Free Banking CRCM Exam Braindumps (page: 14)

The banking agencies issued two guidances to caution depository institutions about risks involved in funding non-depository lenders that engage in predatory lending. Predatory and abusive practices include:

  1. High-pressure sales
  2. Excessive fees and interest rate including fees for unnecessary products
  3. Balloon payments that may never cause foreclosures
  4. Excessive refinancing with fees included in the new loan

Answer(s): A,B



The banking agencies issued two guidances to caution depository institutions about risks involved in funding non-depository lenders that engage in predatory lending. Predatory and abusive practices include:

  1. High-pressure sales
  2. Excessive fees and interest rate including fees for unnecessary products
  3. Balloon payments that may never cause foreclosures
  4. Excessive refinancing with fees included in the new loan

Answer(s): A,B



Under Interagency Guidance on Subprime Lending (1999) lending policy must:

  1. Be appropriate to the size and complexity of the operation
  2. Address the types of products offers and those not authorized
  3. Require credit file documentation
  4. All of these

Answer(s): D



Under Interagency Guidance on Subprime Lending (1999) lending policy must:

  1. Be appropriate to the size and complexity of the operation
  2. Address the types of products offers and those not authorized
  3. Require credit file documentation
  4. All of these

Answer(s): D



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