Trust Funds
In Alabama, a real estate broker's trust (escrow) account must be:
AA non-interest-bearing account at any financial institution
BMaintained in a federally insured financial institution in Alabama✓ Correct
CHeld in the broker's personal bank account
DInvested in money market funds
Explanation
Alabama law requires broker trust accounts to be maintained in a federally insured financial institution located in Alabama.
Related Alabama Trust Funds Questions
- A broker who holds earnest money from a buyer and the deal falls through due to a contract dispute must:
- When a broker receives a post-dated check as earnest money, the best practice is to:
- Under Alabama law, AREC may audit a broker's trust account:
- An Alabama broker's trust account is subject to AREC examination:
- Conversion of trust funds in Alabama means:
- Which of the following would be considered a violation of Alabama trust account rules?
- What is an IOLTA account in the context of real estate trust accounts?
- Alabama regulations require brokers to maintain trust account records for at least:
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