Timeshare License Exam Questions and Answers Already Graded A

Timeshare License Exam Questions and Answers Already Graded A How long is a TSA license valid for? 2 years If a timeshare AGENT initially becomes licensed on June 6, 2000, when will the license expire? June 30, 2002 (end of the month - 2 years later) If a timeshare REPRESENTATIVE initially becomes licensed on June 6, 2009, when will the license expire? June 30, 2010 (end of the month - 1 year later) An applicant for an original timeshare license MUST provide: An application, certificates for passing the examination and completing the 14 hour course, and $175 If a timeshare agent is served notice that the division has filed charges against him/her, he/she has how many days in which to file with the Division and answer to the charges? 20 days A developer may NOT make a material change in the timeshare plan without giving the Division at LEAST how many days notice? 10 days If the highest monthly total of deposits received by a project is $50,000 what is the amount of surety bond REQUIRED for the benefit of the purchasers? $50,000 What is a timeshare? A guaranteed reservation at the resort of your choice What is a fractional ownership? Ownership of an interval of 1 month to 1/2 year The value of an individual timeshare usually decreases in value An agreement between two or more parties is called a contract The following elements are necessary to create an agency relationship EXCEPT: consideration The following elements are necessary to create an agency relationship: perception of representation, understanding, and reliance Which of the following is NOT necessary to form a contract? performance Which of the following is necessary to form a contract? meeting of the minds, consideration, and competence The essential parts of a written contract include competent parties, mutual consent, consideration, and legal obligation Which statements MUST be printed above the purchaser's signature one in each contract for sale of a timeshare? The purchaser of a timeshare may cancel, by written notice, the contract of sale until midnight of the fifth calendar day. The right of cancellation may not be waived. Any attempt by the developer to obtain a waiver results in a contract that is voidable by the purchaser. Developer Tyson has defaulted on his project. Which clause provides protection for prior purchasers? non-disturbance clause How would a prospective purchaser get the BEST deal on a timeshare? buy it from an existing owner The purchaser may cancel the transaction until midnight of the 5th calendar day after signing Escrow may NOT be closed until the 1. buyer's check clears his bank 2. project is free and clear of any blanket encumbrances 3. cancellation period has expired Developer Douglas has submitted an application to the administrator for a permit to sell timeshares. The Division shall issue an order within how many days after the receipt of the application? 30 days The administrator has scheduled an informal meeting to discuss certain sales practices at Douglas' promotional meetings. Which of the following is NOT true? 1. Matters discussed or materials presented may be used in any subsequent formal hearings 2. May be tap recorded 3. Is lawful under NRS 119A 4. Mandates a judge or constable be present for the record CORRECT: Mandates a judge or constable be present for the record The sale of a timeshare interests in the State of Nevada is regulated under the provisions of Nevada revised statutes 119A MOST timeshare units are sold on credit. These lending arrangements MUST comply with Regulation Z of the Federal Reserve Board. The PRIMARY purpose of Regulation Z, as applied to timeshare sales, is to assure: Full disclosure of all financing costs and charges Full disclosure AKA truth and lending Federal Reserve Board's Regulation Z is applicable to Fees only, right to use only, campsite membership Financing of individual unit sales is MOST often provided by the developer Anyone purchasing timeshare MUST sign a written contract After a purchaser has signed the timeshare purchase agreement, the purchaser may cancel the agreement at any time in the next 5 days You have just completed making a timeshare sale. Your buyers go back to their hotel, and after dinner and a few cocktails, they have second thoughts about the purchase. Can they change their minds and get out of the deal? Yes, they have the right to revoke for any reason for 5 calendar days If the timeshare project is affiliated with a timeshare purchase agreement, the purchaser may pay any or all fees charged by the exchange plan for the first 2 years On what is the timeshare project developer responsible with regards to maintenance charges? All unsold timeshare units Nevada law REQUIRES all timeshare sales agents to: take 14 hours of continuing education every 2 years (correct: 6 hours of continuing education) All of the following statements are TRUE about an owners' association EXCEPT is formed primarily for the purpose of selling timeshare interests in the resort It is discovered that the title of a project is "un-merchantable" because an easement has been found which may NOT be removed. What should a timeshare sales agent do? Not attempt to sell a unit where the title is un merchantable Ted and Alice Lastly have arrived at their timeshare resort and produce the confirmed reservation for a unit. They are informed that the unit is NOT available. Ted goes through the roof, but Alice has read up on a Timeshare Owner's Rights in NEvada. She listens politely to the apologies of the desk clerk, then demands to see the representative of the owner's association, or if there is no representative, then the developer. Alice knows that they are entitled to all of the following EXCEPT: a full refund of their purchase price Which of the following is NOT commingling? Placing the customer's deposit in your wallet temporarily until you turn it over to the broker or sales manager Failure to turn over the money received in the course of a timeshare interval sale within a reasonable time is a violation of NRS 199A How many days does a developer have to refund any deposits collected if a purchaser chooses to cancel the contract to purchase? 20 days The Civil Rights Act of 1866 prohibited discrimination based on race in real estate transactions The Civil Rights Act of 1964 prohibited discriminations based on all of the following EXCEPT sex A property manager refuses to rent an office because the rental applicant is an African-American. The applicant has legal recourse under Civil Rights Act of 1866 Who directs the Real Estate Division The administrator The Real Estate Division is considered an administrative unit of state government How often is a timeshare agent REQUIRED to complete continuing education? Every 24 months (2 years) The Nevada regulations governing Public Offering statement in timeshare sales are very specific. One such rule covers a project's Public Offering Statement warning message. Which statement is TRUE? The warning message must be printed in RED. In an agency relationship: an agent must disclose material facts to prospective purchaser. The Duties Owed by a Nevada Real Estate Licensee: must be given to each prospective purchaser before any contract is signed. A timeshare sales agent is at a point in the sales presentation where the prospective purchaser is reaching for their checkbook. The sales agent has done a great job and the deal is going to be linked. Before the sales agent can take the money, what must be done? A copy of the Public Offering statement should be given to the purchaser. Which agency in Nevada issues the Public Offering Statement? (POS) Real Estate Division Which document MUST be received and signed by the purchaser before the execution of any contract for the sale of a timeshare? Public Offering Statement (POS) Which document MUST be received and signed by the purchaser before the execution of any contract for the sale of a timeshare? Public Offering Statement (POS) Under NRS 119A, the notice of cancellation may be delivered to the developer in all of the following methods EXCEPT by electronic mail to the address shown on the project information (all cancellations in WRITING and delivered - mail, fax, UPS etc) What is normally included in the annual maintenance fee charged in a timeshare program? 1. Taxes and insurance 2. Replacement of furniture 3. Maintenance of rooms 4. All of the above ALL OF THE ABOVE Which of the following is NOT required for contract documents? 1. Written in easily understandable terms 2. Consistent with information provided in solicitations 3. Available for consumers to review at the time of sale before signing 4. None of the above NONE OF THE ABOVE