the loan application

Question 1

How many years of home addresses are required on the typical loan application?

Answer 1

2 years

Question 2

How many years of employment history may be required on the loan application?

Answer 2

2 years

Question 3

Which is NOT usually required by a loan applicant?

Answer 3

personal references

Question 4

Commission, bonus or dividend income is usually averaged over:

Answer 4

2 years

Question 5

in order to be counted as income, retirement income must continue for how long after the loan application is signed?

Answer 5

3 years

Question 6

In order to be counted as income, alimony must continue for how long after the loan application is signed?

Answer 6

3 years

Question 7

If there is no minimum monthly credit card payment, what percent of the balance is used in the calculation of monthly debt?

Answer 7

5%

Question 8

How many months must be left on a car lease payment in order to be included as a debt?

Answer 8

automobile lease payments are always included

Question 9

How many months must be left on an installment charge in order to be included as a debt?

Answer 9

more than 10 months

Question 10

The Fannie Mae total obligations ratio is:

Answer 10

36%

Question 11

Payment for alimony must continue how long after the application date in order to be included as a debt?

Answer 11

10 months

Question 12

A lock-in agreement does NOT include:

Answer 12

APR

Question 13

which IRS form does a lender use to verify an applicants income?

Answer 13

4506-T

Question 14

Fannie Mae requires how many years of credit and public records review ?

Answer 14

7 years

Question 15

Bankruptcies can be kept on the credit report for a maximum of:

Answer 15

10 years

Question 16

credit reports for new construction cannot be older than:

Answer 16

120 days

Question 17

FICO stands for

Answer 17

Fair Isaac corporation

Question 18

If two credit scores are obtained for a single borrower the representative score that is usually used is:

Answer 18

The lower score

Question 19

If three credit scores are obtained for a single borrower the representative score that is usually used is:

Answer 19

The middle score

Question 20

The maximum age limit for a borrower is

Answer 20

there is no maximum age limit

Question 21

A guarantor or co-signer signs the

Answer 21

note

Question 22

Which is NOT a national credit repository ?

Answer 22

Fannie Mae

Question 23

what minimum percentage of ownership of a business is required for an individual to be considered self-employed

Answer 23

25%

Question 24

what is NOT an escrow impound ?

Answer 24

title insurance

Question 25

Fannie Mae generally wants how many months of liquid financial reserves after closing?

Answer 25

2 months

Question 26

Fannie Mae requires a non-qualifying spouse whose income is not used in qualifying to sign the:

Answer 26

mortgage

Question 27

a co-borrower whose income is used to qualify must sign the:

Answer 27

mortgage and the note

Question 28

If a mortgage is secured by the primary residence, Fannie Mae allows how many total properties to be financed?

Answer 28

no limit

Question 29

What form is used to summarize the information in the loan package?

Answer 29

Fannie Mae 1008- transmittal summary

Question 30

what form is used to verify employment information?

Answer 30

Fannie Mae 1005- verification of employment

Question 31

what form is used to verify bank accounts?

Answer 31

Fannie Mae 1006- verification of deposit

Question 32

what piece of information is NOT required in order to have a legal loan application ?

Answer 32

consumer signature