Nondepository primary lenders

Question 1

Mortgage lenders are ___-____ _____ companies

Answer 1

full-service mortgage

These companies handle various aspects of the mortgage process.

Question 2

Mortgage lenders ____, _____, and ____ the loans they originate

Answer 2

originate, package, sell

Question 3

Mortgage lenders are not a _____ institution

Answer 3

depository institution

They do not accept deposits and demand deposits.

Question 4

A mortgage lender ___ loans, ____ loans together, and then sells the package

Answer 4

originates loans, packages loans together

This process is critical for mortgage lenders to operate in the market.

Question 5

Mortgage lenders make ____ and ____ loans and sell them on the secondary mortgage market

Answer 5

FHA and VA loans

These types of loans are specifically designed for certain borrower profiles.

Question 6

Mortgage loan originator (MLO) is a person who holds a state ____ _____

Answer 6

MLO license

This license is required to legally originate mortgage loans.