P1-161

Quiz Summary

0 of 6 Questions completed

Questions:

You have already completed the quiz before. Hence you can not start it again.

Quiz is loading…

You must sign in or sign up to start the quiz.

You must first complete the following:

Results

Quiz complete. Results are being recorded.

Results

0 of 6 Questions answered correctly

Your time:

You have reached 0 of 0 point(s), (0)

Current
Review
Answered
Correct
Incorrect

Question 1 of 6

1. Question
What must the servicer include in the annual written statement for borrower-paid PMI?
- A) A schedule of projected property appreciation over the next 10 years
- B) A statement of the borrower’s rights to cancel or terminate PMI and the servicer’s address and phone number to request cancellation
- C) A list of all prior owners of the property
- D) A breakdown of all late fees charged in the past year
Correct

Incorrect
Question 2 of 6

2. Question
For loans closed before July 29, 1999, what must the servicer’s annual disclosure tell the borrower about PMI?
- A) That PMI can only be removed by refinancing into a new loan
- B) That PMI will automatically terminate at 80% LTV on all such loans
- C) That PMI may be canceled under certain circumstances with lender consent or under state law, and must include the servicer’s contact information
- D) That PMI cannot be canceled on any loan originated before July 29, 1999
Correct

Incorrect
Question 3 of 6

3. Question
When must a servicer provide a written disclosure for lender-paid PMI?
- A) At the time of loan application
- B) On the first anniversary date of the loan
- C) When the borrower first becomes 30 days late on any payment
- D) Within 30 days of the time when PMI would have terminated had it been borrower-paid
Correct

Incorrect
Question 4 of 6

4. Question
A borrower with borrower-paid PMI wants to cancel PMI because the home’s value has increased. Under the Act, when does the borrower have the right to request cancellation?
- A) When the outstanding loan balance reaches 80% of the original value based on the amortization schedule or actual payments, not due to property appreciation
- B) Any time the borrower believes the value has increased by at least 10%
- C) Only after at least 10 years of on-time payments
- D) Only if the current appraised value is at least 120% of the original value
Correct

Incorrect
Question 5 of 6

5. Question
A borrower writes to request PMI cancellation at 80% LTV. Which of the following can the holder of the mortgage require before PMI cancellation becomes mandatory?
- A) That the borrower obtain a full home inspection and termite letter
- B) That the borrower sign a new note with a shorter term
- C) Evidence the property value has not dropped below original value and a certification that there is no subordinate lien on the property
- D) That the borrower provide proof of a minimum credit score
Correct

Incorrect
Question 6 of 6

6. Question
When must PMI automatically terminate if it has not already been canceled by borrower request?
- A) When the borrower completes 5 years of on-time payments
- B) When the loan balance reaches 80% of the current appraised value
- C) When the loan-to-value reaches 78% and payments are current, or at the midpoint of the amortization schedule if PMI still has not terminated and payments are current
- D) Only when the borrower refinances or pays off the loan in full
Correct

Incorrect

Quiz Summary

Information

Results

Results

Categories

1. Question

2. Question

3. Question

4. Question

5. Question

6. Question