CRCM Exam - Question 80

Question

These are the definitions of _____________: The refusal to grant credit in substantially the amount or on substantially the terms requested in an application (and the applicant uses or expressly accepts the credit offered) A termination of the account or an unfavorable change in the terms of an account, unless the change affects substantially all of the lender's accounts of that type. A refusal to increase the amount of credit available to an applicant who has made an application for an increase.

Examice · Accepted Answer

The definitions provided describe actions such as the refusal to grant credit in substantially the amount or on substantially the terms requested, termination of the account or unfavorable changes in the terms of an account, and refusal to increase the amount of credit available to an applicant upon request. These actions are specifically defined as 'Adverse action' under 12 CFR 202.2(c). None of the other options correctly encompass all the described scenarios.

Cam22 · Answer

These definitions describe various actions related to credit decisions and account management, which fall under the category of "Refusals" as per 12 CFR 202.8. These actions include the refusal to grant credit as requested, adverse changes to account terms, and refusal to increase credit limits upon request.

CRCM Exam - Question 80

Discussion