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Question 141

ABC Bank has an interactive Internet Web site at which it takes consumer credit applications. At the time an applicant completes an application on the Web site and submits it, the applicant also is asked for his or her email address. If the application is denied, ABC sends an adverse action notice to the applicant's email address listed on the application. Using this procedure, what is ABC Bank's responsibility?

    Correct Answer: D

    According to regulations such as the E-SIGN Act, if a notice is to be provided electronically, the financial institution must obtain the applicant's affirmative consent prior to delivering the notice through electronic means. This ensures that the applicant is aware of and agrees to receive important information, such as an adverse action notice, via email.

Discussion
Cam22Option: D

D - Question in guide