Trust Account Information
Beginning August 1, 2021, all moneys belonging to others and accepted by the broker while acting in the capacity as a broker shall be deposited in an authorized financial institution in this state in a non-interest-bearing account separate from money belonging to the broker. Clients' funds shall be retained in the depository until the transaction involved is consummated or terminated, at which time the broker shall account for the full amounts received.
Using a title company to hold earnest money is an alternative to having a broker trust account. Beginning August 1, 2021, by law, a broker shall maintain a record tracking the earnest money associated with all transactions even if the funds are deposited directly with the title company and the broker does not take possession of the funds.
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