AL MLO case studies
AL MLO · Put your knowledge to work in context.
The AL MLO designation refers to the Alabama Mortgage Loan Originator Test, the state-specific component of the NMLS licensing exam sequence that individuals must pass to become a licensed mortgage loan originator in Alabama. It is intended for new entrants seeking an Alabama MLO license, originators adding Alabama to an existing multistate license, and licensees who must retake a lapsed or failed component. The AL MLO case studies are 5 cases and about 2,976 words.
1The Locked Rate That Wasn't Disclosed
On March 3, loan originator Dana takes a phone application from Marcus for a $340,000 refinance of his primary residence. Dana quotes a 6.25% rate and says she is 'locking it in today.' Marcus pays no fee that day.
613 words, about 3 min2Self-Employed Borrower, Declining Deposits
Priya, a loan originator, is prequalifying Dev, a sole proprietor who files Schedule C. Dev reports 2023 net profit of 92,000 and 2024 net profit of 61,000 on his returns.
604 words, about 3 min3The Prepaid Fee Before the Loan Estimate
On a Monday, originator Luis takes an application for a 280,000 purchase loan. The borrower, Ana, is eager and asks to 'get things moving.' Luis's company policy allows collecting a 500 application fee and a 450 appraisal fee up front.
578 words, about 3 min4The Referral Partner Who Wants a Cut
Originator Carla gets most of her purchase leads from 'Summit Realty.' Summit's broker, Tom, proposes a formal arrangement: for every loan Carla closes from a Summit referral, Carla's company will pay Summit a $400 'marketing fee' per closed loan, calculated as a percentage of the loan amount, and Summit will send Carla a monthly list of its clients' names, addresses, and estimated home prices so Carla can call them directly. Tom also asks Carla to pay for half of a co-branded mailer.
594 words, about 3 min5The Borrower Who Wants Income 'Smoothed'
Originator Ray is working with a borrower, Elena, on a 410,000 purchase. Elena is W-2 employed and earns a base salary of 78,000.
587 words, about 3 min