Ontario Mortgage Agent Practice Exam

Explain the timing requirements of providing disclosure to a borrower.

1. Must be written in clear, plain language and the borrower MUST consent in writing

2. Two business days before the borrower is required to make any payment or enter into the mortgage agreement

3. The role of the brokerage MUST be disclosed to the borrower

4. Belief in the development of whole self, including a healthy balance of mental, social/emotional and physical well-being

The correct answer is: Must be written in clear, plain language and the borrower MUST consent in writing

Providing disclosure to a borrower is an important part of the lending process. It ensures that borrowers are fully informed about the terms and conditions of their loan agreement and helps them make well-informed decisions. Option B is incorrect because the timing requirement is not tied to when the borrower is required to make a payment or enter into the mortgage agreement. Option C is incorrect because it refers to the disclosure of the brokerage's role, which is a different requirement from disclosing the loan terms to the borrower. Option D is incorrect because it does not pertain to the topic of providing disclosure to a borrower. The correct answer is A because it states that the disclosure must be written in clear and plain language and the borrower must give their written consent. This ensures that the borrower fully understands the loan terms and has given their permission to proceed.