What are the minimum requirements applicable to each broker’s trust account?

In accordance with A.R.S. § 32-2151.B, the minimum requirements for a broker’s trust account include:

(1) Monies shall be used only for the purpose for which the monies were deposited.

(2) A complete record of all monies received in connection with a real estate transaction in the broker’s main or branch office located in Arizona or off-site storage location in Arizona.

(3) The broker’s records shall be kept according to generally accepted accounting principles (GAAP) and shall include a properly descriptive receipts and disbursement journal and client ledger.

(4) The broker shall maintain a trust account bank reconciliation and client ledger balance on a monthly basis and shall remove any interest earned on a trust account at least once every twelve (12) months.

(5) A broker shall not permit advance payment of monies belonging to others to be deposited in the broker’s personal account or to be commingled with the broker’s personal monies.

(6) When establishing a trust account, the broker may deposit no more than $3,000 of the broker’s monies to keep a trust account open or to avoid charges for an insufficient minimum balance.

(7) Any computerized records shall be kept in a manner allowing reconstruction in the event of description of electronic data.