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Trela Trec RulesTrust_accountsEASY

Under TREC rules, 'commingling' in the context of trust accounts refers to:

Correct Answer

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

Commingling refers to the prohibited practice of mixing client trust funds with the broker's own personal or business operating funds. This violates the fiduciary duty to keep client funds separate and identifiable.

Answer Options
A
Mixing client trust funds with the broker's personal or business operating funds
B
Combining earnest money deposits from two different transactions into one trust account
C
Depositing trust funds into a bank that also holds the broker's personal savings account
D
Using one trust account for both residential and commercial transaction deposits

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Related Topics & Key Terms

Key Terms:

comminglingtrust_fundspersonal_fundsprohibition
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