Nevada Timeshare License Practice Exam

Disable ads (and more) with a membership for a one time $2.99 payment

Prepare for the Nevada Timeshare License Exam with engaging quizzes, flashcards, and comprehensive explanations. Enhance your learning and get ready for success!

Each practice test/flash card set has 50 randomly selected questions from a bank of over 500. You'll get a new set of questions each time!

Practice this question and more.

If a timeshare resale broker charges an advance fee, what percentage must be placed in a trust account?

The correct answer is: 80%

When a timeshare resale broker charges an advance fee, they are required to place a specific percentage of that fee into a trust account to ensure financial protection for their clients. The requirement to place eighty percent of the advance fee in a trust account is intended to safeguard consumer interests, providing assurance that a significant portion of the fee will be available to complete the sale or provide services related to the resale of the timeshare. This regulation helps prevent potential abuses by ensuring that brokers do not misuse upfront fees, thus fostering greater trust and accountability in the timeshare resale market. By mandating such a stipulation, clients are protected from losing substantial sums if a broker fails to deliver the promised services after receiving the fee. Overall, this approach reflects the regulatory aim of protecting consumers and maintaining ethical practices within the timeshare industry.