What documentation must a servicemember provide to a lender to obtain SCRA interest rate reduction?
Correct Answer
B) Written notice and copy of military orders
Under SCRA Section 207, servicemembers must provide written notice and a copy of their military orders to the creditor. This documentation proves both military status and the dates of service for calculating the interest reduction period.
Why This Is the Correct Answer
Under SCRA Section 207, servicemembers must provide written notice and a copy of their military orders to the creditor. This documentation proves both military status and the dates of service for calculating the interest reduction period.
More Federal Laws Questions
A mortgage broker's website states 'Qualified borrowers can get loans with down payments as low as 3%.' Which statement about TILA advertising requirements is correct?
A loan's APR increases from 4.25% on the Loan Estimate to 4.35% on the Closing Disclosure due to a rate lock expiration. What action is required?
A lender originates a mortgage that meets all QM requirements. Three years later, the borrower defaults and claims the lender violated the ATR rule. What legal protection does the lender have?
For a closed-end mortgage loan, when must the creditor provide the Closing Disclosure to the borrower?
Which of the following documents must be provided to trigger the start of the 3-day rescission period?
People Also Study
General Mortgage Knowledge
23% of exam
Mortgage Loan Origination Activities
25% of exam
Ethics, Fraud & Consumer Protection
17% of exam
Uniform State Test Content
12% of exam
Previous Question
A lender receives a borrower's written request for PMI cancellation. Under the Homeowners Protection Act, the lender must respond within how many days?
Next Question
A mortgage loan originator discovers that a borrower has structured multiple cash deposits just under $10,000 to avoid CTR reporting requirements. This practice is known as: