course is delivered in an asynchronous format. Students must complete all course requirements no later than 11:59 p.m. Eastern Time on December 31, 2026. Course completion will not be permitted after this deadline.

This course includes timed modules designed to satisfy NMLS seat time requirements where applicable. Students must actively engage with all instructional content and complete all required activities. The course will automatically log students completely out after six (6) minutes of inactivity. Inactive time will not count toward required course time.

To successfully complete the course, students must complete all of the following:

Section Requirements

• Complete each course section in the order presented
• Complete each instructional lesson and the Knowledge Check that follows it, where provided
• Knowledge Checks are required activities with a minimum required score of 100%
• Complete the Review Questions quiz at the end of each content section
• Earn the minimum required score on each Review Questions quiz to continue (60%)
• Complete each Review Questions quiz within the maximum number of attempts permitted by the course
• Complete the case study quiz where presented
• Earn the minimum required score on each case study quiz to continue (60%)
• Complete the End-of-Course Survey where presented

Final Exam Requirements

• Complete the final exam
• Earn the minimum passing score required for the course (70%)
• Complete the final exam within the maximum number of attempts permitted by the course
• If a passing score is not achieved within the permitted number of attempts, the student must retake the course before credit may be awarded

Note: The final exam is required for course completion.

Course Completion Certificate

Upon successful completion of all course requirements, including the required final exam, a course completion certificate will be automatically generated and made available in the student’s account. Students may access the certificate from the completed course page by selecting “View Certificate” and may download or print it for their records.

The certificate will include the student’s name and NMLS ID, the course provider’s name, the NMLS course number, the course title, the course completion date, and the required NMLS attestation statement. NMLS requires every student to be issued a course completion certificate at the end of each successfully completed course.

Credit Reporting

NMLS credit will be reported only after the student has fully completed all course requirements.

Full completion includes required instructional time, all Knowledge Checks, all required Review Questions quizzes, required case study quizzes, and a passing final exam.

Course credit will be reported to NMLS within seven (7) calendar days after successful course completion.

Academic Integrity

All coursework must be completed by the enrolled student.

Students must complete all work independently unless a course activity expressly permits otherwise.

Students must read, acknowledge, and comply with the NMLS Rules of Conduct for Students (ROCS). Known or suspected violations—including attempting to bypass course controls, misrepresenting identity, using artificial intelligence or other unauthorized assistance, submitting work not completed by the enrolled student, or assisting another student—will be reported to NMLS and handled in accordance with the ROCS and applicable NMLS enforcement procedures.

Attendance Requirements

Attendance is measured through seat time tracking, course progression, and completion of required activities.

To receive credit, students must:

• Complete all required instructional time in accordance with NMLS seat time requirements
• Complete all Knowledge Checks, Review Questions quizzes, case study quizzes, and the final exam
• Actively engage with course content throughout the course

The course will automatically log students completely out after six (6) minutes of inactivity. Inactive time will not count toward required course time.

Participation Requirements

This course is delivered in an online self-study format. Students are required to:

• Progress through the course as designed
• Complete all required reading, Knowledge Checks, Review Questions quizzes, case study quizzes, and the final exam
• Demonstrate understanding of course material through successful completion of required assessments

Students must participate in accordance with all course requirements and the NMLS Rules of Conduct for Students (ROCS). Course credit will be awarded only after the course provider verifies completion of all required instructional time, course content, activities, and assessments.

Technology Requirements

To successfully complete this course, students must have access to the following:

Hardware and Connectivity

• A desktop or laptop computer capable of accessing the course platform
• This course must not be completed on an iPad, iPhone, tablet, phablet, smartphone, or other small hand-held electronic device
• Reliable internet connection sufficient to access course materials and complete required activities

Software Requirements

• A current version of a supported web browser, such as Chrome, Firefox, Safari, or Edge
• Access to email for course communications and notifications

Authentication and System Requirements

• Students must complete all required identity verification and authentication steps as prompted throughout the course
• Browser settings must allow cookies, JavaScript, and other required course functionalities
• Disabling course functionality or authentication features may prevent successful completion of the course

Additional Notes

• Some course features may not function properly on outdated devices or unsupported browsers
• Students are responsible for ensuring their technology meets these requirements prior to enrollment

Course Description

This SAFE Act continuing education course covers 2026 required federal law topics, ethics, nontraditional mortgage lending, and elective compliance scenarios for mortgage loan originators. The curriculum includes federal disclosure and fair lending requirements, examination-derived compliance priorities, ethical origination practices, mortgage fraud and misrepresentation risks, data security and technology concerns, nontraditional mortgage product risks, file quality, corrective action, lesson-based instruction, Knowledge Checks, review questions, a case study, an End-of-Course Survey, and a final exam.

Course Completion Requirements

Module 1: Orientation

Time Allocation: 0 minutes

Lessons

• Course Syllabus
• Rules of Conduct

Module 2: Federal Law and Regulations: 2026 CE Topic Background

Time Allocation: 5 minutes

Learning Objectives

• Identify the Multi-State Mortgage Committee as the body that selected the 2026 required continuing education topics and explain the practical compliance purpose of those topics.
• Explain how completed multistate examination findings became the source for the 2026 required continuing education priorities.
• Determine appropriate file-level remediation steps for an examination finding involving borrower-facing records and funds.
• Explain how program-level remediation and follow-up audits reduce future examination risk after a compliance finding.

Lessons

• Learning Objectives
• Who Established the 2026 Required Topics
• Knowledge Check
• Examination Consequences
• Knowledge Check
• Review Questions

Module 3: Federal Law and Regulations: ECOA Notices and Records

Time Allocation: 45 minutes

Learning Objectives

• Explain how ECOA and Regulation B apply to consistent treatment across mortgage credit interactions from first contact through documentation.
• Differentiate inquiries, prequalifications, applications, incomplete applications, counteroffers, and adverse actions using Regulation B status concepts.
• Apply Regulation B application-status and documentation principles to determine when creditor conduct requires notice procedures and reviewable file records.
• Identify the Equal Credit Opportunity Act notification duty that applies within 30 days after a creditor receives a completed mortgage application, including the three action-taken outcomes.
• Determine when a creditor should use the incomplete-application notice path by identifying missing applicant-completable information and the required written notice contents.
• Explain how mortgage loan originator file controls support Equal Credit Opportunity Act notification compliance by documenting status, communication, deadlines, and notice evidence.
• Explain how Regulation B treats oral and incomplete credit requests as applications so an MLO can identify when notice analysis is required before closing or excluding a file.
• Apply the Regulation B incomplete-application notice requirements to determine what a written Notice of Incompleteness must include and when the creditor must act after the applicant responds.
• Analyze soft-pull and prequalification records to determine whether Equal Credit Opportunity Act notice review is needed based on the credit request and creditor handling rather than internal labels alone.
• Determine the file controls and escalation records needed to reconstruct the path from credit pull to file outcome, including notices sent or the documented reason no notice was required.
• Identify the Regulation B notice options and request timing rules for providing specific adverse action reasons in consumer mortgage files.
• Distinguish specific principal denial reasons from vague internal policy explanations when reviewing Equal Credit Opportunity Act adverse action notices.
• Apply borrower-facing translation and file-quality controls to select accurate denial reasons supported by the underwriting record.
• Identify the 25-month Regulation B retention duty for preserving application-related records after the required notification event.
• Describe which Regulation B records should be retained to reconstruct how an application was received, evaluated, acted on, and noticed.
• Explain how soft-pull prequalification activity can create ECOA record-retention risk when credit information supports a decision or communication.

Lessons

• Learning Objectives
• ECOA and Regulation B Overview
• Knowledge Check
• Required Topic 1: ECOA Notifications
• Knowledge Check
• Required Topic 2: ECOA Action Taken Notices
• Knowledge Check
• Required Topic 3: ECOA Specific Denial Reasons
• Knowledge Check
• Required Topic 4: ECOA Record Retention
• Knowledge Check
• Review Questions

Module 4: Federal Law and Regulations: Loan Estimate Rules

Time Allocation: 55 minutes

Learning Objectives

• Differentiate the roles of the Truth in Lending Act, Regulation Z, and TILA-RESPA Integrated Disclosure rules in residential mortgage disclosure work.
• Identify the six Regulation Z application items that trigger Loan Estimate timing for TILA-RESPA Integrated Disclosure covered transactions.
• Apply Regulation Z good-faith revision rules by determining when a revised Loan Estimate may be used for good-faith purposes after changed transaction information.
• Identify the six Regulation Z application elements that complete the TILA-RESPA Integrated Disclosure Loan Estimate timing trigger and distinguish them from underwriting documents in a file review.
• Calculate the covered TILA-RESPA Integrated Disclosure Loan Estimate delivery deadline and determine which business-day and receipt rules must be documented.
• Evaluate delayed loan origination system entry, examiner evidence, and retained file documentation to determine timely-disclosure exception risk.
• Determine whether a Loan Estimate closing cost satisfies the Regulation Z good faith tolerance comparison by identifying the disclosed estimate, the amount paid by or imposed on the consumer, and any permitted increase, variation, or revised estimate basis.
• Classify Loan Estimate fees into zero tolerance, 10 percent cumulative tolerance, or may-change categories using the payee, affiliate status, shopping permission, provider-list use, and charge type facts identified in the rule framework.
• Apply file-quality controls for Loan Estimate tolerance compliance by identifying source support, review steps, escalation documentation, and correction measures for excess charges.
• Analyze whether a zero tolerance charge satisfies the Truth in Lending Act good-faith baseline by comparing the final amount imposed on the consumer to the original Loan Estimate unless a permitted revision applies.
• Classify zero tolerance costs by identifying charges paid to the creditor, mortgage broker, or affiliates; non-shoppable unaffiliated third-party fees; and transfer taxes from the file, provider relationship, and disclosures.
• Apply Regulation Z revision timing and documentation standards to determine whether a changed circumstance can reset the good-faith comparison for an increased zero tolerance fee.
• Explain how Regulation Z timing and file support determine whether a revised Loan Estimate can reset the good-faith baseline for an affected charge.
• Distinguish valid Regulation Z revision reasons from informal business preferences when evaluating revised Loan Estimate fee increases.
• Apply file-quality documentation standards to determine whether receipt timing and escalation support a revised Loan Estimate review.
• Determine the Loan Estimate and Closing Disclosure timing requirements for a TRID-covered transaction by identifying the application trigger, Loan Estimate delivery deadline, and Closing Disclosure receipt deadline from a file sequence.
• Classify fee changes under TRID tolerance rules by distinguishing no-increase charges, 10% aggregate charges, permitted-variation charges, and valid changed-circumstance revisions in a mortgage file.
• Apply TRID revised-disclosure, refund, and record-retention requirements by selecting the proper disclosure framework, cure timing, and file evidence for a post-fee-change review.

Lessons

• Learning Objectives
• TILA, Regulation Z, and TRID Overview
• Knowledge Check
• Required Topic 5: TILA Timely Disclosure
• Knowledge Check
• Required Topic 6: TILA Loan Estimate Tolerance
• Knowledge Check
• Required Topic 7: TILA 0% Tolerance Costs
• Knowledge Check
• Required Topic 8: TILA Revised Loan Estimates
• Knowledge Check
• TRID Timing and Tolerance Review
• Knowledge Check
• Review Questions

Module 5: Federal Law and Regulations: Closing Disclosure Accuracy

Time Allocation: 30 minutes

Learning Objectives

• Determine whether a settlement service charge is excessive by comparing the borrower-paid amount on the Closing Disclosure with the provider's actual charge in a specific file fact pattern.
• Differentiate estimate-tolerance review from actual-charge review by identifying the distinct compliance question each review answers for final settlement service charges.
• Identify appropriate file-review steps for reconciling a Closing Disclosure settlement service charge with an invoice and payment records before the file proceeds.
• Select appropriate corrective and documentation actions when a settlement service fee discrepancy is identified before or after consummation.
• Identify the required payee-name disclosure for each amount in the Closing Disclosure subsection labeled Services Borrower Did Not Shop For.
• Explain why TBD or To Be Determined is not an adequate Closing Disclosure payee entry when the recipient name is known or reasonably available.
• Apply MLO review and escalation practices to identify and route incomplete Closing Disclosure payee-name entries before or after issuance.
• Apply invoice or other reliable file support to determine whether a final Closing Disclosure settlement-service charge is supported by the amount the provider actually received.
• Differentiate amount accuracy from recipient accuracy by identifying when a final Closing Disclosure payee field must replace placeholder language with the actual recipient name.
• Determine appropriate corrective actions for excessive fees, TBD payees, missing invoices, and correct charges during a mock Closing Disclosure review.

Lessons

• Learning Objectives
• Required Topic 9: TILA Excessive Fees
• Knowledge Check
• Required Topic 10: TILA CD Payee Names
• Knowledge Check
• Closing Disclosure Review Activity
• Knowledge Check
• Review Questions

Module 6: Federal Law and Regulations: Compliance Controls

Time Allocation: 15 minutes

Learning Objectives

• Differentiate Equal Credit Opportunity Act and TILA-RESPA Integrated Disclosure file weaknesses by identifying fairness, disclosure, and mortgage loan originator conduct consequences in a loan file.
• Apply Regulation Z good-faith and TILA-RESPA Integrated Disclosure cure concepts to determine borrower-facing consequences of unsupported revised disclosures after a Loan Estimate.
• Apply the scope-correct-remediate-monitor sequence to choose compliance responses that address ECOA and TILA file weaknesses, borrower effects, process failures, and recurrence.
• Identify the required documentation elements for credit pull and prequalification controls in a mortgage file.
• Determine how Loan Estimate controls should connect Regulation Z application timing, disclosure deadlines, and fee tolerance review to file evidence.
• Explain when escalation procedures should be used and what a practical escalation record should document for unresolved compliance issues.

Lessons

• Learning Objectives
• Cross-Topic Regulatory Consequences
• Knowledge Check
• Recommended Controls and Best Practices
• Knowledge Check
• Review Questions

Module 7: Ethics: MLO Responsibilities

Time Allocation: 25 minutes

Learning Objectives

• Distinguish confirmed facts, estimates, and predictions in borrower-facing origination communications so preliminary statements are labeled with clear assumptions and limits.
• Apply Regulation B fair-lending communication principles by grounding borrower-facing explanations in lawful criteria instead of protected characteristics.
• Differentiate prequalification from final approval during early borrower conversations by explaining limits, pending verification, and review requirements.
• Explain how file integrity functions as an ethical control by showing the conduct, processes, and decision basis reflected in a mortgage loan file.
• Identify the file-integrity risks created when credit-pull authorization, timing, purpose, or transaction support is not preserved in the loan file.
• Differentiate legitimate late notes from misleading after-the-fact reconstruction when preserving borrower communications in a mortgage loan file.
• Explain how a mortgage loan originator should distinguish preliminary soft-credit observations from actual approval language when communicating borrower status.
• Identify Equal Credit Opportunity Act and Regulation B risks created by unexplained nonresponse when borrower files are handled differently.
• Apply corrective review steps to classify the borrower file, communicate through approved channels, and escalate approval-like language or nonresponse concerns.

Lessons

• Learning Objectives
• Ethical Duties in Origination
• Knowledge Check
• File Integrity and Documentation
• Knowledge Check
• Ethical Scenario Review
• Knowledge Check
• Review Questions

Module 8: Ethics: Fraud and Misrepresentation

Time Allocation: 25 minutes

Learning Objectives

• Explain how to treat a mortgage fraud red flag as a prompt for documented follow-up when file information may be false, incomplete, or unreliable.
• Identify income, employment, asset, and gift-fund red flags that may indicate misrepresentation of borrower capacity, source, or ownership of funds.
• Apply a professional red-flag response framework by matching common red-flag clusters to documentation, clarification, preservation, and escalation actions.
• Identify file-level misrepresentation risks in MLO communications by recognizing words, omissions, document handling, or timing choices that create a false or incomplete picture of the borrower, loan, or transaction.
• Distinguish preliminary, conditional, and final borrower approval communications by selecting statements that accurately match the actual file status and remaining creditor requirements.
• Apply Loan Estimate timing rules by selecting compliant actions when the six application elements have been received and verification documents or fees are requested.
• Identify Regulation N commercial communications and material misrepresentation risks in mortgage advertising and borrower-facing outreach.
• Apply Regulation Z rate-advertising rules to determine when rate claims require annual percentage rate disclosure, current support, and visible limitations.
• Evaluate payment claims and urgency statements by checking required disclosures, documented support, and consistency with borrower-specific terms.

Lessons

• Learning Objectives
• Mortgage Fraud Red Flags
• Knowledge Check
• MLO Misrepresentation Risk
• Knowledge Check
• Advertising and Consumer Communications
• Knowledge Check
• Review Questions

Module 9: Ethics: Consumer Protection and Fair Lending

Time Allocation: 30 minutes

Learning Objectives

• Apply Regulation Z timing and fee-trigger rules to determine when Loan Estimates, Closing Disclosures, and pre-intent fees must be handled in covered mortgage origination files.
• Analyze Loan Estimate accuracy, tolerance limits, and file-quality documentation to determine when fee changes require classification, escalation, and redisclosure review.
• Evaluate Equal Credit Opportunity Act adverse action notice duties by identifying timing, required written content, and the need for specific principal denial reasons supported by the file.
• Identify the Equal Credit Opportunity Act and Regulation B duties that prohibit creditor discrimination on a prohibited basis in any aspect of a credit transaction.
• Apply equal-treatment principles by distinguishing neutral, credit-relevant file differences from unexplained differences in access, responsiveness, or clarity for materially alike applicants.
• Determine which Regulation B notice and record duties help preserve equal access when applications are incomplete or adverse action is taken.
• Differentiate Regulation B application status from Regulation Z Loan Estimate trigger requirements for incomplete mortgage files with similar borrower information.
• Evaluate fair lending risk when similarly situated mortgage applicants receive materially different follow-up assistance without a documented neutral explanation.
• Determine the required Regulation B notice response when an incomplete mortgage application needs applicant-completable information within a 30-day framework.

Lessons

• Learning Objectives
• Consumer Protection in Origination
• Knowledge Check
• Fair Lending and Equal Treatment
• Knowledge Check
• Fair Lending Scenario Review
• Knowledge Check
• Review Questions

Module 10: Ethics: Data Security and Technology

Time Allocation: 20 minutes

Learning Objectives

• Identify borrower personal information and ordinary mortgage documents that should be treated as regulated customer information during origination.
• Apply Safeguards Rule secure-communication principles by selecting approved, auditable methods and verifying recipients before borrower information is disclosed.
• Determine compliant handling for improper file sharing, third-party access, remote-work exposure, and disposal of borrower information.
• Identify mortgage identity theft warning signs and the mortgage loan originator's proper role in handling them during origination.
• Explain how Red Flags Rule concepts guide mortgage file review when inconsistent identity information appears before sensitive actions continue.
• Describe required file-quality practices for documenting and escalating suspected Red Flags or cybersecurity events in mortgage operations.
• Explain how human oversight functions as a file-level control for automated mortgage origination outputs before those outputs affect borrowers, disclosures, credit decisions, or file records.
• Apply review and documentation controls to prevent unreviewed automated or AI-generated outputs from creating misleading borrower communications, file analysis, or disclosure records.
• Analyze how automation and AI can create fair lending risk when neutral-looking workflows affect access to credit, borrower assistance, or communications without approved controls and escalation paths.

Lessons

• Learning Objectives
• Protecting Borrower Information
• Knowledge Check
• Identity Theft and Cybersecurity
• Knowledge Check
• Technology, Automation, and AI
• Knowledge Check
• Review Questions

Module 11: Nontraditional Mortgage Lending: Product Overview

Time Allocation: 25 minutes

Learning Objectives

• Identify a nontraditional mortgage product using the SAFE Act definition—any mortgage product other than a 30-year fixed-rate mortgage—and distinguish that definition from common risk features within the category.
• Explain why accurate discussion of nontraditional mortgage product features remains a compliance issue even when required disclosures are provided.
• Determine when nontraditional mortgage product discussions should connect product features to borrower facts and escalate unresolved affordability concerns.
• Differentiate rate-change features from payment-structure features in nontraditional mortgage files by identifying when separate Truth in Lending Act and Real Estate Settlement Procedures Act integrated disclosure table review is needed.
• Apply ability-to-repay file-review principles to interest-only and balloon structures by identifying the later payment obligation, required calculation, and documentation focus before consummation.
• Evaluate non-qualified mortgage and alternative-documentation files by selecting verification practices that support repayment ability and avoid unsupported documentation assumptions.
• Explain, after reviewing a nontraditional mortgage file with changing-payment features, why long-term repayment ability must account for obligations and scheduled payment changes beyond the first payment.
• Differentiate temporary payment and payment shock risks during borrower communication by separating the initial payment, later scheduled payment, and any disclosed payment range.
• Assess, when reviewing a nontraditional mortgage file, whether balloon, refinance, or equity risk should be escalated because repayment depends on uncertain future credit or equity conditions.

Lessons

• Learning Objectives
• Defining Nontraditional Mortgage Lending
• Knowledge Check
• Common Nontraditional Features
• Knowledge Check
• Borrower Risk Overview
• Knowledge Check
• Review Questions

Module 12: Nontraditional Mortgage Lending: ARMs and Payment Shock

Time Allocation: 25 minutes

Learning Objectives

• Explain how an adjustable-rate mortgage (ARM) uses contractual formula terms, timing, and limits instead of discretionary rate changes.
• Calculate a fully indexed rate using the index and margin, and distinguish that formula result from the actual rate charged after caps, floors, rounding rules, or timing apply.
• Determine how caps, floors, and adjustment periods affect the path from an ARM formula result to the borrower's payment obligation.
• Explain how a mortgage loan originator should communicate payment shock risk when a starting payment may not represent the borrower's long-term cost.
• Differentiate initial affordability from long-term affordability by identifying the later payment changes and housing costs that affect borrower understanding.
• Distinguish escrow-driven payment shock from adjustable-rate mortgage payment changes by separating principal-and-interest components from property-related charges.
• Explain how a mortgage loan originator should connect a lower initial adjustable-rate mortgage payment to later rate changes, payment changes, and contractual limits during borrower discussions.
• Identify the essential adjustable-rate mortgage explanation points covering temporary initial terms, adjustment mechanics, caps, and refinance uncertainty.
• Evaluate refinance assumptions by distinguishing a possible future refinance from a guaranteed solution to adjustable-rate mortgage payment risk.

Lessons

• Learning Objectives
• ARM Structure and Terms
• Knowledge Check
• Payment Shock
• Knowledge Check
• ARM Scenario Review
• Knowledge Check
• Review Questions

Module 13: Nontraditional Mortgage Lending: Buydowns and Balloon Risk

Time Allocation: 25 minutes

Learning Objectives

• Differentiate the note rate from the temporary payment in a temporary buydown so borrower-facing explanations identify the borrower's full scheduled obligation.
• Determine how Regulation Z treats third-party temporary buydown disclosures when the buydown is or is not reflected in the credit contract.
• Apply temporary buydown communication and file-quality standards to document payment changes, affordability concerns, and subsidy details accurately.
• Explain how an interest-only payment structure affects scheduled principal repayment and borrower understanding during the interest-only period.
• Analyze how balloon payment structures create exit dependence and file-quality concerns for borrowers and mortgage loan originators.
• Apply Regulation Z disclosure, ability-to-repay, and escalation expectations to interest-only and balloon features in mortgage files.
• Analyze how multiple payment-sensitive mortgage features can create layered risk by making the initial payment a poor guide to long-term affordability.
• Distinguish contractually known mortgage terms from borrower assumptions when explaining refinance-dependent payment risk.
• Apply layered-risk file documentation and escalation criteria to a borrower's refinance-dependent payment plan.

Lessons

• Learning Objectives
• Temporary Buydowns
• Knowledge Check
• Interest-Only and Balloon Features
• Knowledge Check
• Layered Risk Scenario Review
• Knowledge Check
• Review Questions

Module 14: Nontraditional Mortgage Lending: ATR and Suitability

Time Allocation: 25 minutes

Learning Objectives

• Explain how Ability-to-Repay under TILA and Regulation Z functions as a documented underwriting judgment tied to mortgage loan originator file quality.
• Identify the repayment inputs Regulation Z requires creditors to consider when evaluating Ability-to-Repay beyond a single credit score or debt ratio.
• Apply Regulation Z payment-calculation concepts to nontraditional mortgage loans with adjustable, interest-only, or other changing-payment features by analyzing later payment changes, not only introductory payments.
• Explain how product fit in nontraditional mortgage lending connects product features to borrower goals, documented financial facts, and risk tolerance while avoiding improper pressure.
• Identify clear tradeoff explanations for nontraditional mortgage features by naming both the known benefit and the risk or condition affecting the borrower.
• Distinguish compliant product communication from misleading promises by separating known loan terms from uncertain future rates, refinancing, and home values.
• Explain how a mortgage loan originator should recognize misleading affordability presentations for nontraditional mortgage products during borrower communications.
• Determine what payment-change information should be documented when explaining a temporary buydown to support borrower understanding.
• Apply Regulation Z disclosure-update principles to identify when nontraditional mortgage product changes must be carried into the borrower's decision record.

Lessons

• Learning Objectives
• Ability-to-Repay Concepts
• Knowledge Check
• Product Suitability and Communication
• Knowledge Check
• Compliance Failures in Nontraditional Lending
• Knowledge Check
• Review Questions

Module 15: Elective: File Quality and Exams

Time Allocation: 25 minutes

Learning Objectives

• Identify the dated evidence examiners expect when reviewing a TRID Loan Estimate timing file within a mortgage application timeline.
• Differentiate the file evidence required for Regulation B Notice of Incompleteness and Notice of Adverse Action paths in stalled or denied mortgage applications.
• Determine the documentary support examiners expect for Closing Disclosure fee accuracy and Regulation Z tolerance cures after consummation.
• Explain how accurate and timely loan origination system entry supports reliable file review by placing borrower information, transaction terms, fees, contact information, and milestone dates in the proper record close to the related event.
• Identify the content and limits of complete file notes by recognizing the events they explain, the specific facts they should include, and unsupported conclusions they should avoid.
• Apply escalation expectations to fee or tolerance issues by determining when a mortgage loan originator should document facts, notify proper channels, and avoid unsupported determinations about changed fees.
• Analyze a mock residential mortgage file review response by identifying defects, governing requirements or file-quality expectations, missing evidence, and corrective actions for the six named findings.
• Apply Regulation B notice requirements by determining when a Notice of Incompleteness or adverse action notice is the correct borrower-communication response in an incomplete or denied file.
• Determine the correct TILA-RESPA Integrated Disclosure response for Loan Estimate timing and appraisal tolerance findings by using application timing, fee classification, changed-circumstance documentation, and required cure concepts.

Lessons

• Learning Objectives
• What Examiners Look For
• Knowledge Check
• MLO Role in File Quality
• Knowledge Check
• Mock File Review Activity
• Knowledge Check
• Review Questions

Module 16: Elective: Corrective Action

Time Allocation: 25 minutes

Learning Objectives

• Describe the MLO's escalation and file-preservation responsibilities after identifying a potential corrective-action issue, including what to provide and what conduct to avoid.
• Analyze borrower impact in corrective-action reviews by connecting ECOA Regulation B and TRID Regulation Z issues to notice, timing, accuracy, and cost effects.
• Determine when corrected disclosures and borrower refunds are separate corrective steps under Regulation Z and what the file should document for each step.
• Determine how Loan Origination System alerts should prevent delayed Loan Estimate delivery for covered TRID transactions.
• Assess revised Loan Estimate trigger workflows by identifying the permitted reason, supporting evidence, and timing limits required before using a revised estimate.
• Evaluate adverse action reason review controls by matching selected denial reasons to file evidence and Regulation B notice requirements.
• Determine whether the Loan Estimate timing clock has started by identifying the six Regulation Z application items and treating receipt of the sixth item as the controlling compliance trigger.
• Analyze Equal Credit Opportunity Act and Regulation B risk at the soft-pull prequalification stage by distinguishing presumed discrimination from required review of discouragement, steering, inconsistent treatment, and adverse-action notice duties.
• Evaluate appraisal fee increases under TILA-RESPA Integrated Disclosure tolerance and revised-disclosure rules by verifying the disclosed amount, charged amount, tolerance category, reason for increase, and timing support before passing the increase to the borrower.

Lessons

• Learning Objectives
• Corrective Action After a Violation
• Knowledge Check
• Internal Controls and Prevention
• Knowledge Check
• Integrated Compliance Scenario
• Knowledge Check
• Review Questions
• Case Study

Module 17: Final Exam

Lessons

• Final Exam

Module 18: End-of-Course Survey

Lessons

• End-of-Course Survey