Use LEFT and RIGHT arrow keys to navigate between flashcards;
Use UP and DOWN arrow keys to flip the card;
H to show hint;
A reads text to speech;
19 Cards in this Set
- Front
- Back
|
Reason for a Trust account Who's name should it be in? |
In the name of the broker or fictitious name, as a trustee for the account. |
|
|
Who can withdraw the funds from the trust account?
|
The broker, any employee of the Broker if authorized. Includes independent contractor's licensees & unlicensed employees but they must be bonded. |
|
|
How often must the Broker reconcile (balance like a checkbook) the trust account?
|
Once a month |
|
|
What does the broker do when discovers there's an unexplained overage in the trust fund? What do you call it when the bank balance is less than what's shown in the broker's record? |
Must keep a separate record of the unexplained overages. It is called a Shortage since it's negative. |
|
|
What do you call it when the Broker combines his own money in the trust account? What happens if you do that? What's an example? |
Commingling Since it's illegal to mix personal funds w/money in the trust, its grounds for revocation or suspension of your RE license. Tenant's Security deposit from the property owned by the broker into the trust. |
|
|
What can you do so it's not considered Commingling?
|
Keep commissions or fees earned by the broker & collectible from the trust in the account for a period not exceeding 25 days. |
|
|
What is it called when you steal/unlawful appropriation of money held in the trust.
|
Conversion
|
|
|
In 1968 Civil Rights Act states its purpose is to provide what and what is the Act?
|
Fair housing throughout the US Federal Fair Housing Act |
|
|
Which Act is for Cali and is not enforced by the local District Attorney, it's enforced administravtively?
|
The Rumford Act also known as California's Fair Employment & Housing Act.
|
|
|
Who enforces California's fair housing law?
|
Department of Fair Employment and Housing DFEH
|
|
|
What are past discrimination practices but they are not duress?
|
Blockbusting, Panic peddling & steering |
|
|
What act is a federal law that makes it unlawful for any creditor to discriminate on the basis of race, color religion, national origin, sex marital status or age. What is the state law? |
Equal Credit Opportunity Act Holden Act |
|
|
What do you do if lender asks racial or gender questions? What can be asked? |
Borrower can refuse to answer Marital status if you live in a community property state like Cali. Or if you apply for a joint account or one secured by real property. |
|
|
Licensee's ID number is required on all...?
|
1st Contact solicitation materials.
|
|
|
False and misleading advertising is...? What is an example? |
Illegal Ad saying "move right in" when the property needs major repairs. |
|
|
Broker has to retain copy of the contract for how many years, starting when?
|
3 years and date of completion (date of listing or close of escrow, whichever is later).
|
|
|
The broker must have a signed, written agreement with who? Why do we do this? |
Each salesperson, whether licensed as a salesperson or a broker Because it covers supervision of licensed activities, duties & compensation. |
|
|
Who is liable for conduct of the salesperson? Do you have to be an employee or an independent contractor? |
The broker is It is either one, it's not one or the other. |
|
|
What is the one advantage to the broker for hiring a self-employed salesperson (independent contractor)? What does a broker have to pay for an independent contactor? |
Brokers doesn't have to pay Social Security & Medicare Worker's Compensation |
