The practice of adding to the estimated closing statement a surplus to the amount of funds necessary for the buyer to close escrow is called

Study for the California Escrow Exam. Dive into detailed content with flashcards and multiple choice questions, accompanied by explanations and hints. Ensure your success on test day!

Multiple Choice

The practice of adding to the estimated closing statement a surplus to the amount of funds necessary for the buyer to close escrow is called

Padding the estimated closing statement means inflating the amount of funds shown as needed to close, so the buyer is shown as needing more money than truly required. This term specifically describes adding a surplus to the funds necessary to complete escrow. Packing isn’t a recognized term for this practice, and while padding can be unethical or illegal if done to deceive, those words describe the behavior or consequences rather than the act itself. So the best fit is padding.

The practice of adding to the estimated closing statement a surplus to the amount of funds necessary for the buyer to close escrow is called

Study for the California Escrow Exam. Dive into detailed content with flashcards and multiple choice questions, accompanied by explanations and hints. Ensure your success on test day!

The practice of adding to the estimated closing statement a surplus to the amount of funds necessary for the buyer to close escrow is called

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