West Virginia Mortgage Law Practice Test

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Prepare for the West Virginia Mortgage Law Practice Test. Study with flashcards and multiple-choice questions, each with hints and explanations. Get ready for your exam!

Practice this question and more.

All funds disbursed by the lender to the settlement agent must be:

Available funds
Good funds
Liquid funds
Verified funds

The correct answer is: Available funds

Funds being "available" means that they are ready and accessible for use. In this scenario, the lender needs to make sure that the funds they are disbursing to the settlement agent are available and can be used immediately, without any restrictions or delays. Options B, C, and D all have some sort of limitation or requirement attached to them. Option B, "good funds", usually refers to certified checks or wires, which may have certain hold times or fees associated with them. Option C, "liquid funds", could potentially include cash, but also other assets that may take time to be converted into cash. Option D, "verified funds", may require additional steps or documentation to confirm their validity, which can cause delays in the disbursement process. Therefore, the best choice in this situation is to ensure that the funds are completely available for use, without any strings attached. This helps to expedite the settlement process and ensure that all parties involved are able to receive and use the funds in a timely manner.