12 Alaska Admin. Code § 64.220

Current through October 17, 2024

Section 12 AAC 64.220 - Record of trust account transactions

(a) A broker shall assign a transaction code and establish a transaction ledger for each written offer to purchase real estate. This ledger must include

(1) a transaction code;

(2) a legal description of the property;

(3) the name of the property owner;

(4) for all deposits, the

(A) date;

(B) name of the trustor; and

(C) purpose of the funds received; and

(5) for all funds paid from the account, the

(A) date;

(B) check number;

(C) name of payee; and

(D) purpose of the payment.

(b) For each property management contract, a broker shall assign a transaction code that is identified with a specific landlord or property. The broker shall track the funds received and disbursed for the landlord in an accompanying transaction ledger. The broker shall also track the funds of each tenant through a related but separate transaction code and transaction ledger. These transaction ledgers must include

(1) a transaction code;

(2) an identification of the property or unit within the property;

(3) the name of the property owner;

(4) for all deposits, the

(A) date;

(B) name of the person making the payment; and

(C) purpose of the payment; and

(5) for all disbursements from the account, the

(A) date;

(B) check number;

(C) name of the payee; and

(D) purpose of the payment.

(c) A broker shall establish a separate ledger to account for any funds deposited to a trust account to cover service charges in accordance with 12 AAC 64.180(d).

(d) A broker shall establish a ledger for every transaction, including those transactions for which the deposit is held in the trust account of a cooperating broker, title company, or another third party.

(e) A broker shall retain the following transaction and trust account records:

(1) transaction ledgers;

(2) records of deposit showing the date, transaction code, amount of the deposit, and trustor's name;

(3) all disbursement records, including voided checks written on the trust account, showing the date, payee, and transaction code;

(4) all cancelled checks, bank statements, and monthly reconciliations; and

(5) all transaction contracts and supporting documents.

(f) Trust accounts must be reconciled monthly by completing a

(1) reconciliation of the bank statement with the check register;

(2) reconciliation of the monthly deposits and expenditures with the independent transaction ledger for each transaction; and

(3) cross-check of the bank balance with the sum of the transaction ledgers.

12 AAC 64.220

Eff. 1/19/78, Register 65; am 7/16/94, Register 131

Authority:AS 08.88.081

AS 08.88.351