2.8

Question 0

The Mortgage Servicing Transfer Disclosure Statement should be given to borrowers within ______ days of the loan application.

Answer 0

3

Question 1

The _______ form explains to the borrower that the servicing (the collection of the monthly payment) of their loan is sold or transferred to another organization.

Answer 1

Mortgage Servicing Transfer Disclosure Statement

Question 2

The Financial Modernization Act of 1999, also known as the “Gramm-Leach-Billey Act” protects ______.

Answer 2

consumers’ personal financial information

Question 3

True or False: Borrowers are customers of the lender.

Answer 3

True

Question 4

A loan originator legally represents _______.

Answer 4

his or her employer

Question 5

There are three principal parts to the privacy requirements: The Financial Privacy Rule, Safeguards Rule, and _______.

Answer 5

Pretexting Provisions

Question 6

The ______ is responsible for monitoring interest rates and instructing the loan originator when to “lock” the rate of choice.

Answer 6

borrower

Question 7

There are three principal parts to the privacy requirements: The _____, Safeguards Rule and Pretexting Provisions.

Answer 7

Financial Privacy Rule

Question 8

The Privacy Rule applies to ____ institutions.

Answer 8

financial

Question 9

The _____ is a law that gives consumers the right to have access to information about them that lenders, insurers, and others obtain from credit bureaus and use to make decisions about providing credit and other services.

Answer 9

Fair Credit Reporting Act

Question 10

There are three principal parts to the privacy requirements: The Financial Privacy Rule ______ and Pretexting Provisions.

Answer 10

Safeguards Rule

Question 11

Under RESPA rules, a service provider cannot force a borrower or buyer to use an affiliated settlement service company, but they can offer _______.

Answer 11

incentives

Question 12

The ______ Agreement would be used whenever the borrower wants a specific interest rate guaranteed.

Answer 12

Rate Lock/Float

Question 13

The _____ Agreement allows the mortgage company to verify account balances, credit history and copies of income tax returns.

Answer 13

Authorization to Release Information

Question 14

With a/an _______, the borrower agrees to pay for an appraisal, but understands that the mortgage company will own the document.

Answer 14

Appraisal Disclosure