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35 Cards in this Set
- Front
- Back
Which of the following is not one of the FCA principles of business? |
To arrange adequate protection for the firm's assets. |
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Which of the the following is not an example of a controlled function within a firm? |
Accountant. |
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Which of the following are responsible for their own compliance with FCA regulations? |
Directly authorised firms. |
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How long is the cooling off period once a mortgage has commenced? |
There is no cooling off period. |
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Which type of property ownership in England and Wales means that owners of a property in an apartment block can assert their joint rights over their properties? |
Commonhold. |
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What happens to easement or convenant when land is sold on? |
The easement or convenant passed to future owners. |
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In Scotland, when does a contract relating to a property purchase become legally binding? |
When offer is accepted. |
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In Scotland, if an individual dies interstate what prior rights has any surviving spouse without children entitled to? |
The house up to the value of £473,000 plus house furnishing up to the value of £29,000 plus £89,000 of the rest of the estate. |
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Who is not specifically a target market for the go enemy's Newbuy scheme? |
Buyers of existing properties. |
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Which of following is not usually an option for a mortgage applicant whose status is less favourable than expected? |
To purchase the property for a lower price. |
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How do banks finance their mortgage lending? |
Wholesale markets. |
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Which of the following statements best describe correspondent lending? |
The firm which deals with the borrower is not the firm who provides the funds for the loan |
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If a seller has accepted an offer, but the buyer later lowers their offer, what is this known as? |
Gazundering |
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In Scotland, what is the most common method of house sale? |
Private bargain. |
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Which of the following does not represent a typical stage of self build construction for releasing funds? |
The roof going on. |
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From what age can benefits normally be taken from a personal pension plan, thereby allowing a tax free lump sum to be used to pay off a mortgage? |
55 |
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What is the name given to the difference between the buying and selling prices of units in a unit trust? |
Bid offer spread. |
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Which type of mortgage had a variable rate set at a specific percentage below the standard variable rate? |
Discounted. |
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If the mortgage is to fund a self build, what will the lender insist upon? |
That the builder is a member of the NHBC or equivalent, or a qualified architect overseas the build. |
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In the case of unregistered land, how is investigation of tittle carried out in England and Wales? |
By way of land charges registry. |
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In Scotland, what is the specific name given to the contract between lender and borrower which is generally referred to as the mortgage deed? |
Standard security. |
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Which form is issued to all employed persons each year which confirms the total income earned in the tax year? |
P60 |
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How can a personal pension be used to pay off an interest only mortgage at the end of the mortgage term? |
The 25% tax free cash from a personal pension can be used for this purpose. |
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If a property is built or an improv men made to an existing property without a build mark scheme guarantee, what will a lender usually insist upon before releasing funds? |
An architects certificate to certify completion of works. |
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Which of the following is NOT a grade of a listed building in England and Wales? |
Grade ||* |
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Mrs Thomas purchases her main residence for £510,000. What level of stamp duty land tax is payable? |
4% |
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Which type of endowment is mainly used to fund an interest only mortgage and is a combination of full endowment and decreasing term assurance? |
Low cost with profits endowment. |
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Which currency is most commonly used for foreign currency mortgages? |
Euro |
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What is the name given to the types of Islamic mortgage where the bank buys the property and immediately sells it back to the customer for a higher price? |
Murabaha |
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Which of the following is NOT a feature of a lifetime mortgage? |
Part or all of the home is sold to a company. |
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If a borrower is experiencing financial difficulties, what may they opt for as an alternative to bankruptcy? |
Individual voluntary agreement. |
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Which law in Scotland relates to the legal remedies that a lender may take to recover a debt? |
Conveyancing and feudal reform (Scotland) Act 1970 |
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How can a lender check if a mortgage applicant has been subject to a possession proceedings in the past? |
By searching the council of mortgage lenders database of possession records. |
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If the proceeds from the sale of a repossessed property do not cover the mortgage, what action can the lender take? |
Sue on the personal covenant of the borrower. |
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0 - 125,000 - 0% 125,000 - 250,000 -1% 250,000 - 500,000 - 3% 500,000 - 1 mil - 4% 1 mil - 2 mil - 5%
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Stamp duty. |