6/25/25, 9:23 AM AFIP CERTIFICATION TEST 2025 EXAM CURRENTLY TESTING NEWEST COMPLETE EXAM QUESTIONS WITH DETAILED V…
AFIP CERTIFICATION TEST 2025 EXAM CURRENTLY
TESTING NEWEST COMPLETE EXAM QUESTIONS
WITH DETAILED VERIFIED ANSWERS (100%
CORRECT ANSWERS) /A+ STUDY MATERIAL
Which is NOT listed as a Holder-in-Due Course Notice
mandated TILA box
disclosure?
In most states, the is deemed Buyer's Guide
to be
part of the purchase
agreement.
(True/False) Because the False
late charges that may be
imposed on an installment
sale
agreement are regulated at
the state level, the amount
of the late charge is NOT
a
required disclosure item.
At the time of consummation, Customer, Dealer
an
installment sale contract is
between the
_______ and the _.
The Truth in Lending Act and Personal, Family or Household
Reg. Z govern installment
sale transactions for
vehicles
purchased for what type(s) of
uses?
What is always the largest The total sale price
number on an installment
… 1/10
0
,6/25/25, 9:23 AM AFIP CERTIFICATION TEST 2025 EXAM CURRENTLY TESTING NEWEST COMPLETE EXAM QUESTIONS WITH DETAILED V…
sale agreement?
Allows the creditor to force place insurance - that is,
What does "force-placed" or
buy physical damage insurance to cover the creditor's
"creditor- placed" mean?
interest in the vehicle or the creditor's and the buyer's
interest in the vehicle if the buyer fails to do so.
(True/False) Installment True
sale agreements notify the
customer of the state's
laws
regarding repossession and
how (if
applicable) the customer
can redeem the vehicle or
reinstate the contract.
How are installment sale By federal and state law
contracts regulated?
(True/False) If the vehicle True
is declared a total loss,
the creditor may claim
the
proceeds from the physical
damage insurance.
A fixed amount of money borrowed for a specified
Closed-End Credit
period of time, such as for home mortgages, vehicle
purchases and other types of installment-based
financing.
Transaction -- Loan
Document -- Note
Closed-End Credit Cost of Credit -- Interest
Terminology (Customer Cost of credit stated as -- APR
Arranged) Parties to the agreement -- Lender- customer
Transaction -- Credit Sale
Document -- Installment Sale
Closed-End Credit Agreement Cost of Credit --
Terminology (Dealer Finance Charge
Arranged) Cost of credit stated as -- APR
Parties to the agreement -- Dealer- customer-assigned
to a lender or captive finance source
… 2/10
0
,6/25/25, 9:23 AM AFIP CERTIFICATION TEST 2025 EXAM CURRENTLY TESTING NEWEST COMPLETE EXAM QUESTIONS WITH DETAILED V…
The cost of credit (finance charge) is calculated upfront
Precomputed Interest
when the agreement is computed and repaid monthly
over its term.
The cost of credit (finance charge) is calculated daily
Simple Interest based on the outstanding balance and paid monthly.
For the customer, the only advantage to an agreement
based on simple interest finance charge is if it does
not run full term.
Most common method for calculating precomputed
interest. Allows the creditor to claim a greater
The Rule of 78s portion of the finance charge during the initial part
of the repayment period. Under the Rule of 78,
periods are weighted by comparing their numerical
values to the sum of all the digits of the periods.
The weights are applied in reverse, applying large
weights to early periods.
… 3/10
0
, 6/25/25, 9:23 AM AFIP CERTIFICATION TEST 2025 EXAM CURRENTLY TESTING NEWEST COMPLETE EXAM QUESTIONS WITH DETAILED V…
The term of the agreement is treated as being composed of equal
Pro Rata Refunds units, with a
refund based on an equal-unit apportionment of the
length of time the agreement has been in force.
A pickup payment may be Payable no later than the due date of the second
treated as part of the otherwise regularly scheduled payment, not subject
down payment if it is: to a finance charge, and not included in the amount
financed.
(True/False) In situations in False
which the customer has the
option of purchasing
credit insurance (when the
lender doesn't require the
coverage as a condition of
granting the loan), the dollar
amount of the premium
must be added to the
finance
charge and computed as part
of the APR.
A dealer may provide TILA and English
Reg. Z
disclosures in any
language, but they are
required to be made in
________________ upon
the
customer's request.
1) The amount or percentage of any downpayment
Triggering terms on an 2) The number of payments or period of repayment
advertisement for an 3) The amount of any payment
installment sale 4) The amount of any finance charge
-The amount or percentage of the downpayment
If any triggering terms are
-The terms of repayment; the number of payments and amount
used, an ad must also
of the payments
contain: -The annual percentage rate stated as APR
… 4/10
0
AFIP CERTIFICATION TEST 2025 EXAM CURRENTLY
TESTING NEWEST COMPLETE EXAM QUESTIONS
WITH DETAILED VERIFIED ANSWERS (100%
CORRECT ANSWERS) /A+ STUDY MATERIAL
Which is NOT listed as a Holder-in-Due Course Notice
mandated TILA box
disclosure?
In most states, the is deemed Buyer's Guide
to be
part of the purchase
agreement.
(True/False) Because the False
late charges that may be
imposed on an installment
sale
agreement are regulated at
the state level, the amount
of the late charge is NOT
a
required disclosure item.
At the time of consummation, Customer, Dealer
an
installment sale contract is
between the
_______ and the _.
The Truth in Lending Act and Personal, Family or Household
Reg. Z govern installment
sale transactions for
vehicles
purchased for what type(s) of
uses?
What is always the largest The total sale price
number on an installment
… 1/10
0
,6/25/25, 9:23 AM AFIP CERTIFICATION TEST 2025 EXAM CURRENTLY TESTING NEWEST COMPLETE EXAM QUESTIONS WITH DETAILED V…
sale agreement?
Allows the creditor to force place insurance - that is,
What does "force-placed" or
buy physical damage insurance to cover the creditor's
"creditor- placed" mean?
interest in the vehicle or the creditor's and the buyer's
interest in the vehicle if the buyer fails to do so.
(True/False) Installment True
sale agreements notify the
customer of the state's
laws
regarding repossession and
how (if
applicable) the customer
can redeem the vehicle or
reinstate the contract.
How are installment sale By federal and state law
contracts regulated?
(True/False) If the vehicle True
is declared a total loss,
the creditor may claim
the
proceeds from the physical
damage insurance.
A fixed amount of money borrowed for a specified
Closed-End Credit
period of time, such as for home mortgages, vehicle
purchases and other types of installment-based
financing.
Transaction -- Loan
Document -- Note
Closed-End Credit Cost of Credit -- Interest
Terminology (Customer Cost of credit stated as -- APR
Arranged) Parties to the agreement -- Lender- customer
Transaction -- Credit Sale
Document -- Installment Sale
Closed-End Credit Agreement Cost of Credit --
Terminology (Dealer Finance Charge
Arranged) Cost of credit stated as -- APR
Parties to the agreement -- Dealer- customer-assigned
to a lender or captive finance source
… 2/10
0
,6/25/25, 9:23 AM AFIP CERTIFICATION TEST 2025 EXAM CURRENTLY TESTING NEWEST COMPLETE EXAM QUESTIONS WITH DETAILED V…
The cost of credit (finance charge) is calculated upfront
Precomputed Interest
when the agreement is computed and repaid monthly
over its term.
The cost of credit (finance charge) is calculated daily
Simple Interest based on the outstanding balance and paid monthly.
For the customer, the only advantage to an agreement
based on simple interest finance charge is if it does
not run full term.
Most common method for calculating precomputed
interest. Allows the creditor to claim a greater
The Rule of 78s portion of the finance charge during the initial part
of the repayment period. Under the Rule of 78,
periods are weighted by comparing their numerical
values to the sum of all the digits of the periods.
The weights are applied in reverse, applying large
weights to early periods.
… 3/10
0
, 6/25/25, 9:23 AM AFIP CERTIFICATION TEST 2025 EXAM CURRENTLY TESTING NEWEST COMPLETE EXAM QUESTIONS WITH DETAILED V…
The term of the agreement is treated as being composed of equal
Pro Rata Refunds units, with a
refund based on an equal-unit apportionment of the
length of time the agreement has been in force.
A pickup payment may be Payable no later than the due date of the second
treated as part of the otherwise regularly scheduled payment, not subject
down payment if it is: to a finance charge, and not included in the amount
financed.
(True/False) In situations in False
which the customer has the
option of purchasing
credit insurance (when the
lender doesn't require the
coverage as a condition of
granting the loan), the dollar
amount of the premium
must be added to the
finance
charge and computed as part
of the APR.
A dealer may provide TILA and English
Reg. Z
disclosures in any
language, but they are
required to be made in
________________ upon
the
customer's request.
1) The amount or percentage of any downpayment
Triggering terms on an 2) The number of payments or period of repayment
advertisement for an 3) The amount of any payment
installment sale 4) The amount of any finance charge
-The amount or percentage of the downpayment
If any triggering terms are
-The terms of repayment; the number of payments and amount
used, an ad must also
of the payments
contain: -The annual percentage rate stated as APR
… 4/10
0
