1. What are ‘voids’?
a) Periods during which a rental property is not let.
b) Periods during which buy-to-let property is for sale.
c) Periods during which tenants do not pay rent on buy-to-let property.
d) Periods during which outgoings exceed rental income rent on buy-tolet
property.
2 What is bridging finance?
a) Finance that is part interest-only and part capital and interest.
b) Finance where the borrower is between jobs and about to start a new one.
c) Finance to buy a property when the
owner’s existing property has not yet
been sold.
d) Finance to two individuals who are
not married nor in a civil partnership.
3 Over what period are mortgages
traditionally taken out in the UK?
a) 10 years
b) 25 years
c) To retirement age
d) 50 years
4 What is the current normal
retirement age band for personal
pensions?
a) 50-65
b) 55-65
c) 55-70
d) 50-75
5 What tax may be payable on
someone’s death in the UK?
a) Death duties
b) Inheritance Tax
c) Capital Transfer Tax
d) Capital Gains Tax
6 What is the rent-a-room scheme?
a) A CML scheme allowing mortgage
borrowers to let out one room without
having to tell their lender
b) A tax provision that allows part of a
person’s main residence to be rented
out for up to £4250 a year, tax free.
c) A government initiative allowing
rooms to be let to a tenant to get a
reduction in council tax.
d) A scheme to let rooms to asylum
seekers rent-free.
7. Which of the following is a hard
fact?
a) The customer’s views on pension
mortgages.
b) The customer’s attitude to
investment risk.
c) The customer’s current income.
d) The customer’s attitude to interest
rate risk.
8. The person appointed within a
firm to manage money laundering
issues is called:
a) An authorised person
b) The finance director
c) The compliance officer
d) The Money Laundering Reporting
Officer
1 a) Voids are vacant periods between lets.
2 c) Bridging finance is usually short term
3 b) 25 years is the traditional period, but other
periods can be chosen. However, mortgages are not
normally chosen to run past retirement age.
4 d) Pension benefits cannot be taken before age 50
(except in the case of serious ill health or for certain
limited occupations) and must be taken by age 75.
5 b) Inheritance tax is payable on death.
6 b) The scheme is designed to encourage more
private letting.
7 c) Hard facts are uncontroversial.
8 d) The MLRO has a duty to report potential breaches to the Serious Organised Crime Agency.
