A Florida broker's escrow account shows a book balance of $50,000, but the bank statement shows $48,500. After reconciliation, there is still a $1,500 shortage. Within how many business days must the broker notify FREC of this shortage?
Correct Answer
A) 1 business day
FREC must be notified within 1 business day of discovering an escrow shortage that cannot be reconciled. B, C, and D all exceed the immediate notification requirement for escrow shortages, which are considered serious violations requiring immediate reporting.
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