Exam 46: Consumer Protection Laws

The Truth in Lending Act (TILA) provides a cancellation right, technically called a "right of revocation," for five (5) business days after the buyer's (debtor's) purchase on credit or after such time as the creditor makes the required disclosure.

According to Truth in Lending Act (TILA), charges on a stolen credit card that exceed $50 would generally:

What is the main idea behind the Holder in Due Course rule?

The Fair Debt Collection Practices Act (FDCPA) is enforced by the Interstate Commerce Commission (ICC).

Describe the Gramm-Leach-Bliley Act (GLBA) of 1999.

Ben entered into a contract with Clooney Construction Inc. under which Clooney agreed to do $40,000 worth of remodeling of his home. Clooney agreed that the contract price could be paid in installments, and that to secure these payments, Clooney would take out a second mortgage on Ben's home. The day after signing the contract, Ben had second thoughts and immediately hand-delivered a written notice to Clooney stating that he wanted to rescind the contract. Which of the following statements is true of this case?

Under the Fair Credit Reporting Act, a consumer who has been denied credit:

Under the Fair Credit Billing Act (FCBA), _____.

The principal purpose of the Fair Credit Reporting Act (FCRA) is to ensure that information concerning a person's credit background supplied to her creditors is both up-to-date and accurate.

What are the main goals of the Fair Credit Reporting Act (FCRA)? Under what conditions is this act not applicable?