West Virginia Mortgage Law Practice Test

Unlock All Questions

This demo only has 20 questions.

Our premium plan gives you access to hundreds of questions, flashcards, and exam simulations.

Unlock All Questions

Question: 1 / 20

When a mortgage loan is declined, within how many days must the lender provide the applicant with an Adverse Action Notice?

10 days

The correct timeframe for a lender to provide an Adverse Action Notice after declining a mortgage loan application is within 30 days. This requirement is set forth by the Equal Credit Opportunity Act (ECOA), which mandates that lenders inform applicants of denials and the reasons for those denials in a timely manner to ensure transparency and fairness in the lending process.

In this context, while you selected the option for 10 days, it's important to note that the requirement is actually 30 days. This allows the lender sufficient time to process the decision and properly inform the applicant about the status of their loan application, which includes reasons for the adverse action taken. By adhering to this 30-day timeframe, lenders remain compliant with federal regulations designed to protect consumers during the lending process.

15 days

20 days

30 days

Next Question

Report this question

Download West Virginia Mortgage Law Practice Test PDF Study Guide
Subscribe

Get the latest from Passetra

You can unsubscribe at any time. Read our privacy policy