Definitions

Question 1

Negative factor or value

Answer 1

Utilizing a factor, value, or wait that is less favorable to elderly applicants than warranted by the applicants experience, or that is less favorable than factor, value, or weights assigned to people who are non-elderly and or most favored by a credit on the basis of age

Question 2

Marital status

Answer 2

The state of being unmarried, married or separated, according to applicable state laws. Unmarried refers to persons who are single, divorced, or widowed. These are the only terms that critters are allowed to use when making inquiries related to marital status under a ECOA.

Question 3

Good faith

Answer 3

Honesty and conducting a transaction.

Question 4

Elderly

Answer 4

Age 62 or older

Question 5

Prohibited basis

Answer 5

Race, Color, religion, national origin, sex, marital status, age as long as the loan application is old enough to enter a contract, receipt of income for my public assistance program, exercise of rights under the consumer credit protection act which includes the truth in lending act

Question 6

Notice of action taken

Answer 6

Within 30 days of receipt of a loner credit application, lenders must notify consumers in writing of action taken.

Question 7

Acceptable reasons for denial

Answer 7

One. The applicant is not a legal age to enter into a contract. Two. The applicant failed to demonstrate sufficient credit worthiness, based on consideration of permitted factors, such as income and credit history.
3. Yep looking failed to submit information needed to complete the application.

Question 8

Notice of incomplete application

Answer 8

Within 30 days of receipt of an application that lacks information that the applicant can provide, the credit must provide a notice of action or a notice of incompleteness.

Question 9

HMDA

Answer 9

Home mortgage disclosure act

Question 10

Record retention

Answer 10

25 months after notifying an application of action taken or of incompleteness, the creator must retain the following records.

Question 11

Overt discrimination

Answer 11

Includes discriminatory actions such as a blatant refusal to offer a credit to an individual due to his or her ethnicity or religion.

Question 12

Disparate treatment

Answer 12

When a creditor treats and loan applicant who is a member of a protected class differently from other loan applicants who are similarly situated but not members of a protected class, The creditor is engaging in disparate treatment.

For example, if a credit or offers a loan with a higher interest rate to a female loan applicant who is income and employment is comparable to that of a mail applicant who received an offer for a loan at a lower interest rate, the violation of a ECOA has occurred.

Question 13

Disparate impact

Answer 13

When a credit adopts a neutral policy without discriminatory intent, and the policy has a discriminatory impact, this is known as disparate impact, and there is some potential for liability under ECOA.

Question 14

ECOA

Answer 14

Equal credit opportunity act

Question 15

Testers

Answer 15

Are pairs of individuals that poses long applicants who are used to evaluate the treatment of members of a protected class.

Question 16

Consummation

Answer 16

The time that a consumer becomes Contractually obligated on the credit transaction.

Question 17

Finance charge

Answer 17

The cost of credit as a dollar amount

Question 18

Annual percentage rate

Answer 18

A measure of the cost of credit, expressed as a yearly rate

Question 19

TILA

Answer 19

Truth in lending act

Question 20

CHARM Booklet

Answer 20

Consumer handbook on adjustable rate mortgages

Question 21

Rescission

Answer 21

A legal remedy that void the contract between two parties, restoring each to the position held prior to the transaction.

Question 22

RESPA

Answer 22

Real estate settlement procedures act

Question 23

HOEPA

Answer 23

The home ownership and equity protection act. High cost mortgages

Question 24

TRID

Answer 24

TILA-RESPA Integrated Disclosure Rule - the loan estimate, That is intended to help consumers compare costs and shop competitively for mortgages.

Question 25

Loan Estimate

Answer 25

Must be delivered directly to the consumer placed in the mail no more than three business days after the question receives the consumers application and no later than seven business days prior to consummation.

Question 26

HMDA

Answer 26

Home mortgage disclosure act

Goal is to identify urban areas where the availability of home financing at reasonable terms is listed.

Question 27

FCRA

Answer 27

Fair credit reporting act

To ensure the accuracy furnace and privacy of consumers personal information that is assembled and used by consumer reporting agency’s