After paying off a California mortgage loan, the trustee must record the reconveyance within:
Correct Answer
C) 21 calendar days
California law requires the trustee to record the deed of reconveyance within 21 calendar days of receiving the payoff and reconveyance request.
Why This Is the Correct Answer
California law requires the trustee to record the deed of reconveyance within 21 calendar days of receiving the payoff and reconveyance request.
Why the Other Options Are Wrong
Option A: 10 calendar days
10 days is shorter than the required period.
Option B: 30 calendar days
30 days exceeds the 21-day deadline.
Option D: 60 calendar days
60 days far exceeds the required timeframe.
Memory Technique
CA -> ca-foreclosure-property-servicing-and-debt-collection
Exam Tip
Legacy California general items should be used sparingly; they are kept officially supported for existing content but new MLO growth should focus more on DFPI/DRE, CFL, CRMLA, covered-loan, and usury rules.
Common Mistakes to Avoid
- -Using a national baseline answer when California has agency-specific DFPI or DRE requirements
- -Confusing CFL, CRMLA, covered-loan, usury, servicing, and DRE endorsement rules
- -Relying on legacy California state-exam or education assumptions instead of current NMLS source pages
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