Question 1

Choose the one most appropriate answer for each.
-the market value of a property less the debt against it

Accepted Answer

A) APR 
B) cash value 
C) credit report 
D) credit scoring 
E) equity
F)exempt transactions
G)Fair Credit Reporting Act
H)Federal Consumer Credit Protection Act
I)finance charge
J)illiquid assets
K)liquid assets
L)loan-to-value ratio
M)redlining
N)Regulation Z
O)right to rescission
P)settlement funds
Q)subprime loans
R)Truth-in-Lending Act
S)TILSRA
T)trigger term 
A) APR 
B) cash value 
C) credit report 
D) credit scoring 
E) equity
F)exempt transactions
G)Fair Credit Reporting Act
H)Federal Consumer Credit Protection Act
I)finance charge
J)illiquid assets
K)liquid assets
L)loan-to-value ratio
M)redlining
N)Regulation Z
O)right to rescission
P)settlement funds
Q)subprime loans
R)Truth-in-Lending Act
S)TILSRA
T)trigger term

Question 2

Regulation Z requires a lender to disclose

Accepted Answer

A)  interest charges expressed as dollars and percent. 
B)  dollar amount of any finance charge. 
C)  APR as a dollar amount. 
D)  all charges only as a percent. 
A)  interest charges expressed as dollars and percent. 
B)  dollar amount of any finance charge. 
C)  APR as a dollar amount. 
D)  all charges only as a percent.

Question 3

Choose the one most appropriate answer for each.
-the ratio of the amount of the loan to the appraised value of the property

Accepted Answer

A) APR 
B) cash value 
C) credit report 
D) credit scoring 
E) equity
F)exempt transactions
G)Fair Credit Reporting Act
H)Federal Consumer Credit Protection Act
I)finance charge
J)illiquid assets
K)liquid assets
L)loan-to-value ratio
M)redlining
N)Regulation Z
O)right to rescission
P)settlement funds
Q)subprime loans
R)Truth-in-Lending Act
S)TILSRA
T)trigger term 
A) APR 
B) cash value 
C) credit report 
D) credit scoring 
E) equity
F)exempt transactions
G)Fair Credit Reporting Act
H)Federal Consumer Credit Protection Act
I)finance charge
J)illiquid assets
K)liquid assets
L)loan-to-value ratio
M)redlining
N)Regulation Z
O)right to rescission
P)settlement funds
Q)subprime loans
R)Truth-in-Lending Act
S)TILSRA
T)trigger term

Question 4

The Federal Equal Credit Opportunity Act protects borrowers from discrimination based on

Accepted Answer

A)  handicap status. 
B)  familial status. 
C)  sexual preference. 
D)  marital status. 
A)  handicap status. 
B)  familial status. 
C)  sexual preference. 
D)  marital status.

Question 5

The Truth in Lending Act covers credit extended for a

Accepted Answer

A)  business or commercial transaction. 
B)  large apartment building. 
C)  mobile home which is used as a residence. 
D)  loan secured by a car valued at $30,000. 
A)  business or commercial transaction. 
B)  large apartment building. 
C)  mobile home which is used as a residence. 
D)  loan secured by a car valued at $30,000.

Question 6

A lender can legally discriminate in loan terms based on the applicant's

Accepted Answer

A)  religion. 
B)  marital status. 
C)  race or skin color. 
D)  intention to occupy (or not occupy) the mortgaged property. 
A)  religion. 
B)  marital status. 
C)  race or skin color. 
D)  intention to occupy (or not occupy) the mortgaged property.

Question 7

When advertising, a lender must disclose the closing costs.

Accepted Answer

A) True 
 B)False

Question 8

Choose the one most appropriate answer for each.
-federal regulations that implement the enforcement of the Truth-in-Lending Act

Accepted Answer

A) APR 
B) cash value 
C) credit report 
D) credit scoring 
E) equity
F)exempt transactions
G)Fair Credit Reporting Act
H)Federal Consumer Credit Protection Act
I)finance charge
J)illiquid assets
K)liquid assets
L)loan-to-value ratio
M)redlining
N)Regulation Z
O)right to rescission
P)settlement funds
Q)subprime loans
R)Truth-in-Lending Act
S)TILSRA
T)trigger term 
A) APR 
B) cash value 
C) credit report 
D) credit scoring 
E) equity
F)exempt transactions
G)Fair Credit Reporting Act
H)Federal Consumer Credit Protection Act
I)finance charge
J)illiquid assets
K)liquid assets
L)loan-to-value ratio
M)redlining
N)Regulation Z
O)right to rescission
P)settlement funds
Q)subprime loans
R)Truth-in-Lending Act
S)TILSRA
T)trigger term

Question 9

Choose the one most appropriate answer for each.
-credit information used in advertising that requires additional credit disclosures

Accepted Answer

A) APR 
B) cash value 
C) credit report 
D) credit scoring 
E) equity
F)exempt transactions
G)Fair Credit Reporting Act
H)Federal Consumer Credit Protection Act
I)finance charge
J)illiquid assets
K)liquid assets
L)loan-to-value ratio
M)redlining
N)Regulation Z
O)right to rescission
P)settlement funds
Q)subprime loans
R)Truth-in-Lending Act
S)TILSRA
T)trigger term 
A) APR 
B) cash value 
C) credit report 
D) credit scoring 
E) equity
F)exempt transactions
G)Fair Credit Reporting Act
H)Federal Consumer Credit Protection Act
I)finance charge
J)illiquid assets
K)liquid assets
L)loan-to-value ratio
M)redlining
N)Regulation Z
O)right to rescission
P)settlement funds
Q)subprime loans
R)Truth-in-Lending Act
S)TILSRA
T)trigger term

Question 10

The federal Equal Credit Opportunity Act prohibits discrimination based on age, sex, marital status and ____________________.

Accepted Answer

The answer of The federal Equal Credit Opportunity Act prohibits...

Question 11

Which of the following is given consideration in evaluation of a loan application?

Accepted Answer

A)  Race 
B)  Marital status 
C)  Sex 
D)  Income adequacy 
A)  Race 
B)  Marital status 
C)  Sex 
D)  Income adequacy

Question 12

In analyzing a mortgage loan application, it is illegal for a lender to consider marital status.

Accepted Answer

A) True 
 B)False

Question 13

When making a mortgage loan application, borrowers are protected from discrimination based on marital status by the

Accepted Answer

A)  Fair Credit Reporting Act. 
B)  Fair Housing laws. 
C)  Equal Credit Opportunity Act. 
D)  Real Estate Settlement Procedures Act. 
A)  Fair Credit Reporting Act. 
B)  Fair Housing laws. 
C)  Equal Credit Opportunity Act. 
D)  Real Estate Settlement Procedures Act.

Question 14

All of the following are important to a mortgage lender when determining whether or not to make a real estate loan EXCEPT

Accepted Answer

A)  the needs of the borrower. 
B)  the borrower's income. 
C)  the appraisal. 
D)  child support payments. 
A)  the needs of the borrower. 
B)  the borrower's income. 
C)  the appraisal. 
D)  child support payments.

Question 15

Choose the one most appropriate answer for each.
-refusal to make a real estate loan based solely on the location of the property

Accepted Answer

A) APR 
B) cash value 
C) credit report 
D) credit scoring 
E) equity
F)exempt transactions
G)Fair Credit Reporting Act
H)Federal Consumer Credit Protection Act
I)finance charge
J)illiquid assets
K)liquid assets
L)loan-to-value ratio
M)redlining
N)Regulation Z
O)right to rescission
P)settlement funds
Q)subprime loans
R)Truth-in-Lending Act
S)TILSRA
T)trigger term 
A) APR 
B) cash value 
C) credit report 
D) credit scoring 
E) equity
F)exempt transactions
G)Fair Credit Reporting Act
H)Federal Consumer Credit Protection Act
I)finance charge
J)illiquid assets
K)liquid assets
L)loan-to-value ratio
M)redlining
N)Regulation Z
O)right to rescission
P)settlement funds
Q)subprime loans
R)Truth-in-Lending Act
S)TILSRA
T)trigger term

Question 16

Under the truth in lending act, the cost of credit extended must be expressed as an

Accepted Answer

A)  actual percentage rate. 
B)  approximate percentage rate. 
C)  annual percentage rate. 
D)  average percentage rate. 
A)  actual percentage rate. 
B)  approximate percentage rate. 
C)  annual percentage rate. 
D)  average percentage rate.

Question 17

When considering loan applications, lenders like to see good ____________________ records.

Accepted Answer

The answer of When considering loan applications, lenders like to...

Question 18

Which of the following loans would be exempt from the disclosure requirements of the truth-in-lending laws?

Accepted Answer

A)  An unsecured personal loan of $3,000 
B)  An educational loan from a commercial bank 
C)  A second mortgage loan on a residence 
D)  A $30,000 loan for the purchase of a $40,000 automobile 
A)  An unsecured personal loan of $3,000 
B)  An educational loan from a commercial bank 
C)  A second mortgage loan on a residence 
D)  A $30,000 loan for the purchase of a $40,000 automobile

Question 19

Regulation Z deals with

Accepted Answer

A)  annual percentage rates. 
B)  escrow fees. 
C)  truth-in-lending. 
D)  statue of frauds. 
A)  annual percentage rates. 
B)  escrow fees. 
C)  truth-in-lending. 
D)  statue of frauds.

Question 20

With regard to truth in lending laws, "Only $1,000 down payment" is legally permissible to advertise, without further explanation.

Accepted Answer

A) True 
 B)False

Exam 11: The Loan and the Consumer

Choose the one most appropriate answer for each. -the market value of a property less the debt against it

Regulation Z requires a lender to disclose

Choose the one most appropriate answer for each. -the ratio of the amount of the loan to the appraised value of the property

The Federal Equal Credit Opportunity Act protects borrowers from discrimination based on

The Truth in Lending Act covers credit extended for a

A lender can legally discriminate in loan terms based on the applicant's

When advertising, a lender must disclose the closing costs.

Choose the one most appropriate answer for each. -federal regulations that implement the enforcement of the Truth-in-Lending Act

Choose the one most appropriate answer for each. -credit information used in advertising that requires additional credit disclosures

The federal Equal Credit Opportunity Act prohibits discrimination based on age, sex, marital status and ____________________.

Which of the following is given consideration in evaluation of a loan application?

In analyzing a mortgage loan application, it is illegal for a lender to consider marital status.

When making a mortgage loan application, borrowers are protected from discrimination based on marital status by the

All of the following are important to a mortgage lender when determining whether or not to make a real estate loan EXCEPT

Choose the one most appropriate answer for each. -refusal to make a real estate loan based solely on the location of the property

Under the truth in lending act, the cost of credit extended must be expressed as an

When considering loan applications, lenders like to see good ____________________ records.

Which of the following loans would be exempt from the disclosure requirements of the truth-in-lending laws?

Regulation Z deals with

With regard to truth in lending laws, "Only $1,000 down payment" is legally permissible to advertise, without further explanation.

Nature and Description of Real Estate

Rights and Interests in Land

Forms of Ownership

Transferring Title

Recordation Abstracts and Title Insurance

Contract Law

Real Estate Sales Contracts

Mortgage and Note

Deed of Trust

Lending Practices

Sources of Financing

Types of Financing

Taxes and Assessments

Title Closing and Escrow

Real Estate Leases

Real Estate Appraisal

Licensing Laws and Professional Affiliation

The Principal-Broker Relationship: Employment

The Principal-Broker Relationship: Agency

Fair Housing, Ada, Equal Credit, and Community Reinvestment

Condominiums, Cooperatives, Puds, and Timeshares

Property Insurance

Land-Use Control

Real Estate and the Economy

Investing in Real Estate

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