Property Financial Corporation makes loans that qualify, under a Federal Reserve Board amendment to Regulation Z, as Higher-Priced Mortgage Loans (HPMLs). Quinn applies to Property Financial for an HPML. To make the loan, the lender must

A. convince an appraiser to inflate the value of the property.
B. impose a prepayment penalty for the duration of the loan.
C. structure the loan to specifically evade the HPML protections.
D. verify the borrower's ability to repay the loan.


Answer: D

Business

You might also like to view...

Answer the following statements true (T) or false (F)

1. If a contingency is remote, the company does not need to record a liability and does not need to disclose it in the notes to the financial statements. 2. A contingency was evaluated at year-end and considered to have a remote possibility of becoming an actual liability. If this is not reported on the balance sheet or in the notes to the financial statements, it could be considered a violation of generally accepted accounting principles. 3. A contingency was evaluated at year-end and considered to have a reasonable possibility of becoming an actual liability. If this was not reported on the balance sheet or in the notes to the financial statements, it could be considered a violation of generally accepted accounting principles. 4. Contingencies that are reasonably possible have a greater chance of occurring but are not likely. 5. Contingencies that are reasonably possible are not described in the notes to the financial statements.

Business

CRM firms focus on increasing their ________, not share of market

A) share of profit B) share of audience C) share of segment D) share of usage E) share of customers

Business

All of the following are categories described by the critical factors of compromise and confidence that determine the level of effectiveness in green products except

a. Win-win purchases b. Win-lose purchases c. Feelgood purchases d. Why bother? purchases

Business

The NAFTA provides MFN provisions for trade in services sectors

Indicate whether the statement is true or false

Business