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American_Bankers_Association

CTFA · Question #122

Money given by a buyer to a seller, as part of the purchase price to bind a transaction or assure payment.

The correct answer is C. Earnest money. See the full explanation below for the reasoning.

Fiduciary and Trust Activities

Question

Money given by a buyer to a seller, as part of the purchase price to bind a transaction or assure payment.

Options

  • ADown Payment
  • BEscrow
  • CEarnest money
  • DDeed of trust

How the community answered

(61 responses)
  • A
    3% (2)
  • B
    8% (5)
  • C
    85% (52)
  • D
    3% (2)

Topics

#earnest money#real estate transactions#purchase price#escrow

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