Escrow Sample Test questions with answers

Escrow Sample Test questions with |\ |\ |\ |\ |\




answers


An escrow is an arrangement that: a) Holds documents,
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b) Holds funds, c) Creates documents to affect a transfer
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of interest in property, d) is responsible for guaranteeing
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funds. - CORRECT ANSWERS ✔✔A, B, C, E
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When is it necessary to have closing documents recorded
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prior to disbursement of escrow funds? a) it is not
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necessary, b) in almost all situations, c) when instructed |\ |\ |\ |\ |\ |\ |\ |\ |\



by one of the parties to the escrow, d) only when the
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written instructions require recording. - CORRECT
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ANSWERS ✔✔B |\




Usury Law is defines as: a) the right to use the surface of
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real property, b) is applicable to the prescriptive
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easement of ingress and egress, c) the maximum amount |\ |\ |\ |\ |\ |\ |\ |\



of interest which can be charged on a security
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instrument, d) the appurtenant right to use a right of way |\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\



for ingress and egress. - CORRECT ANSWERS ✔✔C
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What characteristics should an escrow officer maintain?
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a) abstractor, b) competent, c) legal advisor, d) impartial,
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e) has the right to foreclose, f) follows instructions. -
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CORRECT ANSWERS ✔✔B, D, F |\ |\ |\ |\

,What is the minimum number of parties to an escrow? -
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CORRECT ANSWERS ✔✔3 |\ |\




An Earnest Money Agreement usually does not reveal the
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following: a) property address, b) buyers' and sellers'
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name, c) title exceptions, d) improvements to the subject
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property, e) personal property to be included in the sale. -
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CORRECT ANSWERS ✔✔C
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An escrow agent has the responsibility to review the
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following, with the parties involved in a real estate
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transaction: a) the Title Report, b) the Earnest Money |\ |\ |\ |\ |\ |\ |\ |\ |\



Agreement, c) the Owners' Policy, d) Certificate of |\ |\ |\ |\ |\ |\ |\ |\



Apportionment, e) Letters of Testamentary. - CORRECT |\ |\ |\ |\ |\ |\ |\



ANSWERS ✔✔A |\




What is a Bill of Sale? a) same as a warranty deed, b)
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instrument to transfer mineral rights, c) used to convey
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personal property, d) a certificate concerning well rights,
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e) instrument to convey a title policy. - CORRECT
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ANSWERS ✔✔C |\




On an assumption, the following information should be
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obtained from the lender: a) payment history, b) FHA
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premium information, c) fire insurance information, d)
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reserve (impound) balance, e) certificate of approval on
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, buyer, f) delinquent payment and late fees paid, g)
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marital status. - CORRECT ANSWERS ✔✔B, C, D
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Date of possession is used in the closing to determine: a)
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the date of the closing, b) the date to be placed on the
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documents, c) the date used for prorations, d) the date of|\ |\ |\ |\ |\ |\ |\ |\ |\ |\ |\



recording. - CORRECT ANSWERS ✔✔C |\ |\ |\ |\




A Title Report or Commitment contains the following
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information, necessary for the closing: a) property |\ |\ |\ |\ |\ |\ |\



address, b) zoning, c) encumbrances, d) fire insurance
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information, e) tax information, f) vested owners. - |\ |\ |\ |\ |\ |\ |\ |\



CORRECT ANSWERS ✔✔C, E, F |\ |\ |\ |\




A licensed escrow agent has the authority to draw up the
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necessary documents to the escrow by reason of: a) the
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Utah Bulk Sales Act, b) Insurance Act, c) the Paralegal Act,
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d) the Utah Escrow Act. - CORRECT ANSWERS ✔✔B
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An escrow agent can determine liens against personal
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property by a) obtaining a UCC II, b) searching the
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personal property index, c) checking with the county
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treasurer, d) calling the state auditor. - CORRECT
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ANSWERS ✔✔A |\