Federal Mortgage-Related Laws Flashcards
Revised loan estimates must involve a change caused amounts to increase by at least?
10%
The penalties for paying or accepting an illegal referral fees are?
up to $10,000 and up to 1 year of prison
Finance charges always include which of the folowing?
Mortgage broker fees
The Do Not Call Implementation Act authorizes the implementation enforcement of:
The Do Not Call Registry
The amount of down payment, finance charge, or the number of payments needed are all examples of ______under TILA?
Trigger Terms
When calculating finance charges in compliance with TILA, all of the following are included except?
Closing agent fees, when the borrower chooses the closing agent
The mandatory waiting period between insurance of disclosures and consummation may be waived
if the consumer requests a waiver due to a bon a fide financial emergency
Under TILA guidelines, all of the following disclosures are provided for an adjustable rate loan except?
Statement that the interest rate will be offered for the duration of the loan
Who has supervisory responsibilities for TILA compliance
CFPB (Consumer Financial Protection Bureau)
HOEPA (home ownership and equity protection act) does not apply to
Bridge loans to finance construction
If a creditor violates ECOA (Equal credit opportunity act) how many years does a consumer have to take civil action?
5
Under the homeowners Protection Act, borrowers can request that lenders cancel PMI when their loan balance is less than _____, or a lender may collect PMI until ____ loan to value is reached
80%, 78%
The servicing rules require live contract with a delinquent borrower?
By the 36th day of delinquency
The lender is permitted to deny an applicant credit based on?
the applicant lacks income stability
If a loan applicant chooses not to disclose his or her race on a loan application, what recourse does a mortgage officer have?
Note that the applicant has declined to answer and select race based on visual obervation
Fact on PMI
Loan services must give borrowers an annual disclosure stating that they may have the right to cancel their PMI
What fee can a creditor collect providing a loan estimate?
Credit report fee
Provisions included in the Dodd Frank Act, HOEPA was revised to extend its provision to?
Open-end transactions and purchase money mortgages
feature not allowed for a qualified mortgage?
adjustable interest rates
When must a closing disclosure be provided to the loan applicant under the TRID Rule?
no later than 3 business days prior to consummation
RESPA doesnt not apply to?
Loans for business, commercial, and agriculteral purposes
What federal staue serves to control the settlement costs of residential mortgage loans?
RESPA
Regulation B
To prohibit discriminatory treatment off credit applicants
If a creditor denies an application for a first lien mortgage, a copy of the appraisal
Must be provided within 30 days of the decision to deny
