A mortgage lender plans to sell a portfolio of loans to another institution and wants to provide detailed borrower information to help the buyer evaluate the portfolio. Under GLBA, this transfer of information is:
Correct Answer
D) Permitted as part of a business transaction exception without additional consent
Under GLBA, financial institutions may share nonpublic personal information in connection with proposed or actual sales, mergers, transfers, or other business transactions involving all or part of the institution or its assets. This exception allows sharing necessary information for due diligence and transaction completion without additional customer consent.
Why This Is the Correct Answer
Under GLBA, financial institutions may share nonpublic personal information in connection with proposed or actual sales, mergers, transfers, or other business transactions involving all or part of the institution or its assets. This exception allows sharing necessary information for due diligence and transaction completion without additional customer consent.
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 information is NOT required to be included in an AfBA disclosure?
For a closed-end mortgage loan, when must the creditor provide the Closing Disclosure to the borrower?
For a purchase money mortgage with a loan amount of $400,000, which of the following represents the correct method for calculating the APR?
Which of the following fees would NOT be included in the finance charge calculation under TILA?
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?
Which of the following documents must be provided to trigger the start of the 3-day rescission period?
A borrower refinances their primary residence on Tuesday and receives the required TILA disclosures. Assuming no federal holidays, what is the last day they can exercise their right of rescission?
A borrower's mortgage payment includes principal, interest, taxes, insurance, and a monthly HOA fee collected by the lender. Which components are included in the finance charge calculation?
People Also Study
General Mortgage Knowledge
20% of exam
Mortgage Loan Origination Activities
27% of exam
Ethics, Fraud & Consumer Protection
18% of exam
Uniform State Test Content
11% of exam
Related Study Resources
Previous Question
A servicemember's spouse wants to obtain SCRA protections on a joint mortgage. Which statement is correct?
Next Question
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: