Passing The NMLS Examination And Getting Licensed As MLO
This Article On Passing The NMLS Examination And Getting Licensed As MLO Was UPDATED On October 15th, 2018
- Do you have 30 days that you can commit yourself?
- You cannot work a full-time job, have over time, and need time for your family and expect to be passing the NMLS Examination in 30 days
- I mention 30 days because the key in passing the NMLS Examination the first time around, it needs to be accomplished in 30 days or less due to the overwhelming amount of information a loan officer candidate needs to absorb
- You need to want to become a loan officer and take this task of passing the NMLS Examination the first time around extremely seriously or you will not pass
The key to passing the NMLS Examination is to go over hundreds if not thousands of multiple-choice test questions.
Statistics On Passing The NMLS Exam
Here are the general statistics according to the NMLS on the national pass numbers of loan officer candidates on the federal NMLS Exam:
- According to the NMLS, as of March 31, 2016, the national pass rate of the federal NMLS Examination is 65.5% for first-time test takers, 46.7 % for subsequent test-takers, and 61.31% overall
What does this mean for you? Well, for starters, if you want to take the NMLS exam and pass the first time you really need to develop a study plan and you need to commit to that study plan.
Passing The NMLS Examination And Importance Of Study Guides
- There are hundreds of different study materials out there so this can be a very daunting task
- Deciding what study material is a personal decision
- Maybe someone recommended a study guide for you
- In my case, a colleague recommended The Safe Mortgage Loan Origination National Exam Study Guide, by Patricia O’Connor
- This study guide is an easy read and there are practice questions at the end of each chapter, along with two final exams
- I would recommend taking the final exam number 1 before you even start reading the book
This will show you what areas you are weak in and you can focus on studying those areas more thoroughly than any other areas that you were stronger in.
Studying The Text And Book
- I made notes as I read, paying special attention to areas I was weaker in
- At the end of each chapter is a special points to remember the section
- I rewrote each of these points to help instill the topics into my mind
- I then took the chapter test at the end of each chapter
I continued with this method for every chapter.
Memorizing Practice Questions Versus Comprehending
- Now you are ready for the second final exam at the end of the book
- Hopefully, the previous study methods were enough to get you to pass the second final exam from the book
- Make sure you go through the final exam and review each of your incorrect answers
- In addition to reading the book, I would take as many practice tests as possible
- Your 20-hour pre-licensing course more than likely includes practice test questions
- I would recommend taking those tests
The more tests that you take, the more practice you will have in answering the real NMLS test questions.
Key Pointers Before Taking NMLS Exam
Most importantly, before the exam, make sure you get a good night of sleep. Don’t cram on test day because you want to be fresh and rested.
Here are important pointers for passing the NMLS exam:
Read each answer option
- For example, don’t just automatically choose to answer A
- I always start by reading the last answer choice and working my way to the first answer
- I would go with my first instinct on what the answer should be
- I have found in taking many exams, that erasing my answers and changing them resulted in me selecting the incorrect answer
- Make an educated choice if you are unsure of what the answer should be
- Never just pick any answer
- Most of the time, at least two of the answers are blatantly wrong
- If you can eliminate those, you have a 50/50 chance of selecting the correct answer
- If all else fails and you are unsure of what answer to choose, select the longest and most descriptive answer.
- Skip over questions that you absolutely don’t know
- Save for review and come back later to review it
- Read each question carefully
- Look for keywords such as except, always, or never
- Double check your math
- Use the calculator that the testing center provides you
- You don’t want to lose points from mistakes that can be avoided from simple calculation errors
- Make sure you don’t forget to answer each question
- Don’t skip questions and forget to go back to answer them
- If you are nervous take deep breaths and try to remain calm
Most important is to relax the night before the exam.
About The Author Of Passing The NMLS Examination
- Arlene DiSessa has over 20 years of experience with federal and state income tax returns and over ten years of experience in business taxation
- Including leading and conducting audits of global and national corporations
- Arlene DiSessa is a licensed mortgage loan originator and team leader with The Gustan Cho Team
Helping families realize the dream of homeownership become a reality is Arlene’s main mission and goals for choosing to become a loan officer at Gustan Cho Associates.
Excellent article. Great advice. I especially like don’t memorize the answers and find why you may answer wrong. Great advice.
Lol. You did great too, Larry. You aced the NMLS exam, I remember. You said that Florida was much tougher.
Arlene DiSessa is a phenomenal writer, Larry. This is great. We will have a team of writers for Gustan Cho Associates. Arlene DiSessa website is going to be http://www.mortgagelendingplace.com
Brian Borchard is my boss at The Money Store and I highly recommend Brian to anyone. If you are a branch manager looking for a home with a national full eagle mortgage lender and want to grow your business, contact Brian. Brian will work with you on creative ways of expanding your business and as long as it is compliant, he will give you full support and has your back. He is not like any other upper level executive I have met. He rolls up his sleeve and is extremely understanding and always is there to hear you out. Brian Borchard is bringing a lot of innovative ideas to The Money Store and is always reachable via email, text, or phone. Under the management of Brian Borchard, MLD MORTGAGE dba The Money Store is headed to the top. I recently left The Money Store to another company because I thought the grass was greener on the other side. Boy was I wrong. Brian reached out to me and wished me the very best and told me that I was always welcomed back. I did not last more than one month at the other mortgage company and contacted Brian. Brian welcome me and my team of loan officers back and has his staff make the transition as smooth as can be. Brian has moved up the ranks at MLD Mortgage dba The Money Store so he can related to his loan officers and branch managers. If you are a loan officer or branch manager and are looking to further your career in the mortgage banking business, Brian Borchard is the ultimate leader and mentor to guide you be the very best of the best that you can be. I cannot say enough good things to say about Mr. Borchard. A true five star natural born leader, boss, and friend. I have never ever met such a dedicated professional with such dedication to his employees like Brian Borchard.
Gustan Cho NMLS 873293
Branch Manager at The Money Store
Orland Park, Illinois