Vandyk Mortgage's Equal Treatment And Fair Lending Exam
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This is a quiz that asks different random questions that are designed to test your knowledge on how well you know tax computation and deduction terms. It might not be as easy as you think but just try it out to see how you will do.
- 1.When the applicant mentioned the last lender did not like her neighborhood and suggested she try another source, they may have violated which of the following laws?
- A.
RESPA
- B.
FCRA
- C.
ECOA
- D.
HMDA
- 2.The previous loan originator suggested the borrower apply with another lender because of her age. This is a clear violation of which Fair Lending Law?
- A.
Home Mortgage Disclosure Act
- B.
Truth in Lending Act
- C.
Equal Credit Opportunity Act
- D.
All of the above
- 3.Government monitoring questions are required to be asked under the Home Mortgage Disclosure Act. If the borrower chooses not to provide these answers and the application was taken face-to-face, what is the interviewer's responsibility?
- A.
Have the borrower sign a separate refusal form
- B.
Politely turn the loan down
- C.
Make a visual observation
- D.
Report the loan application as potential fraud
- 4.A non-minority couple applies for a loan to purchase a home. The loan originator provides them with information on a number of loan programs to which they may be eligible. A minority couple also applies for a loan to purchase a home. The loan originator discusses only FHA financing. Is it discrimination?
- A.
Yes
- B.
No
- 5.The following question applies to questions 5-10. Justin applies for a mortgage and he talks way too much. In his conversation with Loan Originator Tom, he shares several pieces of information. Determine whether or not Loan Originator Tom can consider the information or if he is prohibited from considering it."I have never had a checking account, credit card, or loan."
- A.
Yes
- B.
No
- 6.“I think I look old for my age. I’m 21, but think I look 35.”
- A.
Yes
- B.
No
- 7.“I am a member of the Church of Justin, a religious order founded on the premise that people named Justin have divine powers.”
- A.
Yes
- B.
No
- 8.“I am married, but sometimes wish I was not.”
- A.
Yes
- B.
No
- 9.“My Current income is all derived from social security payments.”
- A.
Yes
- B.
No
- 10.“I’m interested in a single payment loan, due in 13.5 Years.”
- A.
Yes
- B.
No
- 11.Applicant Patricia wants to buy a new ocean front, 5 bedroom, 11,000 square foot home. She meets with Loan Originator Jonathan to discuss applying for a mortgage. When Jonathan finds out what type of home she wants to buy he tells Patricia “You probably don’t make enough to afford that type of home. I wouldn’t even bother applying if I were you.”What should have Loan Originator Jonathan done instead?
- A.
Continued with the application process, but not bother processing the application.
- B.
Nothing, Jonathan did the right thing.
- C.
Continued with the application process as normal.
- D.
Suggest Patricia try for a less expense house, with a smaller loan sum.
- 12.Jane applies with Loan Originator Jonathan for a $100,000 unsecured loan to buy a vacation home in Florida. After underwriting the loan it is determined that Jane’s income is not sufficient to meet the debt to income guidelines of the loan program. Loan Originator Jonathan tells Jane that her loan cannot be approved unless her husband co-signs for the loan.Does Loan Originator Jonathan have a problem?
- A.
Yes
- B.
No
- 13.In the case of an applicant whose main source of income is Social Security Disability, it is perfectly acceptable for a lender to require more proof (than with other borrowers) that the income is going to continue, e.g. requiring a note from a Doctor stating that the disability is likely to continue for two years.
- A.
True
- B.
False
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