CRMP Regulatory Compliance & Ethical Practices

Question 1

Which federal law primarily governs reverse mortgage disclosures?

Accepted Answer

Truth in Lending Act

Answer

Fair Credit Reporting Act

Answer

Real Estate Settlement Procedures Act

Answer

Home Mortgage Disclosure Act

Question 2

What ethical responsibility does a CRMP have when identifying potential elder abuse?

Accepted Answer

Report to the appropriate agency

Answer

Ignore and continue processing the application

Answer

Delay until final documents are signed

Answer

Inform a family member only

Question 3

Which federal agency oversees reverse mortgage advertising compliance?

Accepted Answer

CFPB

Answer

HUD

Answer

FTC

Answer

FHA

Question 4

Which regulation requires a clear explanation of costs in reverse mortgages?

Accepted Answer

Regulation X

Answer

Regulation Z

Answer

Regulation B

Answer

Regulation C

Question 5

What is a CRMP's obligation under the NRMLA Code of Ethics?

Accepted Answer

Act in the senior borrower's best interest

Answer

Maximize profits

Answer

Prioritize speed over clarity

Answer

Only follow company policy

Question 6

What should be done if a borrower's capacity is in doubt?

Accepted Answer

Refer for mental competency assessment

Answer

Ignore and proceed

Answer

Postpone counseling

Answer

Ask a family member to sign

Question 7

Which practice is considered unethical in CRMP conduct?

Accepted Answer

Steering client to unsuitable products

Answer

Providing HUD-approved counseling

Answer

Offering multiple product options

Answer

Disclosing all costs upfront

Question 8

What document must be given during reverse mortgage counseling?

Accepted Answer

TALC Disclosure

Answer

Annual percentage yield

Answer

Truth in Savings Notice

Answer

Credit Risk Score Report

Question 9

When must a CRMP act as a mandatory reporter?

Accepted Answer

If abuse is suspected

Answer

Only if the client asks

Answer

Never mandatory

Answer

If the family disagrees