CRCM Consumer Protection Regulations

Question 1

Under the Truth in Lending Act (TILA), the Annual Percentage Rate (APR) must be disclosed to allow consumers to:

Accepted Answer

Compare the true cost of credit across different lenders

Answer

Negotiate a lower rate with the lender

Answer

Determine their credit score impact

Answer

Calculate their monthly insurance premium

Question 2

Regulation Z implements which federal consumer protection law?

Accepted Answer

Truth in Lending Act

Answer

Fair Credit Reporting Act

Answer

Electronic Fund Transfer Act

Answer

Fair Debt Collection Practices Act

Question 3

Under the Real Estate Settlement Procedures Act (RESPA), a kickback paid for the referral of settlement service business is:

Accepted Answer

Prohibited

Answer

Permissible if disclosed on the Closing Disclosure

Answer

Allowed if under $500

Answer

Required to be disclosed to the state regulator only

Question 4

The Servicemembers Civil Relief Act (SCRA) provides which protection to active duty military members?

Accepted Answer

Caps interest rates on pre-service debts at 6% during active duty

Answer

Eliminates all debt obligations during deployment

Answer

Requires banks to provide free checking accounts

Answer

Waives all mortgage payments during overseas deployment

Question 5

Under the Electronic Fund Transfer Act (EFTA), consumers have how many business days to report an unauthorized electronic fund transfer to limit liability to $50?

Accepted Answer

2 business days

Answer

10 business days

Answer

30 days

Answer

60 days

Question 6

The Military Lending Act (MLA) caps the Military Annual Percentage Rate (MAPR) for most consumer credit products at:

Accepted Answer

36%

Answer

18%

Answer

28%

Answer

50%