Certified Regulatory Compliance Manager (CRCM) — Question 106

First National's consumer leasing department placed an ad in the local paper that pictured a car with the caption, "Sign a lease with us and pay only $275 per month." What other information must this ad have?

Answer options

• A. A statement that the transaction is not a loan
• B. The total amount due at consummation or delivery, the number of payments required, and any required security deposit
• C. The bank's policy regarding the purchase of the property by the lessee
• D. Disclosures regarding required insurance

Correct answer: B

Explanation

Option B is correct because it includes essential details that must be disclosed in a consumer lease advertisement, such as total costs and payment terms. Options A, C, and D are not required disclosures for lease advertisements and do not provide the necessary financial information that consumers need to understand the lease agreement.