A mortgage company shares customer account information with its affiliated insurance company to offer insurance products. Under GLBA, this sharing:
Correct Answer
A) Is permitted without opt-out rights for consumers
Under GLBA, sharing information among affiliated companies is generally permitted without providing consumers opt-out rights, though the sharing must still be disclosed in privacy notices.
Why This Is the Correct Answer
Under GLBA, sharing information among affiliated companies is generally permitted without providing consumers opt-out rights, though the sharing must still be disclosed in privacy notices.
More Federal Laws Questions
A mortgage broker's website states 'Qualified borrowers can get loans with down payments as low as 3%.' Which statement about TILA advertising requirements is correct?
A loan's APR increases from 4.25% on the Loan Estimate to 4.35% on the Closing Disclosure due to a rate lock expiration. What action is required?
Which of the following documents must be provided to trigger the start of the 3-day rescission period?
For a closed-end mortgage loan, when must the creditor provide the Closing Disclosure to the borrower?
Which information is NOT required to be included in an AfBA disclosure?
A lender quotes an APR of 4.25% on a mortgage loan, but the actual APR calculation results in 4.28%. Under TILA's APR accuracy tolerance, is this disclosure compliant?
Which of the following fees would NOT be included in the finance charge calculation under TILA?
For a purchase money mortgage with a loan amount of $400,000, which of the following represents the correct method for calculating the APR?
A servicer receives a borrower's written request for payoff information on Monday. The borrower needs the information for a refinance closing scheduled for the following Friday. When must the servicer provide an accurate payoff statement?
A lender provides a borrower with initial TILA disclosures showing an APR of 4.5%. Due to market changes, the final APR at closing is 4.625%. What disclosure requirement applies?
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A title company offers a 'loyalty program' where real estate agents earn points for each referral, redeemable for gift cards after 10 referrals. The title company argues this is not a per-transaction payment. Under RESPA, this program is:
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A mortgage company discovers that a former employee downloaded customer financial information to a personal device before termination and may have shared it with competitors. Under the Gramm-Leach-Bliley Act, what is the company's primary obligation regarding this potential breach?