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Ethics & Fraudmedium18% of exam

A loan file reviewer is training staff on examination, supervision, and enforcement using a consumer complaint response. Which statement is accurate?

Correct Answer

A) Investigate and correct the disparate treatment pattern

fair-lending review looks for discriminatory treatment, disparate impact, and redlining risks. 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 "Investigate and correct the disparate treatment pattern".

Answer Options
A
Investigate and correct the disparate treatment pattern
B
Proceed based only on borrower preference and document the file later.
C
Rely on sales practice rather than required verification, disclosure, or documentation.
D
Use a manager exception instead of the required federal mortgage rule.

Why This Is the Correct Answer

fair-lending review looks for discriminatory treatment, disparate impact, and redlining risks. 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 "Investigate and correct the disparate treatment pattern".

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