Term
1. FCRA imposes rights and/or obligations on which of the following:
a. Merchants
b. Credit Reporting Agencies
c. Consumers
d. Employers
e. All of the Above
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Definition
1. FCRA imposes rights and/or obligations on which of the following:
a. Merchants
b. Credit Reporting Agencies
c. Consumers
d. Employers
e. All of the Above
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Term
2. Which of the following scenarios is a permissible purpose to obtain a credit report?
a. Morty, a customer service representative, wonders what his credit score is.
b. Ginny, a marketing manager wants to market a new 40-year mortgage product to existing 30-year customers.
c. George, a collections specialist, thinks the credit report of his customer’s wife, might help him find the customer.
d. Marge picks up a Home Equity application while depositing a check.
e. While talking to her financial consultant, Darla asks about current home mortgage rates. |
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Definition
2. Which of the following scenarios is a permissible purpose to obtain a credit report? Marge picks up a Home Equity application while depositing a check.
a. Morty, a customer service representative, wonders what his credit score is.
b. Ginny, a marketing manager wants to market a new 50-year mortgage product to existing 30-year customers.
c. George, a collections specialist, thinks the credit report of his customer’s wife, might help him find the customer.
d. Marge picks up a Home Equity application while depositing a check.
e. While talking to her financial consultant, Darla asks about current home mortgage rates. |
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Term
3. What customer information can be shared with a bank’s affiliate without being considered a credit report?
a. Income
b. # of missed payments
c. Employer
d. Tax Returns |
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Definition
3. What customer information can be shared with an affiliate without being considered a credit report?
a. Income
b. # of missed payments
c. Employer
d. Tax Returns |
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Term
4. A credit report can be delivered:
a. Verbally
b. In writing
c. Electronically
d. Any of the above |
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Definition
4. A credit report can be delivered:
a. Verbally
b. In writing
c. Electronically
d. Any of the above |
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Term
5. Which of the following is not considered a credit report?
a. A transaction authorization provided to a credit card merchant.
b. The information an employer receives in response to a background investigation.
c. The information a credit reporting agency provides at the request of an insurance company.
d. Neither A nor C are considered a credit report. |
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Definition
5. Which of the following is not considered a credit report?
a. A transaction authorization provided to a credit card merchant.
b. The information an employer receives in response to a background investigation.
c. The information a credit reporting agency provides at the request of an insurance company.
Neither A nor C are considered a credit report |
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Term
6. Which of the following are not considered one of the seven credit-bearing “characteristics?”
a. Mode of Living or Lifestyle
b. General Reputation
c. Character
d. All of these are among the seven characteristics |
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Definition
6. Which of the following are not considered one of the seven credit-bearing “characteristics?”
a. Mode of Living or Lifestyle
b. General Reputation
c. Character
d. All of these are among the seven characteristics |
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Term
7. Generally information older than ___ years cannot appear on a credit report.
a. Three
b. Five
c. Seven
d. Ten |
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Definition
7. Generally information older than ___ years cannot appear on a credit report.
a. Three
b. Five
c. Seven
d. Ten |
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Term
8. Consumers can only opt-out of pre-screened marketing offers by:
a. Contacting their bank or financial service provider
b. Contacting the company sending the pre-screened offer
c. Contacting a credit reporting agency
d. Contacting the Direct Marketing Association (DMA) |
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Definition
8. Consumers can only opt-out of pre-screened marketing offers by:
a. Contacting their bank or financial service provider
b. Contacting the company sending the pre-screened offer
c. Contacting a credit reporting agency
d. Contacting the Direct Marketing Association (DMA) |
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Term
9. Which of the following statements is true regarding a consumer’s right to dispute information contained on a credit report?
a. A consumer can only dispute information by contacting the credit reporting agency
b. A consumer may contact the credit reporting agency or the furnisher of the information
c. A consumer may contact the furnisher of the information at any published phone number or address
d. A consumer may not contact the furnisher of information at all |
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Definition
9. Which of the following statements is true regarding a consumer’s right to dispute information contained on a credit report?
a. A consumer can only dispute information by contacting the credit reporting agency
b. A consumer may contact the credit reporting agency or the furnisher of the information
c. A consumer may contact the furnisher of the information at any published phone number or address
d. A consumer may not contact the furnisher of information at all |
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Term
10. Adverse Action Notices must be provided when negative (adverse) action is taken based on credit information provided by:
a. Third Parties
b. Credit Reporting Agencies
c. Affiliates
d. All of the above |
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Definition
10. Adverse Action Notices must be provided when negative (adverse) action is taken based on credit information provided by:
a. Third Parties
b. Credit Reporting Agencies
c. Affiliates
d. All of the above |
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Term
11. Which of the following pieces of information are not considered identifying information for the purpose of FCRA’s Identity Theft provisions:
a. Name
b. Time the Account has been open
c. User Name
d. Checking Account Number |
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Definition
11. Which of the following pieces of information are not considered identifying information for the purpose of FCRA’s Identity Theft provisions:
a. Name
b. Time the Account has been open
c. User Name
d. Checking Account Number |
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Term
12. A Red Flags Program is required of:
a. A creditor that opens or maintains covered accounts.
b. A financial institution that open or maintain covered accounts.
c. Creditor and financial institutions that open or maintain covered accounts, with very few exceptions.
d. All creditors and financial institutions, unless they open or maintain covered accounts. |
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Definition
12. A Red Flags Program is required of:
a. A creditor that opens or maintains covered accounts.
b. A financial institution that open or maintain covered accounts.
c. Creditor and financial institutions that open or maintain covered accounts, with very few exceptions.
d. All creditors and financial institutions, unless they open or maintain covered accounts. |
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Term
13. The Red Flags Program required by FCRA must:
a. Be designed to detect and mitigate against Identity Theft Risks
b. Be risk-based (appropriate to the size, complexity, and operations of the organization)
c. Be overseen by the Board of Directors
d. A & B only
e. All of the above |
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Definition
13. The Red Flags Program required by FCRA must:
a. Be designed to detect and mitigate against Identity Theft Risks
b. Be risk-based (appropriate to the size, complexity, and operations of the organization)
c. Be overseen by the Board of Directors
d. A & B only
e. All of the above |
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Term
14. The Red Flags program must protect:
a. All customers with accounts that have a reasonably foreseeable risk of identity theft.
b. Only consumers.
c. Only sole proprietors and consumers.
d. All customers with accounts that have a reasonably foreseeable risk of identity theft, except corporate customers. |
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Definition
14. The Red Flags program must protect:
a. All customers with accounts that have a reasonably foreseeable risk of identity theft.
b. Only consumers.
c. Only sole proprietors and consumers.
d. All customers with accounts that have a reasonably foreseeable risk of identity theft, except corporate customers. |
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Term
15. Before sending out a requested replacement credit or debit card to a customer who has recently changed his/her address, the card issuer must:
a. Send the card to the old address.
b. Assess the validity of the request, before sending the card.
c. Promptly send the card, without delay.
d. Send a notice to the customer at the recently changed address. |
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Definition
15. Before sending out a requested replacement credit or debit card to a customer who has recently changed his/her address, the card issuer must:
a. Send the card to the old address.
b. Assess the validity of the request, before sending the card.
c. Promptly send the card, without delay.
d. Send a notice to the customer at the recently changed address. |
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Term
16. When receiving an address discrepancy indicator on a credit report, the user may consider the following options to validate the report relates to the intended consumer:
a. Comparison of credit report information to its own records
b. Comparison of credit report information against a third party resource
c. Confirm consumer report content with the consumer
d. Any of the above |
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Definition
16. When receiving an address discrepancy indicator on a credit report, the user may consider the following options to validate the report relates to the intended consumer:
a. Comparison of credit report information to its own records
b. Comparison of credit report information against a third party resource
c. Confirm consumer report content with the consumer
d. Any of the above |
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Term
17. When a user has received an address discrepancy indicator, it must report back to the CRA a validated address:
a. Regardless of the determination of the correct address.
b. Only if the user establishes an on-going relationship with the consumer.
c. Only if the address is different than that submitted to the CRA with the request for the credit report.
d. None of the above. |
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Definition
17. When a user has received an address discrepancy indicator, it must report back to the CRA a validated address:
a. Regardless of the determination of the correct address.
b. Only if the user establishes an on-going relationship with the consumer.
c. Only if the address is different than that submitted to the CRA with the request for the credit report.
d. None of the above. |
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Term
18. Furnishers of information that are requested to provide supporting information related to credit report information when the consumer believe him/herself to be a victim of identity theft, may refuse to provide information if:
a. The request is not made to the specified address
b. The furnisher has no confidence in the requestor’s identity
c. The furnisher reasonably believes the request misrepresent facts
d. Only B & C
e. All of the Above |
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Definition
18. Furnishers of information that are requested to provide supporting information related to credit report information when the consumer believe him/herself to be a victim of identity theft, may refuse to provide information if:
a. The request is not made to the specified address
b. The furnisher has no confidence in the requestor’s identity
c. The furnisher reasonably believes the request misrepresent facts
d. Only B & C
e. All of the Above |
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Term
19. Credit Score Disclosures are required:
a. For all unsecured consumer loans
b. For all consumer deposit accounts
c. For consumer loans secured by residential real estate
d. None of the above |
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Definition
19. Credit Score Disclosures are required:
a. For all unsecured consumer loans
b. For all consumer deposit accounts
c. For consumer loans secured by residential real estate
d. None of the above |
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Term
20. A Risk-Based Pricing Notices should:
a. Be included with Adverse Action Notices.
b. Be sent collectively to all applicants, regardless of the address at which they reside.
c. Never be provided to an applicant that receives an Adverse Action Notice.
d. Be provided to the “bottom” 60% of applicants who receive an Adverse Action Notice. |
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Definition
20. A Risk-Based Pricing Notices should:
a. Be included with Adverse Action Notices.
b. Be sent collectively to all applicants, regardless of the address at which they reside.
c. Never be provided to an applicant that receives an Adverse Action Notice. They are mutally exclusive.
d. Be provided to the “bottom” 60% of applicants who receive an Adverse Action Notice. |
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