ACME National bank uses telephone solicitations to sell its debt cancellation contracts. The banker explains to the borrower the nature of the contract, gives an oral short form disclosure, receives the customer's affirmative election orally, and sends the written long form disclosures and written affirmative election within three business days. Is the bank in compliance with the telephone solicitation rules as they apply to affirmative elections?
- Yes, the bank has fulfilled all of its requirements.
- No, oral affirmative elections are not acceptable.
- No, the bank also must give the customer 30 days to cancel the contract.
- No, telephone solicitations are not allowed for debt cancellation contracts.
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