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A mortgage broker must act both ethically and responsibly. Which of the following is not considered unethical:

A. Locking the interest rate for a loan application with two lenders at the same time.
B. Delaying a closing to obtain additional income on feed.
C. Provide guidance in writing a credit explanation letter.
D. Having a buy sign forms in blank for convenience.

User Idhem
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1 Answer

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Final answer:

Providing guidance in writing a credit explanation letter is not viewed as unethical for a mortgage broker, while options such as rate locking with multiple lenders, delaying closings for extra income, and having blank forms signed are unethical. The correct option is C

Step-by-step explanation:

Among the choices given, C. Provide guidance in writing a credit explanation letter is not considered unethical for a mortgage broker. Ethical mortgage brokerage requires transparency and adherence to regulations. Providing guidance to properly explain a borrower's credit situation aligns with ethical standards, as it helps lenders make informed decisions.

In contrast, A. Locking the interest rate with two lenders at once, B. Delaying a closing to earn additional income, and D. Having a buyer sign forms in blank for convenience are practices that can be considered unethical in the mortgage industry.

User Hamid Bayat
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