Exam 26: Credit, mortgages, and Debtors Rights

A ________ is a judgment of a court that permits a secured lender to recover other property or income from a defaulting debtor if the collateral is insufficient to repay the unpaid loan.

Which of the following federal statutes requires creditors to disclose finance charges,including interest,points,and other fees paid?

Ashton borrows $25,000 from Amanda.Amanda lends the money to Ashton without taking an interest in collateral for the loan.Amanda is relying on Ashton's credit standing when she makes the loan.What kind of creditor is Amanda?

A ________ is a written document signed by a contractor,subcontractor,laborer,or material person,waiving his or her statutory lien against real property.

Roundwell Motors purchases a manufacturing plant for $15 million,pays $5 million in cash as down payment,and borrows the remaining $10 million from Home Providence Bank.To secure the loan,Roundwell gives the plant as collateral to Home Providence Bank.If Roundwell defaults on their payment,what is the recourse available to Home Providence to recover the loan?

Foreclosure sales are permitted only in select states.

Which of the following real property transactions places legal title in real property with a trustee?

In a guaranty agreement,the guarantor is primarily liable on the debt.

A ________ requires a mortgage or deed of trust to be recorded in the county recorder's office of the county in which the real property is located.

The proceeds from the sale of real or personal property authorized by a writ of execution are used to pay the creditor the amount of the final judgment.

A deed of trust is a two-party instrument.

A prejudgment court order that permits the seizure of a debtor's property while a lawsuit is pending is known as a ________.

A ________ is an instrument that evidences a borrower's debt to the lender for a real property.

Melissa owes her bank money for credit card bills.For the past two weeks,debt collectors have been harassing her for bill payment by coming to her workplace.Her boss tells her to not have such meetings at the workplace,and despite requesting the collection agency not to do so,the collectors continue to visit her at her workplace.Which of the following Acts would protect Melissa from such harassment?

A written reconveyance transfers the title of a real property from the trustee.

An arrangement where an owner of real property borrows money from a lender and pledges the real property as collateral to secure the repayment of the loan is known as a(n)________.

Surplus money obtained from a foreclosure sale must be given to the mortgagor.

Which of the following Acts protects debtors who are subject to writ of garnishment from excessive action?

Alan wins a $50,000 judgment against Henderson.But Henderson refuses to pay the amount of the judgment to Alan.Alan obtains a postjudgment writ from the court directing the sheriff to seize Henderson's automobile and other property and have them publicly auctioned off to satisfy the judgment.Which of the following writs did Alan use?

The garnishor is the party that is in possession of the debtor's property.