Exam 27: Consumer Credit Transactions

Under the _____, a creditor may not ask a credit applicant to state sex, race, national origin, or religion.

Under the Fair Debt Collection Practices, collectors are no longer allowed to file suits in remote places in order to obtain default judgments.

Which of the following is true of the Truth in Lending Act?

In 1970, Congress enacted the _____ to give consumers access to their credit files in order to correct errors.

Critics of the Consumer Financial Protection Bureau assert that it unduly burdens creditors, banks, and financial institutions at the consumer level.

Tight limits on credit rates may harm low-income persons.

A written agreement in which the defendant in a lawsuit admits liability and accepts the amount of agreed-upon damages that must be paid to the plaintiff is known as a(n) _____ agreement.

In the 1960s married couples were sometimes told that a bank would grant them credit if the wife would get a hysterectomy.

The _____ is the total of all money paid for credit.

Outline some of the provisions of the Truth in Lending Act (TILA)?

The Fair Credit Billing Act gives the creditor three days to respond to and rectify claimed errors.

Garnishment, wage assignment, and confession of judgment are means of debt recovery.

The Home Mortgage Disclosure Act, 1975, and the Community Reinvestment Act, 1977, prohibit:

Although states may set their own usury rates, the penalties for violation are-like bankruptcy law-federal and uniform.

Title I of the Consumer Credit Protection Act is popularly known as the Truth in Lending Act.

Creditors who violate the Truth in Lending Act are subject to criminal sanctions but not civil sanctions.

_____ is a legal process by which a creditor can obtain a court order directing the debtor's employer or any party who owes money to the debtor to pay directly to the creditor a certain portion of the employee's wages until the debt is paid.

The Fair Credit Billing Act applies to unsatisfactory goods or services purchased by credit card.

Under the Equal Credit Opportunity Act a creditor may not ask if the credit applicant is married.

The federal wage-garnishment law states that an employee fired for having one debt garnished may sue the employer for damages.