EthicsQuestion 303 of 400
Under the prohibition on unfair, deceptive, or abusive acts or practices (UDAAP), a practice is 'deceptive' when it:
a.Merely charges a high but disclosed interest rate
b.Misleads or is likely to mislead a reasonable consumer to their detriment
c.Is legal in at least one other state
d.Is disclosed in fine print somewhere in the file
Explanation
A 'deceptive' act involves a material representation or omission likely to mislead a reasonable consumer acting reasonably. A lawful high disclosed rate is not by itself deceptive, legality elsewhere is irrelevant, and burying a fact in fine print can itself contribute to deception rather than cure it.
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