AFIP Questions with verfied answers
"Consumer" is defined as an individual who obtains or has obtained a
financial product or service from a financial institution to be used for
personal, family or household purposes, including individuals who apply
for credit or provide nonpublic personal information to you to find out
if they qualify for a loan, even if a loan is never extended.
A. True
B. False Ans✓✓✓ TRUE
$58,300 Ans✓✓✓ The maximum dollar amount covered by the Truth
in Lending Act/Reg. Z and the Consumer Leasing Act/Reg. M is
$_________?
5,000, one Ans✓✓✓ The criminal penalties for an F&I practitioner
violating the Consumer Leasing Act/Reg. M can result in a fine of up to
$_______ and up to _______ year(s) in jail or both.
60 Ans✓✓✓ If an error has been made, to avoid civil liability, an F&I
professional can, within ________ days of discovering the error (and
before being sued by the customer for the error), notify the customer
of the error and make the necessary adjustments to ensure the
customer will not be required to pay an amount in excess of the charge
actually disclosed or the dollar equivalent of the APR actually disclosed?
,A "customer," means a consumer who has purchased or leased a
vehicle from you and has a "customer relationship" or "established
business relationship" with you.
A. True
B. False Ans✓✓✓ true
A car dealership is not subject to CAN-SPAM Regulations:
A. True
B. False Ans✓✓✓ false
A contract can be defined as an agreement that includes _______.
Ans✓✓✓ A promise or set of promises that the law enforces or
protects
A credit-challenged customer paid $15,000 cash down for a vehicle with
the $27,000 balance to be financed. However, no credit source would
accept the deal, even with the large downpayment, and the transaction
was terminated. In this case, _______ Ans✓✓✓ The dealership must
file the Form 8300 if the someone at the dealership was in receipt of
the cash exceeding the filing requirement.
A customer makes weekly payments in cash to a dealership as a lease
payment or loan payment on a vehicle. During a 12-month period,
these payments total more than $10,000. These payments are
considered related transactions and dealership is required to file a
Form 8300.
,A. True
B. False Ans✓✓✓ true
A dealer can accept a vehicle if the odometer disclosure statement is
incomplete?
A. True
B. False Ans✓✓✓ FALSE
A dealer can accept a vehicle if the odometer disclosure statement is
incomplete?
A. True
B. False Ans✓✓✓ FALSE
A dealer does not need an Identity Theft Prevention Program if the
dealer processes all requests for credit through a credit portal that uses
their own established set of red flags.
A. True
B. False Ans✓✓✓ False
A Dealer Participation Rate Modification form (Disparate Pricing) should
be signed by the customers?
A. True
B. False Ans✓✓✓ B. False
, This is a form completed by management after a deal completes and
does NOT need to be seen by a customer.
A dealer receives a cease and desist order for an ad they ran that
violated Truth in Lending Act/Reg. Z. If that dealership continues to run
the ad, what are the potential penalties? Ans✓✓✓ C. The dealer could
be required to pay a fine of up to $43,792 per day, per violation.
A dealer voluntarily choose NOT to sell a car as is. The dealer does NOT
provide an express written warranty. The window sticker must indicate
the vehicle sold with ________? Ans✓✓✓ Implied warranties only
A dealer voluntarily chooses NOT to sell a car as is. The dealer does NOT
provide an express written warranty. The window sticker must indicate
the vehicle is sold with _______.
A. Implied warranties only
B. Limited warranties only
C. Full warranties only Ans✓✓✓ A. Implied warranties only
A dealer who is the original creditor in a three-party financing
transaction must provide either a Risk Based Pricing Notice or Exception
Notice to consumers?
A. True
B. False Ans✓✓✓ TRUE
"Consumer" is defined as an individual who obtains or has obtained a
financial product or service from a financial institution to be used for
personal, family or household purposes, including individuals who apply
for credit or provide nonpublic personal information to you to find out
if they qualify for a loan, even if a loan is never extended.
A. True
B. False Ans✓✓✓ TRUE
$58,300 Ans✓✓✓ The maximum dollar amount covered by the Truth
in Lending Act/Reg. Z and the Consumer Leasing Act/Reg. M is
$_________?
5,000, one Ans✓✓✓ The criminal penalties for an F&I practitioner
violating the Consumer Leasing Act/Reg. M can result in a fine of up to
$_______ and up to _______ year(s) in jail or both.
60 Ans✓✓✓ If an error has been made, to avoid civil liability, an F&I
professional can, within ________ days of discovering the error (and
before being sued by the customer for the error), notify the customer
of the error and make the necessary adjustments to ensure the
customer will not be required to pay an amount in excess of the charge
actually disclosed or the dollar equivalent of the APR actually disclosed?
,A "customer," means a consumer who has purchased or leased a
vehicle from you and has a "customer relationship" or "established
business relationship" with you.
A. True
B. False Ans✓✓✓ true
A car dealership is not subject to CAN-SPAM Regulations:
A. True
B. False Ans✓✓✓ false
A contract can be defined as an agreement that includes _______.
Ans✓✓✓ A promise or set of promises that the law enforces or
protects
A credit-challenged customer paid $15,000 cash down for a vehicle with
the $27,000 balance to be financed. However, no credit source would
accept the deal, even with the large downpayment, and the transaction
was terminated. In this case, _______ Ans✓✓✓ The dealership must
file the Form 8300 if the someone at the dealership was in receipt of
the cash exceeding the filing requirement.
A customer makes weekly payments in cash to a dealership as a lease
payment or loan payment on a vehicle. During a 12-month period,
these payments total more than $10,000. These payments are
considered related transactions and dealership is required to file a
Form 8300.
,A. True
B. False Ans✓✓✓ true
A dealer can accept a vehicle if the odometer disclosure statement is
incomplete?
A. True
B. False Ans✓✓✓ FALSE
A dealer can accept a vehicle if the odometer disclosure statement is
incomplete?
A. True
B. False Ans✓✓✓ FALSE
A dealer does not need an Identity Theft Prevention Program if the
dealer processes all requests for credit through a credit portal that uses
their own established set of red flags.
A. True
B. False Ans✓✓✓ False
A Dealer Participation Rate Modification form (Disparate Pricing) should
be signed by the customers?
A. True
B. False Ans✓✓✓ B. False
, This is a form completed by management after a deal completes and
does NOT need to be seen by a customer.
A dealer receives a cease and desist order for an ad they ran that
violated Truth in Lending Act/Reg. Z. If that dealership continues to run
the ad, what are the potential penalties? Ans✓✓✓ C. The dealer could
be required to pay a fine of up to $43,792 per day, per violation.
A dealer voluntarily choose NOT to sell a car as is. The dealer does NOT
provide an express written warranty. The window sticker must indicate
the vehicle sold with ________? Ans✓✓✓ Implied warranties only
A dealer voluntarily chooses NOT to sell a car as is. The dealer does NOT
provide an express written warranty. The window sticker must indicate
the vehicle is sold with _______.
A. Implied warranties only
B. Limited warranties only
C. Full warranties only Ans✓✓✓ A. Implied warranties only
A dealer who is the original creditor in a three-party financing
transaction must provide either a Risk Based Pricing Notice or Exception
Notice to consumers?
A. True
B. False Ans✓✓✓ TRUE
