AFIP QUIZ QUESTIONS & ACCURATE
ANSWERS ALL PASSED 100%
Who is the primary enforcer of consumer laws within a state. The organization a dealer
would most likely encounter - Correct Answer ✔✔ Attorney General
What does UDAP stand for? - Correct Answer ✔✔ Unfair, Deceptive Acts or Practices
Which organizations in our industry does the consumer financial protection bureau
(CFPB) oversee - Correct Answer ✔✔ Independent Used Dealers, Buy Here Pay Here,
Lease Here Pay Here, Finance Sources
Which organizations in our industry does the Federal Trade Commission (FTC) oversee
- Correct Answer ✔✔ Franchise New Dealers
What does UDAAP stand for? - Correct Answer ✔✔ Unfair, Deceptive Abusive Acts or
Practices
What does it mean to "Accelerate the Balance" - Correct Answer ✔✔ The finance
source will make the full outstanding balance due and payable
What does it mean to "educate the consumer before they consummate" - Correct
Answer ✔✔ I and the customer must understand all conditions of the contract that is
being entered into
What could block the formation of a valid contract - Correct Answer ✔✔ Dishonesty,
misrepresentation, fraud, lacks mental capacity, underage
What does it mean to "force place" the insurance - Correct Answer ✔✔ The finance
source will purchase the required coverage and charge it to the customers monthly
payment
What is the definition of a contract - Correct Answer ✔✔ A promise or set of promises
between two or more parties that is enforced by law
What is right of recission - Correct Answer ✔✔ The ability for a customer to get out of a
contract
What are the three steps in contracting - Correct Answer ✔✔ Offer, Acceptance,
Consideration
When it comes to a RISC and a lease, the financial institution has a lien on the vehicle.
Why? - Correct Answer ✔✔ The vehicle is collateral (the thing of value)
ANSWERS ALL PASSED 100%
Who is the primary enforcer of consumer laws within a state. The organization a dealer
would most likely encounter - Correct Answer ✔✔ Attorney General
What does UDAP stand for? - Correct Answer ✔✔ Unfair, Deceptive Acts or Practices
Which organizations in our industry does the consumer financial protection bureau
(CFPB) oversee - Correct Answer ✔✔ Independent Used Dealers, Buy Here Pay Here,
Lease Here Pay Here, Finance Sources
Which organizations in our industry does the Federal Trade Commission (FTC) oversee
- Correct Answer ✔✔ Franchise New Dealers
What does UDAAP stand for? - Correct Answer ✔✔ Unfair, Deceptive Abusive Acts or
Practices
What does it mean to "Accelerate the Balance" - Correct Answer ✔✔ The finance
source will make the full outstanding balance due and payable
What does it mean to "educate the consumer before they consummate" - Correct
Answer ✔✔ I and the customer must understand all conditions of the contract that is
being entered into
What could block the formation of a valid contract - Correct Answer ✔✔ Dishonesty,
misrepresentation, fraud, lacks mental capacity, underage
What does it mean to "force place" the insurance - Correct Answer ✔✔ The finance
source will purchase the required coverage and charge it to the customers monthly
payment
What is the definition of a contract - Correct Answer ✔✔ A promise or set of promises
between two or more parties that is enforced by law
What is right of recission - Correct Answer ✔✔ The ability for a customer to get out of a
contract
What are the three steps in contracting - Correct Answer ✔✔ Offer, Acceptance,
Consideration
When it comes to a RISC and a lease, the financial institution has a lien on the vehicle.
Why? - Correct Answer ✔✔ The vehicle is collateral (the thing of value)
