Answered

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A small triplex was purchased. At the time of the loan application, the quoted interest rate was 6.5%. At the time of closing, the true interest rate, including finance charges, came to 7.5%. The lender did not disclose this to the potential purchasers. The lender is in violation of which law?

A. Fair Credit Reporting Act
B. Fair Housing Act
C. Truth In Lending Act
D. Equal Credit Opportunity Act

Sagot :

GinnyAnsweridn

Final answer:

The lender is in violation of the Truth In Lending Act for not disclosing the true interest rate to potential purchasers.


Explanation:

The lender is in violation of the Truth In Lending Act. This act ensures that lenders provide full disclosure of all terms and costs associated with a loan, including the true interest rate. Failure to disclose the accurate interest rate violates this law and deprives borrowers of essential information.


Learn more about Truth In Lending Act here:

https://brainly.com/question/30386250


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