A real estate broker wishes to deposit an ernest money check into his business operating account until settlement so the purchaser can earn a higher rate of interest on her funds. Should he do this?
a. yes, if the purchaser receives a comparison of available interest rates
b. yes, if the broker promises to insure such funds will be available at closing
c. no, these funds must be kept in a separate escrow account
d. no the broker cannot guarantee a higher interest rate
Answer: c. no, these funds must be kept in a separate escrow account
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