FinanceIntermediateAlaska Exam

Under the Home Mortgage Disclosure Act (HMDA), lenders are required to:

AOffer mortgages to all applicants who meet minimum standards, though outcomes can differ depending on circumstances
BCollect and disclose data on mortgage applications, originations, and denials by race, ethnicity, and geographyCorrect
CProvide below-market interest rates to low-income borrowers
DSubmit all mortgage documents to HUD for review

Why Collect and disclose data on mortgage applications, originations, and denials by race, ethnicity, and geography Is Correct

Answer B: Collect and disclose data on mortgage applications, originations, and denials by race, ethnicity, and geography

HMDA requires covered lenders to collect, report, and disclose data about mortgage loan applications and originations, including demographic information about applicants. This data allows regulators and the public to identify potential lending discrimination and redlining patterns.

Exam Tip: Finance

Finance questions often involve calculations. Master the T-bar method, understand the difference between conventional and government-backed loans, and know key ratios like LTV and DTI.

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