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Practice Of Real EstateTrust_accountsEASY

Commingling escrow funds in Kentucky means:

Correct Answer

B) Mixing client funds with the broker's personal or business operating funds

Commingling — mixing trust funds with the broker's own money — is a serious violation of Kentucky real estate law and KREC regulations. Trust funds must be kept separate in a designated escrow account.

Answer Options
A
Properly separating funds
B
Mixing client funds with the broker's personal or business operating funds
C
Transferring funds between trust accounts
D
Depositing earnest money

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Related Topics & Key Terms

Related Topics:

conversion of fundstrust account requirementsKREC prohibited actsearnest money handlingKRS 324.160

Key Terms:

comminglingtrust accountclient fundsKREC violationescrow
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