Which of the following is NOT a consequence of Reg Z violations?

The correct choice highlights that personal praises for compliance are not a consequence of violations related to Regulation Z. Regulation Z, which is part of the Truth in Lending Act, is designed to protect consumers by ensuring clear and transparent lending practices. When a lender fails to comply with these regulations, several serious consequences can arise.

For instance, violations can lead to class action lawsuits, where a group of affected borrowers can collectively pursue legal action against the lender. Additionally, offenders can face fines imposed by regulatory authorities for failing to adhere to the stipulations set out in Regulation Z. Another potential consequence includes the requirement for reimbursement to borrowers who may have been harmed or misled due to non-compliance.

In contrast, receiving personal praises for compliance does not occur in cases of violations, as compliance is the expected standard rather than something that elicits praise when it is absent. This differentiation underscores the serious implications of failing to follow Regulation Z and emphasizes that compliance is not just a goal but a requirement that, when unmet, leads to significantly adverse consequences.