Trust Funds
Under California law, trust fund records must be retained for a minimum of:
A1 year
B2 years
C3 years✓ Correct
D5 years
Explanation
California Business and Professions Code requires brokers to maintain trust fund records for a minimum of three years. These records must be available for DRE inspection and include bank statements, journals, and individual beneficiary ledger records.
Related California Trust Funds Questions
- Interest earned on a real estate trust account in California generally:
- When escrow is used in a California real estate transaction, trust funds are typically held by:
- What are 'trust funds' in California real estate practice?
- What is a 'neutral escrow' and when is it used for trust funds?
- What is 'impound' or 'reserve' accounts in real estate lending?
- A property manager receives a security deposit from a tenant. Under California Civil Code, residential security deposits may NOT exceed:
- A property manager collects security deposits from tenants. Under California law, security deposits:
- Conversion of trust funds occurs when a broker:
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