SAFE MLO Ethical Conduct, Fair Lending & Advertising question: MLO posts on social media

SAFE MLOEthical Conduct, Fair Lending & Advertising

An MLO posts on social media: 'Buy with just $2,000 down this month.' Under Regulation Z, what else must the post disclose?

A Only the company's NMLS ID
B Nothing, because social media is not advertising
C Only the interest rate
D The down payment terms, repayment terms and the APR

Show the answer and explanation

Answer: D. The down payment terms, repayment terms and the APR

A stated down payment amount is a triggering term, requiring disclosure of the down payment, terms of repayment and the APR (and any rate increase after consummation) (12 CFR 1026.24(d)). Social-media posts promoting credit are advertisements. State law separately requires the NMLS ID. Source: 12 CFR 1026.24(d); CSBS/AARMR Model State Law, prohibited acts (as at 11 Oct 2026).

Common mistake

Assuming social-media posts are exempt from advertising rules.

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Original study material mapped to the public NMLS Content Outline; not a real test question.Not affiliated with or endorsed by NMLS, CSBS or SRR. Verify figures and rules against current guidance before relying on them.