Broker Sarah maintains her trust account records but has not reconciled the account for the past 45 days. During a GREC audit, what violation has occurred?
Correct Answer
C) Serious violation - reconciliation must occur monthly
GREC rules require trust account reconciliation monthly. This is a serious violation that could result in disciplinary action. A is incorrect as quarterly is too infrequent. B understates the severity. D is incorrect as regular reconciliation is mandatory regardless of deposit frequency.
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More Grec Rules Disciplinary Questions
Broker Mike receives a complaint letter from GREC regarding allegations that he failed to properly supervise his affiliated licensees. How many days does Mike have to respond to GREC's complaint?
Broker Mike maintains his trust account at First National Bank but wants to switch to Community Bank for better service. What must he do according to GREC rules?
A licensee distributes printed flyers advertising a residential listing. The flyers include property photos, price, and features but do not display the licensee's name or the brokerage firm's name anywhere on the material. Which GREC advertising requirement has been violated?
Broker Janet's trust account shows a shortage of $2,500 during a routine audit. She claims it's due to a bank error and will be corrected. What is GREC's likely response?
Broker Johnson receives a $5,000 earnest money check from buyer Smith for a property purchase. The closing is scheduled for 30 days later. According to GREC rules, what must Broker Johnson do with this earnest money?
- → According to GREC advertising rules, what name identification is required on a real estate yard sign placed on a listed property?
- → A newly licensed Georgia salesperson asks why exam preparation materials cover both recordkeeping and advertising rules in the same study section. What is the best explanation?
- → In a formal GREC disciplinary hearing regarding alleged license law violations by a licensee, what standard of proof must be met to support disciplinary action?
- → Agent Carlos Martinez violated GREC advertising rules by failing to include his brokerage name in multiple property advertisements. This is his first offense with no other violations on record. What is the most likely initial disciplinary action the GREC will take?
- → A Georgia licensee wants to advertise a property that the licensee personally owns. Under GREC advertising rules, which statement best describes the licensee's obligations?
- → Broker Davis discovers that $2,000 in earnest money was mistakenly deposited into his operating account instead of his trust account. What must he do immediately?
- → According to GREC regulations, what is the minimum period a Georgia broker must retain records of trust account transactions?
- → Real estate firm ABC Realty wants to advertise on social media. According to GREC advertising rules, what information must be included in their Facebook advertisement?
- → Agent Smith places a newspaper advertisement that reads 'Beautiful 3BR/2BA home, great location, call Smith 555-1234.' What GREC rule violation has occurred?
- → Broker Taylor's trust account is overdrawn by $500 due to a bank error. The bank corrects the error the next day. Must Taylor report this to GREC?
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Previous Question
During a file review involving a small retail suite in Glynn County, the broker flags a Georgia compliance issue. Example 19 is under review. The office is debating the claim that a licensee can advertise a listed property without the owner’s permission if the licensee personally believes the property is marketable. It is comparing that claim with the rule that internet or online advertising must be updated when information becomes misleading; a stale online posting can still create a Georgia advertising problem. The review topic is advertising rules, firm-name prominence, written permission, discriminatory advertising, and internet removal timing. Which statement is correct?
Next Question
Real estate firm ABC Realty wants to advertise on social media. According to GREC advertising rules, what information must be included in their Facebook advertisement?