Washington Designated Broker Test Prep Course how to become a WA Mortgage Broker

This course package is designed to prepare previously and currently licensed Washington MLOs to pass the Washington Designated Broker Test. The course package includes a non-credit version Washington 4 hour course which allows the user to review the relevant WA statutes and repreat the WA law question final assessment multiple times as well as download a searchable PDF. Additional resources includes TILA RESPA Federal law quizzes to further prepare applicant. Additional study resources available upon request, but not needed for 90+% of test takers.

Individuals seeking to become a Designated Broker (DB) in Washington must pass the Washington Designated Broker Test currently administered by PearsonVue. If the individual also wishes to originate loans, in addition to being DB for a company, he/she must apply for the MLO license and meet those license requirements. Click Here to see WA MLO Licensing Bundle for more information.

Designated Broker Checklist

As found on the checklist be prepared once having passed the exam to include with your lciense application.

Proof of Experience: Upload W2 or 1099 forms to demonstrate at least 2 years of experience in the residential mortgage loan industry within the

past five years. See WAC 208-660-250(1)(e). The upload should be under the document type Verification of Experience of the Individual Form.

Washington Department of Financial Institutions Designated Mortgage Broker Content Outline

The examination contains 50 scored items plus 5 unscored items. The unscored items are not identified and will not affect a candidate’s score in any way. Effective date: August 1, 2015

 Federal Laws and Regulations Regarding the Mortgage Industry (11-12 items)

  1. Real Estate Settlement Procedures Act
  2. Truth In Lending Act
  3. Equal Credit Opportunity Act
  4. Federal privacy laws
  5. USA Patriot Act
  6. Gramm-Leach-Bliley Act
  7. Consumer Credit Protection Act
  8. Other federal laws and regulations
  9. Fair Housing Act
  10. Home Mortgage Disclosure Act
  11. Home Ownership Equity Protection Act
  12. Home Ownership Protection Act (Private Mortgage Insurance—PMI)
  13. Fair Credit Reporting Act 

General Mortgage Information (1-2 items)

  1. Program types [Fannie Mae, Freddie Mac, FHA, etc.]
  2. Appraisals
  3. Documentation types
  4. Credit evaluation
  5. Settlement services and processes
  6. Mortgage Calculations
  7. APR
  8. Amount financed
  9. Payment & amortization 

III. Ethics in the Mortgage Industry (3 items)

  1. Appraisal
  2. RESPA Section VIII Violation
  3. Prohibited Practices—RCW 19.146.0201 

Washington Laws and Rules Pertaining to the Mortgage Industry (33-34 items)

  • Mortgage Broker Practices Act
  • Trust Accounting
  • Compliance (enforcement)
  • Disclosure Requirements
  • Loan Estimate
  • Closing Disclosure
  • Consumer booklets
  • 1003
  • Washington rate lock disclosure
  • Disclosure statement
  • General disclosure requirements
  • Supervisory role of designated mortgage broker
  • Related WA laws and rules
  • Washington Consumer Loan Act
  • Usury Act
  • Consumer Protection Act
  • Escrow Agent Registration Act

Information on the Washington Mortgage Broker Exam Manual (What the state of WA uses to perform an exam on a mortgage broker company)

The Mortgage Broker Examination Manual (MB Manual) is a reference guide for licensees under the Mortgage Broker Practices Act (MBPA) licensed by the Department of Financial Institutions, Division of Consumer Services (department).

Licensees are expected to have read the MBPA and the rules (chapters 19.146 RCW (Revised Code of Washington) and 208-660 WAC (Washington Administrative Code). This MB Manual is designed to assist licensees in preparing for an examination and does not replace the licensee’s obligation to read and comply with the requirements of the MBPA. This manual is not intended to itemize every document, question, or review the department conducts during an exam; rather, it is a tool to assist the licensee by providing common questions or reviews the examiner may ask or conduct during the examination. Reliance on this manual does not absolve the licensee from violations of the MPBA discovered by the department during an examination.

The main purposes of mortgage broker examinations are to:

  • Support the department’s mission to protect the public, educate industry, and promote economic vitality.
  • Assess the licensee’s compliance with applicable state laws and federal regulations.
  • Determine if the licensee is being managed in a safe and sound manner. Commence supervisory corrective action when internal controls are deficient, when prohibited practices are identified, or when significant violations of law are discovered.

This MB Manual is subject to periodic revision based on changes in examination techniques, Washington laws and administrative rules, and applicable federal laws and regulations.

Click here to open the WA Mortgage Broker exam manual

Washington Designated Broker Course
This course package is designed to prepare previously and currently licensed Washington MLOs to pass the Washington Designated Broker Test. The course package includes a non-credit version Washington 4 hour course which allows the user to review the relevant WA statutes and repreat the WA law question final assessment multiple times as well as download a searchable PDF. Additional resources includes TILA RESPA Federal law quizzes to further prepare applicant. Additional study resources available upon request, but not needed for 90+% of test takers.
Individuals seeking to become a Designated Broker (DB) in Washington must pass the Washington Designated Broker Test currently administered by PearsonVue. If the individual also wishes to originate loans, in addition to being DB for a company, he/she must apply for the MLO license and meet those license requirements. Click Here to see WA MLO Licensing Bundle for more information.
Designated Broker Checklist
As found on the checklist be prepared once having passed the exam to include with your lciense application.
Proof of Experience: Upload W2 or 1099 forms to demonstrate at least 2 years of experience in the residential mortgage loan industry within the
past five years. See WAC 208-660-250(1)(e). The upload should be under the document type Verification of Experience of the Individual Form.

Washington Department of Financial Institutions Designated Mortgage Broker Content Outline


The examination contains 50 scored items plus 5 unscored items. The unscored items are not identified and will not affect a candidate’s score in any way. Effective date: August 1, 2015

  1. Federal Laws and Regulations Regarding the Mortgage Industry (11-12 items)

  2. Real Estate Settlement Procedures Act

  3. Truth In Lending Act

  4. Equal Credit Opportunity Act

  5. Federal privacy laws

  6. USA Patriot Act

  7. Gramm-Leach-Bliley Act

  8. Consumer Credit Protection Act

  9. Other federal laws and regulations

  10. Fair Housing Act

  11. Home Mortgage Disclosure Act

  12. Home Ownership Equity Protection Act

  13. Home Ownership Protection Act (Private Mortgage Insurance—PMI)

  14. Fair Credit Reporting Act


 

  1. General Mortgage Information (1-2 items)

  2. Program types [Fannie Mae, Freddie Mac, FHA, etc.]

  3. Appraisals

  4. Documentation types

  5. Credit evaluation

  6. Settlement services and processes

  7. Mortgage Calculations

  8. APR

  9. Amount financed

  10. Payment & amortization


 
III. Ethics in the Mortgage Industry (3 items)

  1. Appraisal

  2. RESPA Section VIII Violation

  3. Prohibited Practices—RCW 19.146.0201


 

  1. Washington Laws and Rules Pertaining to the Mortgage Industry (33-34 items)

  2. Mortgage Broker Practices Act

  3. Trust Accounting

  4. Compliance (enforcement)

  5. Disclosure Requirements

  6. Loan Estimate

  7. Closing Disclosure

  8. Consumer booklets

  9. 1003

  10. Washington rate lock disclosure

  11. Disclosure statement

  12. General disclosure requirements

  13. Supervisory role of designated mortgage broker

  14. Related WA laws and rules

  15. Washington Consumer Loan Act

  16. Usury Act

  17. Consumer Protection Act

  18. Escrow Agent Registration Act


Information on the Washington Mortgage Broker Exam Manual (What the state of WA uses to perform an exam on a mortgage broker company)
The Mortgage Broker Examination Manual (MB Manual) is a reference guide for licensees under the Mortgage Broker
Practices Act (MBPA) licensed by the Department of Financial Institutions, Division of Consumer Services (department).
Licensees are expected to have read the MBPA and the rules (chapters 19.146 RCW (Revised Code of Washington) and
208-660 WAC (Washington Administrative Code). This MB Manual is designed to assist licensees in preparing for an
examination and does not replace the licensee’s obligation to read and comply with the requirements of the MBPA. This
manual is not intended to itemize every document, question, or review the department conducts during an exam;
rather, it is a tool to assist the licensee by providing common questions or reviews the examiner may ask or conduct
during the examination. Reliance on this manual does not absolve the licensee from violations of the MPBA discovered
by the department during an examination.
The main purposes of mortgage broker examinations are to:
 Support the department’s mission to protect the public, educate industry, and promote economic vitality.
 Assess the licensee’s compliance with applicable state laws and federal regulations.
 Determine if the licensee is being managed in a safe and sound manner.
 Commence supervisory corrective action when internal controls are deficient, when prohibited practices are
identified, or when significant violations of law are discovered.
This MB Manual is subject to periodic revision based on changes in examination techniques, Washington laws and
administrative rules, and applicable federal laws and regulations.
Click here to open the WA exam manual