Compliance with which federal rule ensures adherence to Maryland’s ability-to-repay standards?

The Ability to Repay Rule is the correct answer because it directly governs lenders' practices regarding the assessment of a borrower's ability to repay a mortgage loan. Enforced under the Dodd-Frank Wall Street Reform and Consumer Protection Act, this rule mandates specific criteria which lenders must consider when determining whether a borrower can reasonably be expected to repay their loan. This includes evaluating the borrower’s income, employment status, credit history, and other financial factors. Such a rigorous process helps protect consumers from taking on loans that they cannot ultimately afford.

While the Truth in Lending Act and the Real Estate Settlement Procedures Act provide essential guidelines for disclosure and settlement practices, they do not specifically address the ability-to-repay requirements. The Equal Credit Opportunity Act is focused on preventing discrimination in lending, not on the standards surrounding a borrower’s ability to repay. Therefore, the Ability to Repay Rule is specifically designed to ensure compliance with the ability-to-repay standards, which aligns with the regulations in place within Maryland.