Trivia Quiz On Uniform Residential Loan Application

1.

When the LO takes an application entirely by phone, the LO must:

Complete the ethnicity, race and sex information based upon the person’s voice and name.

Check the box to indicate the information was provided in a telephone interview.

Both A and C

Answer: D – When the application is taken entirely by phone, the LO must request the ethnicity, race and sex information from the applicant. Prior to requesting the information, the LO must read the disclosure that explains why the information is being requested, that the applicant is not required to furnish it, that they may select more than one Race, and that the lender may not discriminate on the basis of the information or on whether the applicant has chosen to provide it (see the actual disclosure language on the Quick Reference Guide).

Explanation

Answer: D – When the application is taken entirely by phone, the LO must request the ethnicity, race and sex information from the applicant. Prior to requesting the information, the LO must read the disclosure that explains why the information is being requested, that the applicant is not required to furnish it, that they may select more than one Race, and that the lender may not discriminate on the basis of the information or on whether the applicant has chosen to provide it (see the actual disclosure language on the Quick Reference Guide).

2.

When the LO takes an application through the Internet web application and the applicant has checked both "I do not wish to furnish this information" and has completed the ethnicity and race information, the LO must:

Mark the Sex information based upon the applicant’s name.

Answer: C – When an application is received via the Internet, we are not required to complete any missing information. All HMDA information provided must be reported even if the applicant also marked that they do not wish to furnish the information.

Explanation

Answer: C – When an application is received via the Internet, we are not required to complete any missing information. All HMDA information provided must be reported even if the applicant also marked that they do not wish to furnish the information.

3.

Situation: The LO has an initial conversation with an applicant by phone and then sends the application to the applicant to complete. The applicant completes the ethnicity, race and sex information and mails the completed application back to the LO. In this situation the LO must mark that the information was provided:

In a face-to-face interview

By the applicant and submitted by fax or mail

In a telephone interview

By the applicant and submitted via the Internet.

Answer: B – The ethnicity, race and sex data was completed by the applicant and mailed to the LO. If, however, the LO asked the applicant for the ethnicity, race and sex information in a telephone interview, then the box for “in a telephone interview” must be checked.

Explanation

Answer: B – The ethnicity, race and sex data was completed by the applicant and mailed to the LO. If, however, the LO asked the applicant for the ethnicity, race and sex information in a telephone interview, then the box for “in a telephone interview” must be checked.

4.

When the LO takes an application in person and the applicant does not provide the ethnicity, race and sex information, the LO must:

The LO is not required to do anything because the applicant has declined to furnish the information.

The LO must complete the ethnicity, race and sex information based upon visual observation and surname.

Both B and C.

Answer: D – When an application is taken in person and the applicant does not want to furnish the information, we are required to 1) indicate that the applicant did not wish to furnish the information; and 2) document the ethnicity, race and sex-based upon visual observation or surname to the best of our ability.

Explanation

Answer: D – When an application is taken in person and the applicant does not want to furnish the information, we are required to 1) indicate that the applicant did not wish to furnish the information; and 2) document the ethnicity, race and sex-based upon visual observation or surname to the best of our ability.

5.

When an application is received by mail and the Borrower completes the ethnicity, race and sex information but the Co-Borrower has not marked anything, the LO must:

Complete the Co-Borrower information based upon a photo ID.

Mark “I do not wish to furnish this information” for the Co-Borrower.

Do nothing because the Co-Borrower has the choice of completing the information or not.

Answer: A – When an application is taken by mail, fax or Internet and the borrower or co-borrower information is not completed, we are required to report that the information was not completed because the application was taken by mail, fax or the Internet. The only action required is to mark the method by which the application was taken.

Explanation

Answer: A – When an application is taken by mail, fax or Internet and the borrower or co-borrower information is not completed, we are required to report that the information was not completed because the application was taken by mail, fax or the Internet. The only action required is to mark the method by which the application was taken.