A mortgage loan originator (MLO) should inform their company of potential fraud if the MLO:- A) suspects that a processor is changing pay stubs.- B) suspects that another MLO is co-sponsoring a real estate agent's promotional event.- C) overhears a processor requesting a rush approval on a VA loan.- D) receives multiple applications from an individual real estate agent for a new housing project.

a). If you suspect a processor is altering pay stubs there may be fraud related to document handling. If you are concerned about compliance with legal and ethical standards in the mortgage lending industry, you should contact the company. b). Although this may raise ethical dilemmas, the act of co-sponsoring a real estate agent's promotional program does not directly involve the possibility of fraud. Perhaps this situation is more conducive to internal company policies than reporting fraud. C).Although a processor requesting accelerated VA loan approval may cause some concern, it does not necessarily mean that fraud has occurred. who knows Maybe that has something to do with how serious the problem is.D). An estate agent may be engaging in fraudulent behavior if they receive multiple applications for new homes; However, this may just be a professional practice. Business growth may be the fault. As indicated in option A, when considering the potential for fraud, the main focus should be on actions involving manipulation or deception.So, According to the question the correct option is (A).suspects that a processor is changing pay stubs.

Answered: Reviewing All Questions A mortgage loan…

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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