Under State Law in Many States and Under the FTC

question 53

Multiple Choice

Under state law in many states and under the FTC rules and the federal Consumer Credit Protection Act,a contract solicited in a consumer's home may be canceled:

• A) within 10 days by either party.
• B) within 10 days by the consumer.
• C) within three days by the consumer.
• D) within 20 days by either party.

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Definitions:

Unauthorized Indorsement

An endorsement made without the authority or permission of the party holding negotiable instruments, affecting the instrument's validity.

Statute of Limitations

It refers to the maximum period one can wait before filing a lawsuit, depending on the type of case or claim.

UCC

Short for Uniform Commercial Code, a comprehensive set of laws governing commercial transactions in the United States, including sales, leases, negotiable instruments, and secured transactions.

Provisional Credit

Temporary credit issued by a bank to an account holder while disputed transactions are under investigation.