RECA Fundamentals of Mortgage Brokerage 2023 Exam

h of the following is part of RECA's commitment to consumer protection? - AnswerWhat are some benefits that mortgage brokerage trade associations offer their members? - Answer- Licensing Standards for mortgage industry members Which entity has the authority to amend the Act? - Answer- Provincial Legislators Which of the following represents an accountability mechanism that RECA must comply with under the Act? - Answer- Previous Fiscal year In addition to mortgage brokerage trade associations, other organizations are involved with the industry. Choose the answer below that includes these other organizations. - Answer- Provincial Government, Alberta Real Estate Foundation Law Society of Alberta Federal Government Which of the following is an advantage to the borrower when assuming an existing mortgage? - Answer- Advantages. If the assumable interest rate is lower than current market rates, the buyer saves money straight away Most mortgages provide for a penalty that the borrower pays to the lender for early payment of the debt. Which best describes the penalty that most mortgages have? - Answer- the greater of interest rate differential or three months interest Which statement is correct when calculating the Total Debt Service (TDS) Ratio? - Answer- While the guidelines state that your GDS should be no more than 32% and your TDS should be no more than 40%, Which of the following is included in the definition of 'amortization period'? - AnswerThe amortization period is the length o