Grace has approached her mortgage agent level 2, James, about getting a private second mortgage to complete some renovations to her house. She has tried getting the funds from her bank but was declined based on her income and bruised credit. James is able to get Grace a private second mortgage at terms and conditions acceptable to her. They are as follows: $50,000 second mortgage 14% compound annually Monthly payments of $83.33 Brokerage fee of $1,000 Lender fee of $1,000 NSF fee of $250 . . . Legal fees of $1.850 In filling out the borrower disclosure form, James is deciding what must be disclosed to Grace as a risk. Given this scenario, which of the following statements is most correct? Select one: a. James must explain the NSF fee risks to Grace, as well as other risks b. James must disclose the NSF fee as a term, not a risk c. James must only disclose any risks that are not normal to all mortgages d. James must disclose the interest rate risk Lucas is in the process of taking an application for a mortgage from a borrower, Marie. Marie has provided an Ontario driver's license as proof of her identity. In reviewing the driver's license, Lucas has noted a potential problem with its authenticity. Out of the following list, which one has caused Lucas concern? Select one: a. The expiry date is 8 years from now on Marie's birthday b. The driver's licence number is 15 characters long c. The driver's license number begins with a W d. The magnetic strip on the back of the card is laminated

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