AFIP FINAL EXAM PREP Questions with verified
answers
a credit freeze stays in effect for: Ans✓✓✓ Until the customer thaws it
ADV: if you trigger on installment sale agreement ads you must tell:
Ans✓✓✓ - the amount or percentage of any down payment
- the terms of repayment
- APR
ADV: triggering terms for installment sale agreement: Ans✓✓✓ -The
amount of any down payment
- The number of payments
- the amount of any finance charge
an extended fraud alert stays in effect for: Ans✓✓✓ 7 years
An initial or active duty fraud alert stays in effect for: Ans✓✓✓ 1 year
any information found on the internet is: Ans✓✓✓ public information
at the time of consummation: Ans✓✓✓ the installment sale
agreement is between the customer and dealer
,Bad Advertisements (what happens): Ans✓✓✓ -A cease and desist
order
-a UDAP claim
-$43,792
Buy Here Pay Here 8300: Ans✓✓✓ The total amount received in cash
in a 12 month period that is over $10,000 needs to be listed on the IRS
8300
California Emissions warranties: Ans✓✓✓ -every emissions
components: 3 year/50,000 miles
-High-cost items: 7 year/70,000 miles
-PZEV: 15 year/150,000 miles
Can-Spam Act (Commercial Emails): Ans✓✓✓ - You cannot have a
fraudulent "From" line
- You cannot have a fraudulent "subject" line
- you must put ADV in the message
- you must give conspicuous "opt-out" option
- you must give a valid physical address of the sender
- the Ad opt-out option needs to be open for 30 days
- it has to be free
- you have to honor opt-out within 10 days
, Co-signer Notices: Ans✓✓✓ -must be in writing
- must be in the same language as the sale agreement
credit bureau's most influential factor Ans✓✓✓ payment quality
Criminal Penalties with regards to a material matter (IRS8300):
Ans✓✓✓ - Fines up to $100,000 (individual) and $500,000
(corporation)
- up to 5 years in jail
- Costs of prosecution
Customer disputes the accuracy of the credit report: Ans✓✓✓ -the
customer must submit a brief statement to the agency
- the agency conducts reasonable investigation
-within 30 days, they either affirm claim or take it off
Customer sues dealer, what can they get Ans✓✓✓ -plaintiffs actual
monetary damages
- statutory damages
-attorneys fees
court costs
answers
a credit freeze stays in effect for: Ans✓✓✓ Until the customer thaws it
ADV: if you trigger on installment sale agreement ads you must tell:
Ans✓✓✓ - the amount or percentage of any down payment
- the terms of repayment
- APR
ADV: triggering terms for installment sale agreement: Ans✓✓✓ -The
amount of any down payment
- The number of payments
- the amount of any finance charge
an extended fraud alert stays in effect for: Ans✓✓✓ 7 years
An initial or active duty fraud alert stays in effect for: Ans✓✓✓ 1 year
any information found on the internet is: Ans✓✓✓ public information
at the time of consummation: Ans✓✓✓ the installment sale
agreement is between the customer and dealer
,Bad Advertisements (what happens): Ans✓✓✓ -A cease and desist
order
-a UDAP claim
-$43,792
Buy Here Pay Here 8300: Ans✓✓✓ The total amount received in cash
in a 12 month period that is over $10,000 needs to be listed on the IRS
8300
California Emissions warranties: Ans✓✓✓ -every emissions
components: 3 year/50,000 miles
-High-cost items: 7 year/70,000 miles
-PZEV: 15 year/150,000 miles
Can-Spam Act (Commercial Emails): Ans✓✓✓ - You cannot have a
fraudulent "From" line
- You cannot have a fraudulent "subject" line
- you must put ADV in the message
- you must give conspicuous "opt-out" option
- you must give a valid physical address of the sender
- the Ad opt-out option needs to be open for 30 days
- it has to be free
- you have to honor opt-out within 10 days
, Co-signer Notices: Ans✓✓✓ -must be in writing
- must be in the same language as the sale agreement
credit bureau's most influential factor Ans✓✓✓ payment quality
Criminal Penalties with regards to a material matter (IRS8300):
Ans✓✓✓ - Fines up to $100,000 (individual) and $500,000
(corporation)
- up to 5 years in jail
- Costs of prosecution
Customer disputes the accuracy of the credit report: Ans✓✓✓ -the
customer must submit a brief statement to the agency
- the agency conducts reasonable investigation
-within 30 days, they either affirm claim or take it off
Customer sues dealer, what can they get Ans✓✓✓ -plaintiffs actual
monetary damages
- statutory damages
-attorneys fees
court costs
