CHAPTER 14

Question 1

A CLAUSE IN A MORTGAGE OR DEED OF TRUST THAT PERMITS THE LENDER TO REQUIRE THE ENTIRE BALANCE BE PAID UPON A BUYER DEFAULT

Answer 1

ACCELERATION CLAUSE

Question 2

A CLAUSE IN A MORTGAGE OR DEED OF TRUST THAT PERMITS THE LENDER TO REQUIRE THE ENTIRE BALANCE BE PAID IF THE BUYER TRANSFERS OWNERSHIP OF THE PROPERTY

Answer 2

ALIENATION CLAUSE

Question 3

A LOAN DOCUMENT THAT PLACES THE PROPERTY AS COLLATERAL FOR THE LOAN

Answer 3

DEED OF TRUST

Question 4

THE PERSON WHO BENEFITS FROM THE TRUST

Answer 4

BENEFICIARY

Question 5

A CLAUSE IN A MORTGAGE OR DEED OF TRUST THAT REQUIRES THE LENDER TO RECORD A RELEASE OF THE LIEN UPON REPAYMENT OF THE LOAN

Answer 5

DEFEASANCE CLAUSE

Question 6

A PERSONAL JUDGMENT AGAINST THE BORROWER WHEN THE FORECLOSURE SALE DOSE NOT PRODUCE ENOUGH MONEY TO FULLY PAY THE DEBT

Answer 6

DEFICIENCY JUDGMENT

Question 7

A LOAN CHARGE THAT HAS THE EFFECT OF INCREASING THE LENDERS YIELD, ONE DISCOUNT POINT INCREASES YIELD BY 1/8TH OF 1 PERCENT

Answer 7

DISCOUNT POINT

Question 8

WHEN A DEFAULTING BORROWER PAYS THE LATE PAYMENT AND FEES BEFORE THE FORECLOSURE SALE, REINSTATING THE LOAN

Answer 8

EQUITABLE REDEMPTION

Question 9

A LEGAL PROCESS IN WHICH THE PROPERTY PLEDGED AS COLLATERAL FOR THE LOAN IS SOLD TO SATISFY THE THE DEBT

Answer 9

FORECLOSURE