A Washington settlement agent sends a broker $480 after a 2026 closing to reimburse a fee the broker already paid. May the post-closing reimbursement be deposited directly in the broker’s general account?
Correct Answer
A) Not trust funds: it may go straight into the broker general account
Funds received by a broker from a settlement agent or lender on or after closing, for payments the broker made or will make to third-party service providers, are not trust funds and may be deposited directly into the broker general account. Other choices: relating to a third-party service is not enough, since the source and timing here take it outside; no proof of the earlier payment is required to characterize it; and borrower consent is not the test. Source: WAC 208-660-410(1)
Why This Is the Correct Answer
Funds received by a broker from a settlement agent or lender on or after closing, for payments the broker made or will make to third-party service providers, are not trust funds and may be deposited directly into the broker general account. Other choices: relating to a third-party service is not enough, since the source and timing here take it outside; no proof of the earlier payment is required to characterize it; and borrower consent is not the test. Source: WAC 208-660-410(1)
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