Question 1

The Equal Credit Opportunity Act would not prohibit which of the following? First Bank refuses to extend credit to:

Accepted Answer

A)  females. 
B)  men over 70 years of age. 
C)  people with incomes below $10,000. 
D)  people from Italy. 
A)  females. 
B)  men over 70 years of age. 
C)  people with incomes below $10,000. 
D)  people from Italy. C

Question 2

The Credit Card Fraud Act prohibits which of the following practices?

Accepted Answer

A)  Possessing unauthorized cards. 
B)  Counterfeiting or altering credit cards. 
C)  Using accounts numbers alone. 
D)  Using cards obtained from a third party with his consent when the third party conspires to report the cards as stolen. 
E)  All of these are prohibited. 
A)  Possessing unauthorized cards. 
B)  Counterfeiting or altering credit cards. 
C)  Using accounts numbers alone. 
D)  Using cards obtained from a third party with his consent when the third party conspires to report the cards as stolen. 
E)  All of these are prohibited. E

Question 3

The Consumer Financial Protection Bureau has rulemaking, supervisory, and enforcement authority over all but which of the following?

Accepted Answer

A)  Persons engaged in extending credit and servicing loans. 
B)  Automobile dealers. 
C)  Check cashing establishments. 
D)  Persons engaged in deposit-taking activities. 
A)  Persons engaged in extending credit and servicing loans. 
B)  Automobile dealers. 
C)  Check cashing establishments. 
D)  Persons engaged in deposit-taking activities. B

Question 4

Federal regulation prohibits a credit seller or lender from obtaining a nonpossessory security interest in household goods if the interest is not a purchase money security interest.

Accepted Answer

A) True 
 B)False

Question 5

Lemon laws are generally understood to be laws that:

Accepted Answer

A)  apply to the safety of food additives for fruits and vegetables. 
B)  are federal legislation designed specifically to protect state consumers from fraudulent car manufacturers. 
C)  are state laws that attempt to provide new car purchasers with rights that are similar to full warranties under the Magnuson-Moss Act. 
D)  are Interstate Compacts to uniformly deal with lemon cars. 
A)  apply to the safety of food additives for fruits and vegetables. 
B)  are federal legislation designed specifically to protect state consumers from fraudulent car manufacturers. 
C)  are state laws that attempt to provide new car purchasers with rights that are similar to full warranties under the Magnuson-Moss Act. 
D)  are Interstate Compacts to uniformly deal with lemon cars.

Question 6

If a manufacturer of a consumer product tells a buyer that he is selling it with no warranties, there is a violation of the Magnuson-Moss Act.

Accepted Answer

A) True 
 B)False

Question 7

According to the FTC, Internet search engines' failure  to distinguish paid advertising from natural search results clearly and prominently could be a deceptive practice.

Accepted Answer

A) True 
 B)False

Question 8

The Federal Trade Commission was created in 1968 in response to the consumer movement of the 1960s.

Accepted Answer

A) True 
 B)False

Question 9

The Interstate Land Sales Full Disclosure Act (ILSA) applies to sales or leases of one hundred or more lots of unimproved land as part of a common promotional plan in interstate commerce. The Act:

Accepted Answer

A)  requires  a developer to file with HUD a detailed "statement of record" containing specified information about the subdivision and the developer before offering the lots for sale or lease. 
B)  pro-vides that a purchaser or lessee may revoke any contract or agreement for sale or lease at her option within seven days of signing the contract and that the contract must clearly pro-vide this right. 
C)  is administered by  the Consumer Financial Protection Bureau. 
D)  All of these statements are true. 
A)  requires  a developer to file with HUD a detailed "statement of record" containing specified information about the subdivision and the developer before offering the lots for sale or lease. 
B)  pro-vides that a purchaser or lessee may revoke any contract or agreement for sale or lease at her option within seven days of signing the contract and that the contract must clearly pro-vide this right. 
C)  is administered by  the Consumer Financial Protection Bureau. 
D)  All of these statements are true.

Question 10

The Fair Debt Collection Practices Act defines all of the following practices as abusive, EXCEPT:

Accepted Answer

A)  unfair means to collect a debt. 
B)  falsely representing that a lawsuit is about to be filed. 
C)  telephoning the debtor at 8:00 a.m. 
D)  using obscene language. 
A)  unfair means to collect a debt. 
B)  falsely representing that a lawsuit is about to be filed. 
C)  telephoning the debtor at 8:00 a.m. 
D)  using obscene language.

Question 11

The FCC's Open Internet rules protect and maintain open, uninhibited access to legal online content by prohibiting broadband internet access providers from blocking or slowing the delivery of internet content.

Accepted Answer

A) True 
 B)False

Question 12

The Consumer Financial Protection Bureau replaced the federal consumer financial regulatory system which had been split among the Office of the Comptroller of the Currency, Office of Thrift Supervision, FDIC, Federal Reserve, National Credit Union Administration, HUD, and the FTC.

Accepted Answer

A) True 
 B)False

Question 13

What remedies are available for the Federal Trade Commission?

Accepted Answer

A)  Affirmative exemption. 
B)  Corrective advertising and multiple product orders. 
C)  Impounding inventory. 
D)  Criminal penalties. 
A)  Affirmative exemption. 
B)  Corrective advertising and multiple product orders. 
C)  Impounding inventory. 
D)  Criminal penalties.

Question 14

The Truth-in-Lending Act would not require disclosure of the amount that would be due if the borrower had paid cash instead.

Accepted Answer

A) True 
 B)False

Question 15

A collection agency is prohibited from:

Accepted Answer

A)  calling the debtor in the middle of the night. 
B)  calling the debtor from 5-6 p.m. when he is likely to be eating dinner. 
C)  threatening to sue if it actually intends to do so. 
D)  contacting third persons to find out the whereabouts of a debtor. 
A)  calling the debtor in the middle of the night. 
B)  calling the debtor from 5-6 p.m. when he is likely to be eating dinner. 
C)  threatening to sue if it actually intends to do so. 
D)  contacting third persons to find out the whereabouts of a debtor.

Question 16

The United States Postal Service plays an important role in consumer protection.

Accepted Answer

A) True 
 B)False

Question 17

The FCC's Open Internet rules imposing net neutrality by regulating fixed and mobile broadband service providers as utilities were upheld  in a divided decision of a three-judge panel, but then repealed by the FCC in 2017 .

Accepted Answer

A) True 
 B)False

Question 18

The Fair Credit Reporting Act has to do with:

Accepted Answer

A)  bills that are incorrectly added. 
B)  credit checks done by potential lenders. 
C)  reports made by credit agencies. 
D)  All of these. 
E)  reports made by credit agencies and also  credit checks done by potential lenders. 
A)  bills that are incorrectly added. 
B)  credit checks done by potential lenders. 
C)  reports made by credit agencies. 
D)  All of these. 
E)  reports made by credit agencies and also  credit checks done by potential lenders.

Question 19

An employer must notify a job applicant or current employee that a credit report may be used and must obtain the applicant's consent prior to requesting an individual's credit report from a credit bureau.

Accepted Answer

A) True 
 B)False

Question 20

The Consumer Product Safety Commission cannot issue an order banning a hazardous product from the market.

Accepted Answer

A) True 
 B)False

Exam 44: Consumer Protection

The Equal Credit Opportunity Act would not prohibit which of the following? First Bank refuses to extend credit to:

The Credit Card Fraud Act prohibits which of the following practices?

The Consumer Financial Protection Bureau has rulemaking, supervisory, and enforcement authority over all but which of the following?

Federal regulation prohibits a credit seller or lender from obtaining a nonpossessory security interest in household goods if the interest is not a purchase money security interest.

Lemon laws are generally understood to be laws that:

If a manufacturer of a consumer product tells a buyer that he is selling it with no warranties, there is a violation of the Magnuson-Moss Act.

According to the FTC, Internet search engines' failure to distinguish paid advertising from natural search results clearly and prominently could be a deceptive practice.

The Federal Trade Commission was created in 1968 in response to the consumer movement of the 1960s.

The Interstate Land Sales Full Disclosure Act (ILSA) applies to sales or leases of one hundred or more lots of unimproved land as part of a common promotional plan in interstate commerce. The Act:

The Fair Debt Collection Practices Act defines all of the following practices as abusive, EXCEPT:

The FCC's Open Internet rules protect and maintain open, uninhibited access to legal online content by prohibiting broadband internet access providers from blocking or slowing the delivery of internet content.

The Consumer Financial Protection Bureau replaced the federal consumer financial regulatory system which had been split among the Office of the Comptroller of the Currency, Office of Thrift Supervision, FDIC, Federal Reserve, National Credit Union Administration, HUD, and the FTC.

What remedies are available for the Federal Trade Commission?

The Truth-in-Lending Act would not require disclosure of the amount that would be due if the borrower had paid cash instead.

A collection agency is prohibited from:

The United States Postal Service plays an important role in consumer protection.

The FCC's Open Internet rules imposing net neutrality by regulating fixed and mobile broadband service providers as utilities were upheld in a divided decision of a three-judge panel, but then repealed by the FCC in 2017 .

The Fair Credit Reporting Act has to do with:

An employer must notify a job applicant or current employee that a credit report may be used and must obtain the applicant's consent prior to requesting an individual's credit report from a credit bureau.

The Consumer Product Safety Commission cannot issue an order banning a hazardous product from the market.

Introduction to Law

Business Ethics

Civil Dispute Resolution

Constitutional Law

Administrative Law

Criminal Law

Intentional Torts

Negligence and Strict Liability

Introduction to Contracts

Mutual Assent

Conduct Invalidating Assent

Consideration

Illegal Bargains

Contractual Capacity

Contracts in Writing

Third Parties to Contracts

Performance Breach and Discharge

Contract Remedies

Introduction to Sales and Leases

Performance

Transfer of Title and Risk of Loss

Product Liability Warranties and Strict Liability

Sales Remedies

Form and Content

Transfer and Holder in Due Course

Liability of Parties

Bank Deposits Collections and Funds Transfers

Relationship of Principal and Agent

Relationship With Third Parties

Formation and Internal Relations of General Partnerships

Operation and Dissolution of General Partnerships

Limited Partnerships and Limited Liability Companies

Nature and Formation of Corporations

Financial Structure of Corporations

Management Structure of Corporations

Fundamental Changes of Corporations

Secured Transactions and Suretyship

Bankruptcy

Securities Regulation

Intellectual Property

Employment Law

Antitrust

Accountants Legal Liability

Environmental Law

International Business Law

Introduction to Property Property Insurance Bailments and Documents of Title

Interests in Real Property

Transfer and Control of Real Property

Trusts and Wills

Filters