Finance
Under Dodd-Frank, a Wisconsin mortgage lender must ensure the borrower has the ability to repay the loan. This is known as the:
AQualified Mortgage standard
BAbility-to-Repay (ATR) rule✓ Correct
CRESPA safe harbor provision
DTRID compliance rule
Explanation
The Ability-to-Repay (ATR) rule (implemented under Dodd-Frank) requires lenders to make a reasonable, good-faith determination that the borrower can repay the mortgage, considering income, assets, employment, and debt obligations.
Related Wisconsin Finance Questions
- Wisconsin's WHEDA homebuyer tax credit (MCC — Mortgage Credit Certificate) allows eligible buyers to:
- A Wisconsin adjustable-rate mortgage that converts to a fixed rate after an initial period is called a:
- A Wisconsin 'lock-in' on a mortgage interest rate means:
- A Wisconsin buyer who agrees to purchase a property 'subject to' the existing mortgage:
- A Wisconsin homeowner who refinances their mortgage at a lower rate to reduce monthly payments is engaging in:
- A Wisconsin lender's 'due-on-sale' clause allows the lender to:
- A Wisconsin property subject to a Veteran's Administration (VA) loan appraisal is called a:
- Under Wisconsin law, a foreclosure complaint is filed in:
Practice More Wisconsin Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Wisconsin Quiz →