KVV Inc. Training Centre Test - Bond Registration Process

Bond Registration Process
This is a Multiple Choice questionnaire of 10 questions.

Please read each question carefully and provide your answers as indicated.

Good Luck!

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* 1. Kindly provide your full details to begin test.

Full Name

Company

Email Address

Contact Number

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* 2. What is the purpose of a Mortgage Bond?

To waste time before registration of transfer

To obtain the buyers signature on the loan agreement

To provide security to the bank in respect of the finance granted

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* 3. The granting of a Bond is a _________________ condition in the Offer to Purchase. (1)

Resolutive

Suspensive

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* 4. In terms of the National Credit Act the bank will issue the client (purchaser) with:

Marketing brochures and material

The Offer to Purchase

A quotation for acceptance and signature

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* 5. What documents does the bond attorney request from the transferring attorney?

FICA

Draft Deed and Guarantee Requirements

Contact details of the client

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* 6. Who must sign the Bond Documents at the Attorneys office?

Seller

Purchaser

Estate Agent

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* 7. A Guarantee is:

A verbal promise made by the bank

Part of the Offer to Purchase

A document issued by the Bond Attorney confirming that the amount as it appears will pay out on date of registration

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* 8. The bond attorney must ____________________ after signature?

Submit the documents to the bank for perusal and the issue of a proceed instruction

Wait for the Transfer Attorney to arrangement lodgement

Do nothing, their work is now done

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* 9. What will the bank do once the bond attorney advises them that the bond is registered in the Deeds Office?

Move into the house

Pay out the guarantees as issued by the Bond Attorneys

Demand payment of the full bond amount from the purchaser

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* 10. What happens to the original Mortgage Bond and the Title Deed upon delivery from the Deeds Office?

It is destroyed

It is delivered for safekeeping to the client

It is delivered for safekeeping to the bank (bondholder) until bond is settled

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* 11. The following can be pitfalls in the bond registration process:

Special Conditions required to be fulfilled by the bank

A change in the client's financial position

Both a and b above