A mortgage team asks a sponsorship reviewer about HOEPA high-cost mortgage rules during a state-law refresher. Which answer should guide the file?
Correct Answer
B) Apply high-cost mortgage restrictions before consummation
HOEPA/high-cost mortgage rules use rate, points-and-fees, and prepayment-penalty triggers and restrict risky terms. The best answer is "Apply high-cost mortgage restrictions before consummation".
Why This Is the Correct Answer
HOEPA/high-cost mortgage rules use rate, points-and-fees, and prepayment-penalty triggers and restrict risky terms. The best answer is "Apply high-cost mortgage restrictions before consummation".
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