A mortgage file is paused during a risk-control review because of ECOA Fair Lending. Which answer should choose the most defensible file action?
Correct Answer
C) Review any neutral policy with discriminatory effect
Fair lending requires equal treatment and credit-related standards without prohibited-basis discrimination. The best answer is "Review any neutral policy with discriminatory effect".
Why This Is the Correct Answer
Fair lending requires equal treatment and credit-related standards without prohibited-basis discrimination. The best answer is "Review any neutral policy with discriminatory effect".
More Ethics & Fraud Questions
The loan team is resolving Privacy and Confidentiality during a quality-control sample. Which action best fits the rule?
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A disclosure specialist compares the file facts with Fraud Detection and Reporting during a new-hire scenario. Which conclusion is accurate?
Before the team acts on a production meeting, the MLO must address professional conduct standard to Borrowers. Which response is most defensible?
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