AFIP Exam Questions & Correct Answers (2026–2027
Update) – Complete Grade A Study Material
Introduction:
This document contains the full set of AFIP (Association of Finance &
Insurance Professionals) exam questions with 100% accurate
answers, updated for the 2026–2027 exam cycle. It covers key topics
such as advertising rules, the Holder Rule, Consumer Leasing Act
(Reg. M), Truth in Lending (Reg. Z), credit practices, OFAC
compliance, ECOA, Fair Credit Reporting Act, GAP coverage, fraud
alerts, identity theft rules, IRS 8300 reporting, privacy and
safeguard rules, disposal rules, Red Flags Rule, and dealership
compliance requirements. This is a complete study and preparation
resource designed to help candidates achieve a Grade A score on the
AFIP certification exam.
Exam Questions and Answers
66. What is not an Ad??--- correct answer --- Anything you intend
for only one person. The minute it goes to 2 people, it is an ad.
,67. If the dealer hires a company to do an illegal ad, who is
liable??--- correct answer --- Both the dealer and the company are
in trouble
68. What happens if you run a bad ad??--- correct answer --- The
FTC can issue a seize and assist order. UDAP Claim at the state or
federal level
FTC fine of $51,744
69. Explain the Holder Rule...?--- correct answer --- - Any Holder
of this consumer credit contract is subject to all claims and
defenses which the debtor could assert against the sellers of goods
or services obtained pursuant herto or with the proceeds herof.
Recovery hereunder by the debtor shall not exceed amounts paid by
the debtor hereunder.
- Whatever you can do to the dealer legally, you can take the
same action who accepts assignment of the contract It ties the
LENDER to the DEALER
70. Know who the holder is, the debtor, and the seller?--- correct
answer --- Holder - whoever accepts assignment
of the contract Seller - dealer Debtors - customer
, 71. (Consumer Leasing Act - Reg. M) Who owns the vehicle during
the lease??--- correct answer --- -
Leasing company does (lessor)
72. (Consumer Leasing Act - Reg. M) Have to tell the customer
how much they paid for the vehicle they are leasing. The price of
the vehicle being leased is provided where??--- correct answer ---
Gross Capitilazed Cost section of the lease agreement
73. Three components of a lease payment...?--- correct answer ---
Rent charge Depreciation
Amortized Amounts - sales tax amortized over sale of lease
74. Can you use the term APR in a lease??--- correct answer ---
Not in the United States.
75. On a lease what fees can you have??--- correct answer ---
early termination fee, excess mileage fee, and excess wear and use
fee
76. What are the provisions of a lease Ad??--- correct answer ---
1. Tell them it's a lease
2. Tell them how much is due at lease signing or delivery
3. Tell them the terms of the lease
Update) – Complete Grade A Study Material
Introduction:
This document contains the full set of AFIP (Association of Finance &
Insurance Professionals) exam questions with 100% accurate
answers, updated for the 2026–2027 exam cycle. It covers key topics
such as advertising rules, the Holder Rule, Consumer Leasing Act
(Reg. M), Truth in Lending (Reg. Z), credit practices, OFAC
compliance, ECOA, Fair Credit Reporting Act, GAP coverage, fraud
alerts, identity theft rules, IRS 8300 reporting, privacy and
safeguard rules, disposal rules, Red Flags Rule, and dealership
compliance requirements. This is a complete study and preparation
resource designed to help candidates achieve a Grade A score on the
AFIP certification exam.
Exam Questions and Answers
66. What is not an Ad??--- correct answer --- Anything you intend
for only one person. The minute it goes to 2 people, it is an ad.
,67. If the dealer hires a company to do an illegal ad, who is
liable??--- correct answer --- Both the dealer and the company are
in trouble
68. What happens if you run a bad ad??--- correct answer --- The
FTC can issue a seize and assist order. UDAP Claim at the state or
federal level
FTC fine of $51,744
69. Explain the Holder Rule...?--- correct answer --- - Any Holder
of this consumer credit contract is subject to all claims and
defenses which the debtor could assert against the sellers of goods
or services obtained pursuant herto or with the proceeds herof.
Recovery hereunder by the debtor shall not exceed amounts paid by
the debtor hereunder.
- Whatever you can do to the dealer legally, you can take the
same action who accepts assignment of the contract It ties the
LENDER to the DEALER
70. Know who the holder is, the debtor, and the seller?--- correct
answer --- Holder - whoever accepts assignment
of the contract Seller - dealer Debtors - customer
, 71. (Consumer Leasing Act - Reg. M) Who owns the vehicle during
the lease??--- correct answer --- -
Leasing company does (lessor)
72. (Consumer Leasing Act - Reg. M) Have to tell the customer
how much they paid for the vehicle they are leasing. The price of
the vehicle being leased is provided where??--- correct answer ---
Gross Capitilazed Cost section of the lease agreement
73. Three components of a lease payment...?--- correct answer ---
Rent charge Depreciation
Amortized Amounts - sales tax amortized over sale of lease
74. Can you use the term APR in a lease??--- correct answer ---
Not in the United States.
75. On a lease what fees can you have??--- correct answer ---
early termination fee, excess mileage fee, and excess wear and use
fee
76. What are the provisions of a lease Ad??--- correct answer ---
1. Tell them it's a lease
2. Tell them how much is due at lease signing or delivery
3. Tell them the terms of the lease
