Barbri Secured Transactions Practice Test 2025 – 400 Free Practice Questions to Pass the Exam

In consumer cases, the damage award typically includes a calculation based on the original principal amount of the loan, plus any interest that has been paid. This ensures that consumers who are harmed by violations, such as failure to comply with the proper loan terms or disclosures, receive compensation that appropriately reflects the financial loss they experienced. This method of calculating damages acknowledges both the primary financial obligation (the principal) and the additional costs incurred through interest payments, thus providing a more comprehensive form of relief.

The other choices do not encapsulate the standard approach used in consumer violations cases. For instance, merely offering a percentage of the remaining loan amount or focusing on accrued interest does not account for the original amount borrowed, which can underestimate the overall damages suffered by the consumer. It's essential to consider both principal and interest to ensure an equitable resolution for violations in these contexts.