Free MLO Practice Test (NMLS SAFE Exam)

Updated October 20, 2026

Below are 10 free SAFE MLO practice questions, each with the answer, an explanation, and the official source. They cover all five areas of the NMLS content outline. For the full 392-question bank and a timed 120-question exam, open the practice app.

How the real test is weighted

Content area (NMLS outline)WeightApprox. questions of 115 scored
Federal mortgage-related laws24%~28
Uniform State Content (SAFE Act, CSBS/AARMR model state law)11%~13
General mortgage knowledge20%~23
Mortgage loan origination activities27%~31
Ethics18%~21

Approximate counts are our arithmetic (weight × 115), not an NMLS figure.

10 free practice questions

1. The SAFE Act requires how many hours of NMLS-approved pre-licensing education?
  1. 8
  2. 12
  3. 20
  4. 24
Show answer and explanation

Answer: C. 20
Correct — 20 hours total.

Source: 12 U.S.C. 5104(c)(1)

2. Which is generally required as part of a state MLO license application under the SAFE Act?
  1. A college degree
  2. Fingerprints for an FBI criminal background check and a credit report authorization
  3. A surety bond posted personally by every MLO in all states
  4. Five years of mortgage experience
Show answer and explanation

Answer: B. Fingerprints for an FBI criminal background check and a credit report authorization
Correct — fingerprints and credit report authorization are standard SAFE requirements.

Source: 12 U.S.C. 5104(a)(1)-(2)

3. Under TRID, a creditor must deliver or place in the mail the Loan Estimate no later than:
  1. 3 business days after receiving an application
  2. 7 business days after receiving an application
  3. 3 business days before consummation
  4. At the time the borrower signs the note
Show answer and explanation

Answer: A. 3 business days after receiving an application
Correct — Reg Z §1026.19(e) requires the LE within 3 business days of application.

Source: 12 CFR 1026.19(e)(1)(iii)(A)

4. The Closing Disclosure must be received by the consumer at least how long before consummation?
  1. 1 business day
  2. 3 business days
  3. 7 calendar days
  4. 10 business days
Show answer and explanation

Answer: B. 3 business days
Correct — §1026.19(f) requires receipt at least 3 business days before consummation.

Source: 12 CFR 1026.19(f)(1)(ii)(A)

5. A conforming loan is one that:
  1. Is insured by FHA
  2. Meets Fannie Mae/Freddie Mac loan limits and guidelines
  3. Has a fixed rate only
  4. Is guaranteed by VA
Show answer and explanation

Answer: B. Meets Fannie Mae/Freddie Mac loan limits and guidelines
Correct — conforming means eligible for purchase by the GSEs.

Source: 12 U.S.C. 1717(b)(2) (GSE loan limits; annual adjustment via FHFA house price index)

6. The minimum down payment for an FHA purchase loan with a credit score of 580 or higher is:
  1. 0%
  2. 3%
  3. 3.5%
  4. 10%
Show answer and explanation

Answer: C. 3.5%
Correct — 3.5% minimum at 580+.

Source: HUD Handbook 4000.1 II.A.4 (Minimum Required Investment / credit score bands)

7. Under TRID, which is NOT one of the six pieces of information that constitute an application?
  1. Social Security number
  2. Property address
  3. Verification of employment
  4. Loan amount sought
Show answer and explanation

Answer: C. Verification of employment
Correct — VOE isn't required to trigger an application (the six: name, income, SSN, address, value, loan amount).

Source: 12 CFR 1026.2(a)(3)(ii)

8. Gross monthly income is $6,000. Proposed housing payment is $1,500 and other monthly debts are $600. What is the total (back-end) DTI?
  1. 25%
  2. 30%
  3. 35%
  4. 40%
Show answer and explanation

Answer: C. 35%
Correct — ($1,500 + $600) ÷ $6,000 = 35%.

Source: CFPB: Debt-to-income ratio

9. Which is NOT a protected class under the federal Fair Housing Act?
  1. Familial status
  2. Disability (handicap)
  3. Age
  4. National origin
Show answer and explanation

Answer: C. Age
Correct — age is protected under ECOA, not the Fair Housing Act.

Source: 42 U.S.C. 3605(a)

10. Refusing to make loans in a neighborhood because of its racial composition is called:
  1. Steering
  2. Redlining
  3. Blockbusting
  4. Flipping
Show answer and explanation

Answer: B. Redlining
Correct — redlining.

Source: 42 U.S.C. 3605(a) (discrimination in residential real estate-related transactions)

Practice with every question

392 questions, each with an explanation for every option and an official source, plus a timed 120-question, 190-minute practice exam.

Try 25 free in the appSee launch price

Official sources

FAQ

Is this MLO practice test really free?

Yes. The 10 questions on this page are free, with no sign-up. The full bank and timed exams are a one-time paid upgrade.

Are these the real NMLS exam questions?

No. The real test questions are confidential and copyrighted by the SRR. These are original practice questions written from federal law and agency sources, and each one cites its source.

How many questions are on the SAFE MLO test?

120: 115 scored and 5 unscored pretest questions (NMLS MLO Testing Handbook).

Free questionsGet full access