Hud Exam Prep With Complete Solutions(Graded A+)

Types of Credit Used - ANSWER-Student loan or credit cards only FAKO scores - ANSWER-purchase score which are educational score Fair Credit Reporting Act FCRA - ANSWER-what is in file/dispute/remove 30 days/remove bad 7 yrs/bk 10 yrs/access limited/damages from violators/state rights Fair and Accurate Credit Transactions Act FACTA - ANSWER-free cbrs/fraud alert/truncate cc #s Fair Credit Billing Act (FCBA) - ANSWER-dispute bill error/mail 60 days/creditor 30 days acknowledge and 90 days research. billed timely manner/14 days before payment due Tax Credits - ANSWER-Earned Income Tax Credit/EITC-low/moderate income ind/families. Net earnings from self employment-income/marital status/children. Educational credit-post seconday for ind/child. Child/Dependent Care Credit-work/look for work and paying a service. additional credits under 17yo. predatory lending - ANSWER-loan flipping-refi existing loan for more fees and interest Chap 13 bk - ANSWER-3-5 yr payment plan on all/part of debt, can stop foreclosure, cure delinquent mortgage payments, reschedule secured debts other than mortgage, lower payment, retain house/car Blockbusting - ANSWER-convince/attempt person to sell/rent due to entry/neighborhood of race/color/religion/familia/origin/disability Redlining - ANSWER-illegal practice to make residential loans due to race, neighborhood, origin, familia, sex, color Closing costs & Discount Points - ANSWER-Closing 3-4% and Discount 1% of total loan amount front end ratio / housing expense ratio - ANSWER-monthly housing exp/gross monthly income Gross Monthly Income (GMI) - ANSWER-hourly-10/hrx35hrsx52 wks/12......wkly 750x52wksx12=.....biwkly-1000.x26/12=....semimnth-1200.x2=...selfemploy-average gross 70587./24= back-end ratio - ANSWER-debt exp/gross debt to income ratio Affordability - ANSWER-FE/Conv 28, FHA 31, FHAEE 33, Rent 30....BE/Conv 36(45-50), FHA 43, FHAEE 45, Rent 36 Max Mnthly House Pymt - ANSWER-FERxgmi BERxgmi-debts 2nd mort/piggy back loan - ANSWER-lower 1st mort, avoid private morg ins, repairs, education mortg terms - ANSWER-interest only-pay only interest for a fixed term after borrower pays principal/interest, fixed rate-interest fixed 30 yrs or 10-15, Adjustable-interest adjust and has cap Loan-to-Value Ratio - ANSWER-LTV%=loan bal/sales price/appraised x 100 do