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350-601 Network Practice Question

A network engineer is configuring Cisco Nexus VXLAN with BGP EVPN. The VTEPs are using loopback0 as the NVE source. The physical interfaces are up, but the NVE interface remains down. What is the most likely cause?

⚠ Common exam trap

Cisco often tests the dependency of the NVE interface on underlay IP reachability, tricking candidates into focusing on NVE-specific configuration errors (like missing source-interface) rather than verifying the underlay routing for the loopback address.

Answer choices

Why each option matters

Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.

Correct answer & explanation

The loopback0 interface is not reachable via the underlay network.

The NVE interface requires the specified source interface (loopback0) to have IP reachability via the underlay network to establish VXLAN tunnels. If loopback0 is not reachable (e.g., due to missing OSPF/IS-IS routes or incorrect underlay configuration), the NVE interface will remain in a down state even if the physical interfaces are up. This is because the NVE interface depends on the underlay routing to encapsulate and forward VXLAN traffic.

Answer analysis

Option-by-option breakdown

For each option: why learners choose it and why it is or isn't the right answer here.

  • The loopback0 interface is not reachable via the underlay network.

    Why this is correct

    The NVE source must be routable in the underlay. If loopback0 is not advertised by IGP, the NVE interface stays down.

  • The NVE interface is not configured with source-interface.

    Why it's wrong here

    If source-interface were not configured, the NVE interface would not come up. But the scenario states the configuration is in place.

  • The VLAN 1 is not associated with the NVE interface.

    Why it's wrong here

    VLAN association is for VNI mapping, not for NVE interface state. The NVE interface state depends on source-interface reachability.

  • The loopback0 interface is not created.

    Why it's wrong here

    If loopback0 were not created, the switch would not accept 'source-interface loopback0' in the NVE configuration; it would be a config error, not just NVE down.

Visual reference

R1 R2 R3 R4 10 100 10 100 OSPF picks R1→R2→R4 (cost 20) over R1→R3→R4 (cost 200)

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Written by Johnson Ajibi, MSc IT Security

Senior Network & Security Engineer · founder of Courseiva

This 350-601 practice question is part of Courseiva's free Cisco certification practice question bank. Courseiva provides original exam-style practice questions with explanations, topic-based practice, mock exams, readiness tracking, and study analytics to help learners prepare for the 350-601 exam.