1. The Equal Credit Opportunity Act would not prohibit which of the following? First Bank refuses to extend credit to:
females.
men over 70 years of age.
people with incomes below $10,000.
people from Italy.
2. If a debtor defaults on a credit contract, the creditor may:
impose a late charge.
garnish wages if there has been a court proceeding to enforce collection of a judgment.
declare the entire balance of the debt immediately due and may sue on the debt.
All of these.
Both impose a late charge and declare the entire balance of the debt immediately due and sue on the debt.
3. When the creditor has been notified that a credit card was lost, the liability of the credit card holder is limited to:
$100.
$75.
$50.
None of these; liability is unlimited.
4. Northstar Sporting Goods sells consumer goods to Lena for $85 and provides a written warranty regarding the quality of the goods. Northstar:
must designate the warranty as full or limited.
may disclaim any and all implied warranties as long as the disclaimer is conspicuous.
may modify the implied warranties.
All of these are correct.
5. The Fair Debt Collection Practices Act requires a debt collector to provide the consumer with a written notice. What information must be contained in this notice?
The amount of the debt, with interest and penalties clearly delineated.
The name and phone number of the current creditor and former creditor.
A statement telling the consumer that he can request verification of the alleged debt.
A copy of the original credit contract with the original creditor.