The Dodd-Frank Act of 2010 requires financial institutions to ________.
A) lend to all individuals who need loans
B) require verification of a borrowers job status but not credit history and income
C) require verification of a borrowers income and job status but not their credit history
D) require verification of a borrowers income, credit history and job status

Question

Quizplus · Accepted Answer

The Dodd-Frank Act of 2010 requires financial institutions to verify a borrower's income, credit history, and job status before approving a loan application. This is to ensure that the borrower has the ability to repay the loan, and to prevent the type of risky lending practices that contributed to the 2008 financial crisis.

The Dodd-Frank Act of 2010 Requires Financial Institutions to ________