A real estate brokerage performs a monthly reconciliation of its trust accounts. During the September reconciliation, the broker discovers a discrepancy of $500, where the bank statement balance is higher than the trust ledger balance, and the source cannot be immediately identified. What is the broker's immediate obligation under the Real Estate Act and RECA Rules?

Question: A real estate brokerage performs a monthly reconciliation of its trust accounts. During the September reconciliation, the broker discovers a discrepancy of $500, where the bank statement balance is higher than the trust ledger balance, and the source cannot be immediately identified. What is the broker's immediate obligation under the Real Estate Act and RECA Rules?

Answer options: ✅ The broker must immediately notify RECA of the actual or potential shortage or surplus in the trust account.

• The broker has 30 days to resolve the discrepancy before reporting it to RECA.
• The broker should adjust the trust ledger to match the bank statement and continue monitoring.
• The broker only needs to report discrepancies greater than $1,000 to RECA.

Correct answer: The broker must immediately notify RECA of the actual or potential shortage or surplus in the trust account.

Explanation: The Real Estate Act and RECA Rules mandate that if a broker discovers any actual or potential shortage or surplus in a trust account, they must immediately report it to RECA. This ensures transparency and protects consumer funds.