AFIP Certification| exam questions and correct answers 2026

AFIP Certification| exam questions and correct answers 2026 What does UDAP stand for? Unfair, Deceptive Acts or Practices Who is the primary enforcer of consumer laws within a state. The organization a dealer would most likely encounter? Attorney General If we treat consumers fairly and ethically, then there is ______________ on the government to enact legislation and write additional rules. Less Pressure Which organizations in our industry does the Federal Trade Commission (FTC) oversee? Franchise New Dealers What does UDAAP stand for? Unfair, Deceptive Abusive Acts or Practices Which organizations in our industry does the Consumer Financial Protection Bureau (CFPB) oversee? Independent Used Dealers Buy Here Pay Here (BHPH) Lease Here Pay Here (LHPH) Finance Sources When it comes to a RISC and a lease, the financial institution has a lien on the vehicle. Why? The vehicle is collateral (the thing of value) What is the definition of a contract? A promise or set of promises between two or more parties that is enforced by law What does it mean to "force place" the insurance? The finance source will purchase the required coverage and charge it to the customers monthly payment Who is the primary enforcer of consumer laws within a state. The organization a dealer would most likely encounter? Attorney General What does it mean to "Accelerate the Balance." The finance source will make the full outstanding balance due and payable What could block the formation of a valid contract? Dishonesty with a Consumer or Customer Misrepresentation of Facts or Statements Fraudulent Inducement Someone Lacks Mental Capacity Underage What does it mean to "educate the consumer before they consummate." If a customer doesn't understand something in the contract, I should make an effort to help them understand If I don't know the answer to a term or condition on the contract I get upper management involved to help explain it It is my responsibility to understand the terms and conditions on the contracts I am administering Help the customer to understand the terms and conditions of the contract by clarifying key items they have concerns with What is the right of recission? The ability for a customer to get out of a contract What are the three (3) steps in contracting? Offer, Acceptance, Consideration A "Credit Sale" is considered _________ and a "Loan" is considered __________. Dealer Assisted Financing; Customer Arranged Financing According to the federal requirements under TILA Reg Z. When do we use APR?