Which of the Following Best Expresses the Policy Behind the Truth-In-Lending

question 58

Multiple Choice

Which of the following best expresses the policy behind the Truth-in-Lending Act?

• A) To help borrowers by requiring lenders to charge a "reasonable" rate of interest as determined by the Federal Reserve Board.
• B) To help small business by requiring that lenders not use as collateral for secured loans a business's most important assets.
• C) To help debtors for loans for personal, family, or household purpose to be armed with the necessary information on a loan to better bargain for credit and to choose the creditor with the best terms.
• D) To help lenders by permitting them to investigate a person's credit history without having to worry about state libel laws.

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Definitions:

Insanity

A legal term describing a person's inability to understand the nature of their actions or distinguish right from wrong, often used in criminal defense.

Understand Nature

The capability or effort to grasp the fundamental characteristics and workings of a concept or thing.

Detrimental To Canada

Actions or policies considered harmful or counterproductive to the interests or well-being of Canada as a nation.

Residents of Enemy Country

Individuals residing in a nation that is in a state of conflict or war with another country, often subjected to certain legal restrictions.