EthicsQuestion 315 of 400
A loan officer leaves printed loan applications containing Social Security numbers on an unlocked desk overnight in a shared building. This most directly violates:
a.The RESPA Section 8 anti-kickback rule
b.The GLBA Safeguards Rule protecting NPI
c.The Loan Originator Compensation Rule
d.The Fair Housing Act
Explanation
Failing to physically secure documents containing NPI violates the GLBA Safeguards Rule, which requires safeguarding customer information. RESPA Section 8 addresses kickbacks, the LO Comp Rule addresses pay, and the Fair Housing Act addresses discrimination, none of which govern physical safeguarding of NPI.
Law Reference: Gramm-Leach-Bliley Act (Safeguards Rule)Practice all 400 questions free — no signup required.
Related questions on this topic
- Repeatedly refinancing a borrower's loan primarily to generate new fees, with little or no net benefit to the borrower, is a predatory practice known as:
- Which of the following is most characteristic of predatory lending?
- Under the Gramm-Leach-Bliley Act, a mortgage company's duty to protect customers' nonpublic personal information (NPI) primarily requires it to:
- Under GLBA, before a financial institution shares a consumer's NPI with certain nonaffiliated third parties, the consumer generally must be given:
- A title company pays a mortgage broker $200 for each loan referred to it, with no service performed in return. Under RESPA Section 8, this payment is:
- Which of the following payments is generally PERMITTED under RESPA Section 8?
Last reviewed: · editorial process
PrepPass Editorial Team · Verified against NMLS SAFE Mortgage Loan Originator National Test · How we review