True or False

1.) The Fair Debt Collection Practices Act prohibits debt collectors from collecting postdated checks.

2.) First Star Bank denied credit to Troy because of a credit report provided by TMW, a reporting agency. First Star Bank must advise Troy of the adverse action and supply TMW's name and address.

3.) Under the Fair Credit Reporting Act, consumers have the right to see their credit files.

4.) In typing the disclosure statement on a consumer loan, the secretary made a typographical error in typing the annual percentage rate, APR. The actual APR was 12.5% and the amount disclosed was 12.2%. Under these circumstances the lender has a defense to liability.

5.) Under the Fair Credit Reporting Act, consumer credit reporting agencies must

A. investigate consumer claims of inaccuracy or incompleteness within a reasonable time.

B. maintain reasonable procedures to verify that users of the information will use the report only for legitimate purposes.

C. supply accurate information at all times.

D. do (a) and (b).

E. do (a), (b), and (c).

6.)Samantha lost her credit card. She had a credit limit of $500 on the card. As soon as Samantha discovered that the card was lost, she notified the card issuer. Unfortunately, a thief had already charged $700 of merchandise on the card. In this situation, Samantha is responsible for

A. $700

B. $500

C. 50

D. $100

7.) Audio Queen sold Dien a sound system on credit. Dien stopped making the monthly payments due under the loan agreement. In attempting to collect the bill from Dien, which statement is correct?

A. Audio Queen is governed by the Fair Debt Collection Practices Act because the loan was a consumer loan.

B. Audio Queen is governed by the Fair Debt Collection Practices Act because it is attempting to collect a debt.

C. Audio Queen is not governed by the Fair Debt Collection Practices Act because Audio Queen is collecting its own debt.

D. Whether or not Audio Queen is governed by the Fair Debt Collection Practices Act depends on whether Audio Queen took a security interest in the sound system.

8.) FACTA also requires the truncation of account numbers for credit cards and debit cards on a customer's receipt, using only the last ______ digits of the account number, preceded by a series of Xs.

9.)For willful failure to comply with the Act, suits for compensatory or punitive damages are possible; for violations stemming from negligent noncompliance, an injured consumer can recover only ______________ damages.

10.) Many consumer protection acts allow for ____________ damages that often include attorney fees.