AFIP - Basic Certification Course| Exam questions answered 100% correctly| New 2026

AFIP - Basic Certification Course| Exam questions answered 100% correctly| New 2026 The ________ issues UDAP violations to dealers, the ________ issues UDAAP violations to dealers. CPFB, FTC 3 multiple choice options (True/False) If circumstances require that a second lease agreement be executed - the customer must be recontracted - the date recorded on the second agreement must be the date of the original contract. False 1 multiple choice option Which of the following events, if any, can terminate an offer? A. Death or insanity of an offeree or offeror 3 multiple choice options What is "consideration" as it applies to a contract? A. The requirement that each party to the contract receives something of value in exchange for what is given 3 multiple choice options If a customer is re-contracted five days after the original agreement was executed, how should the second agreement be treated? B. As an entirely new agreement, with the date the second contract is executed recorded on the installment sale agreement. 1 multiple choice option (True/False) TILA/Reg Z treats "loans" and "credit sales" the same way since they are both essentially a promise to pay. False 1 multiple choice option Although not specifically required by the TILA or Reg Z., an installment sale contract may contain an acceleration clause. This is a contract provision that allows the funding source who accepted the assignment of the installment sale agreement to require the customer to pay all or part of the outstanding balance if certain requirements are not met. True 1 multiple choice option The CFPB issues UDAAP violations. UDAAP stands for: C. Unfair, Deceptive, Abusive, Acts or Practices 2 multiple choice options A contract can be defined as an agreement that includes: C. A promise or set of promises that the law enforces or protects 3 multiple choice options Which of the following is considered a "credit sale" transaction under TILA/Reg Z? B. Karl arranges funding through the F&I manager for a vehicle purchased at a dealership. 1 multiple choice option What is an acceleration clause? B. If the customer defaults under the contract, the lender can make the full outstanding balance due and payable 2 multiple choice options An installment sale contract may contain a provision that allows the lender to _______ property insurance if the customer fails to obtain insurance or lets it lapse. A. force place 2 multiple choice options What do the letters in UDAP stand for? E. Unfair, Deceptive, Acts, Practices 3 multiple choice options What are the three required elements of a contract? D. An offer, acceptance, and consideration. 3 multiple choice options What are the criteria for "acceptance" of an offer? D. All of the above 3 multiple choice options The __________ issues UDAP violations to dealers, the __________ issues UDAAP violations to dealers. A. CFPB, FTC 3 multiple choice options (True/False) The dealer is the creditor in a typical credit transaction. True 1 multiple choice option As noted in the Truth in Lending Act and Reg. Z, if the customer owes more on the trade-in than the used car manager allowed, should the F&I manager do? D. None of the above 3 multiple choice options Which of the following transactions are NOT regulation by TILA/Reg Z? D. Both A and C 3 multiple choice options (True/False) With the exception of some Precomputed Interest contracts used by secondary finance sources, all other installment sales contracts are simple interest or interest-bearing contracts. The following is a layman's explanation of a simple interest installment sale transaction. In a precomputed contract the finance charge is computed on the assumption the contract will run full term. If the customer terminates the agreement during the repayment term, he will receive a refund of the unearned premium.