In Analyzing a Mortgage Loan Application, It Is Illegal for a Lender

question 20

Multiple Choice

In analyzing a mortgage loan application, it is illegal for a lender to consider

• A) job stability.
• B) marital status.
• C) income adequacy.
• D) credit rating.

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Definitions:

Exclusive Territory Rights

The privilege granted to an entity allowing it to operate or sell within a specific geographic area without competition.

Overlapped Franchise Areas

Regions where the territories or markets of two or more franchise operations intersect or coincide, potentially leading to competition between them.

Termination of the Franchise Agreement

The legal ending of the contract between a franchisor and franchisee, which may occur for various reasons, including breach of contract or mutual agreement.

Disclosure Statement

A document that outlines important information, terms, or conditions about a financial transaction or investment that must be known by all parties involved.