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Alberta Real Estate Licensing Exam Practice · Question

A managing broker discovers that an associate has been holding client deposits in their personal bank account for an extended period. This is a serious breach of which RECA Rule?

RECA Rules Section 46(1) explicitly states that all trust money received must be deposited into the brokerage's real estate trust account no later than one busi

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Question: A managing broker discovers that an associate has been holding client deposits in their personal bank account for an extended period. This is a serious breach of which RECA Rule?

Answer options: ✅ Handling of Trust Money (Section 46)

  • Disclosure of Interest (Section 55)
  • Record Keeping (Section 50)
  • Advertising (Section 42)

Correct answer: Handling of Trust Money (Section 46)

Explanation: RECA Rules Section 46(1) explicitly states that all trust money received must be deposited into the brokerage's real estate trust account no later than one business day after receipt. Holding client deposits in a personal account is a severe violation of the proper handling of trust money.

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