Trust Funds
A real estate salesperson receives cash earnest money directly from a buyer. The salesperson should:
ADeposit it in their personal account for safekeeping
BImmediately deliver it to their employing broker✓ Correct
CHold it until the contract is fully executed
DDeposit it in the salesperson's business account
Explanation
A salesperson who receives trust funds must immediately deliver them to their employing broker, who is responsible for proper handling and deposit.
Related Alabama Trust Funds Questions
- An Alabama broker who knowingly issues a check from the trust account with insufficient funds to cover it may face:
- What is an IOLTA account in the context of real estate trust accounts?
- How long must Alabama brokers retain trust account records?
- In Alabama, a broker found guilty of conversion of trust funds may face which consequences?
- A real estate broker's operating account is used for:
- Conversion of trust funds in Alabama means:
- If a buyer's check bounces after being deposited into the trust account, the broker should NOT:
- AREC's trust account audit authority is intended primarily to:
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