Finance
The Truth in Lending Act (TILA) requires lenders to disclose which of the following to Vermont mortgage borrowers?
AThe lender's cost of funds and profit margin
BThe annual percentage rate (APR) and total finance charge✓ Correct
CThe property's appraised value
DThe borrower's credit score used in underwriting
Explanation
TILA requires lenders to clearly disclose the Annual Percentage Rate (APR) and total finance charge so borrowers can compare loan costs across lenders. The APR includes interest rate plus certain fees, giving a more complete picture of loan cost.
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