Hayden is training a new MLO on predatory lending and Predatory Lending Prevention. Which statement is accurate?
Correct Answer
B) Verify repayment ability before recommending the loan
predatory-lending concerns include unaffordable loans, equity stripping, flipping, and abusive high-cost features. This item uses an exam-style scenario; any file details in the stem are illustrative and the governing rule controls the compliant response. The best answer is "Verify repayment ability before recommending the loan".
Why This Is the Correct Answer
predatory-lending concerns include unaffordable loans, equity stripping, flipping, and abusive high-cost features. This item uses an exam-style scenario; any file details in the stem are illustrative and the governing rule controls the compliant response. The best answer is "Verify repayment ability before recommending the loan".
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