Which of the following advertising statements would NOT be considered a trigger term under TILA?
Correct Answer
C) Affordable financing options available
Under TILA Section 226.24, general terms like 'affordable financing' are not trigger terms. Specific rates, payment amounts, and down payment amounts are trigger terms requiring additional disclosures.
Why This Is the Correct Answer
Under TILA Section 226.24, general terms like 'affordable financing' are not trigger terms. Specific rates, payment amounts, and down payment amounts are trigger terms requiring additional disclosures.
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?
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A manufactured home loan secured by both the home and land has a 35-year term, 41% DTI ratio, and no risky features. The borrower has excellent credit. What QM category might this loan qualify for?
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