Please read over the following situation and then answer the following questions. After you complete this assignment, you may continue in the course.
Mary works for Dream Makers Finance. Mary is always looking for ways to draw in
more business so she starts drumming up some ideas for a printed advertisement,
focusing on trying to draw people in by focusing on rates. At the time Mary comes up with the
advertisement the rate for a fixed rate mortgage is 3.64% . Mary comes up with the following
advertisement:
We will find the home
for you that you have only imagined in your dreams!
Our mortgage loan
originators can help get any borrower get “Immediate Approval!”
FIXED RATES AT 3.5%!
QUALITY CUSTOMER
SERVICE!
DREAMY SUCCESS!!
So quit day dreaming
about the house you want, and let us make those dreams a reality!
Call today!
1-800-DREAM IT
Based on the advertisement that Mary submitted and your
knowledge of the of the Ohio Residential Mortgage Lending Act, did Mary forget
to include anything? Do you see any red
flags?
www.mymortgagetrainer.com
OH State Law Assignment
ReplyDelete1 of 2.
There are at least two red flags in this ad. She quotes a very low fixed rate, without any terms attached to that rate and she guarantees immediate approval for any borrower. Her NMLS number does not appear anywhere on the ad, nor does the name of the company or her name.
Mary didn't include the disclosure required for advertising. She also quoted a very low rate without any terms and guaranteed approval. This is a violation of the rules for advertising.
ReplyDeleteAPR, terms, and NMLS #s are all missing
ReplyDelete