Below Mentioned Is the Necessary Information That Should Be Included

question 144

Multiple Choice

Below mentioned is the necessary information that should be included in the ___________. Risk of payment shock-potential payment increases; how the new payment will be calculated when the introductory rate expires Ramifications of prepayment penalties-how they will be calculated, when they will be imposed Ramifications of balloon payments Ramifications of the lack of escrowing for taxes and insurance-who is responsible for paying taxes and insurance and the fact that their costs may be substantial Cost of reduced documentation loans-whether there is a pricing premium required

• A) Consumer protection principles
• B) Underwriting standards
• C) Workout arrangements
• D) None of these

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Definitions:

Ethical Behaviour

The practice of acting in ways consistent with moral principles and values such as honesty, fairness, and integrity.

Honesty

The quality of being truthful, transparent, and free from deceit in one's actions and communications.

Individualism View

Considers ethical behaviour as that which advances long-term self-interests.

Organisational Enrichment

The process of improving an organization's effectiveness, health, and capacity for growth by developing its resources and capabilities.