This course fulfills the Department of Real Estate mandated 3-hour Trust Funds requirement for first time license renewals. Instruction includes the importance of knowing how to properly handle trust funds to help keep licensees from losing their emphasizes licenses. Discover the importance of properly accounting for client's deposits. Whether a salesperson or a broker, licensees need to know how to maintain records and document the receipt and disbursement of trust funds in a manner that is consistent with the law.Course Goals
The purpose of this course is
- To minimize the licensee's risk of being audited by the Departmentof Real Estate
- For those brokers who are audited, to come through with a clean bill of "trust fund compliance health."
- The overall concept of trust fund accountability is covered in this course.
- Also discussed are prudent business practices which the licensee must follow in order to avoid the possibility of harsh results stemming from an audit by the DRE.
Course Instructional Objectives
- The major requirements concerning the receipt, handling, and disbursement of trust funds are discussed.
Upon completion of this course, the student will be able to:
- Identify DRE requirements for handling trust funds
- Comply with trust fund bank account regulations
- Maintain and reconcile trust fund accounting records
- List the documentation required for various real estate transactions
- Prepare for an audit by the DRE
- Record transactions on the columnar record forms
- Recognize the consequences of violating the law as it relates to trust fund handling.