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Ethics & Fraudeasy18% of exam

Sawyer receives conflicting instructions about conflicts of interest and Professional Standards and Compliance. Which instruction should control?

Correct Answer

A) Transfer the file if objectivity is compromised

conflicts must be disclosed, managed, and kept free of referral compensation or steering incentives. 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 "Transfer the file if objectivity is compromised".

Answer Options
A
Transfer the file if objectivity is compromised
B
Treat the compliance requirement as optional because closing is near.
C
Continue processing without correcting the disclosure, licensing, compensation, or consumer-protection issue.
D
Ignore the issue if the borrower orally agrees to continue.

Why This Is the Correct Answer

conflicts must be disclosed, managed, and kept free of referral compensation or steering incentives. 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 "Transfer the file if objectivity is compromised".

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