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As Part of the New Regulations of the Mortgage Market,the

Question 154

Multiple Choice

As part of the new regulations of the mortgage market,the Federal Reserve Board moved to tighten the rules on mortgage lending in 2008.All of the following would improve transparency of the market except for:


A) lenders must verify the borrower's reported income.
B) lenders cannot rely on a home's current market value to judge a borrower's creditworthiness.
C) lenders must rely on a borrower's stated income.
D) lenders must disclose more about the actual terms of a home mortgage loan to a borrower.
E) All of the options are included in the new rules.

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