FinanceQuestion 81 of 120
The federal Truth in Lending Act (TILA) primarily requires lenders to:
a.Guarantee approval to all applicants
b.Set a maximum home price
c.Disclose credit terms and costs, including the annual percentage rate (APR)
d.Provide free appraisals
Explanation
TILA requires lenders to disclose key credit terms so borrowers can compare offers, including the finance charge and APR. The APR reflects the total yearly cost of credit as a percentage. TILA also governs certain advertising of credit terms.
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