PASS GEORGIA
REAL ESTATE EXAM PREPGEORGIA REAL ESTATE EXAM GLOSSARY
Commingling is the improper mixing of money belonging to clients, customers, tenants, owners, or other persons with a broker's personal or operating funds.
State Laws and Rules
Georgia trust funds
Define, distinguish, apply, retrieve
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PASS GEORGIA
REAL ESTATE EXAM PREPGEORGIA REAL ESTATE EXAM
GLOSSARY TERM GUIDEBuild the complete exam definition
Learn the rule, separate it from the nearest distractor, then apply it to a Georgia fact pattern.
What does Commingling mean?
Commingling is the improper mixing of money belonging to clients, customers, tenants, owners, or other persons with a broker's personal or operating funds.
How do you separate the nearest exam answer?
Commingling is improper mixing. Conversion is unauthorized control or use of another person's funds. Conversion can occur with or without prior commingling.
What changes or stays the same in Georgia?
Georgia requires separate trust or escrow accounts for covered funds. A broker may keep only an amount expressly permitted for account service charges or similar purposes under the rules.
A broker deposits an earnest-money check into the firm's operating account for two days before moving it to trust. The temporary mixing is commingling.
Good intentions, prompt replacement, or absence of consumer loss do not erase the violation.
PASS GEORGIA
REAL ESTATE EXAM PREPGEORGIA REAL ESTATE EXAM
GLOSSARY TERM GUIDERetrieve the rule under exam conditions
Answer before reading the explanation. Then explain why every distractor belongs to a different term.
On a Friday, a broker deposits a buyer's earnest-money check into the firm's operating account and moves it to the trust account on Monday. None of the money was spent. How is this best described?
- A
Commingling, since client and firm funds were mixed
- B
Conversion, because the broker took control of the money
- C
No violation, because the funds were moved promptly
- D
No violation, because the buyer suffered no loss
Placing client money in the firm's operating account mixes it with the broker's funds, which is commingling. Moving it quickly or causing no loss does not erase the violation. It is not conversion here because the money was not used for the broker's own purposes.
Mark each box only when you can perform the skill without looking.
I can define the term in one precise sentence.
I can separate it from the closest look-alike.
I can explain the Georgia rule or confirm that the national rule applies.
I can answer the practice check and explain every option.
PASS GEORGIA
REAL ESTATE EXAM PREPGEORGIA REAL ESTATE EXAM
GLOSSARY TERM GUIDEConnect the term to the wider exam
Use these relationships to move from isolated recall to a connected exam model.
State Laws and Rules complete lesson
https://www.passgeorgiarealestate.com/blog/grec-trust-account-earnest-money-rules
Official exam administration and content-outline source.
https://test-takers.psiexams.com/api/content/bulletin/4672GREC's official portal to Title 43, Chapter 40 and related real estate laws.
https://grec.state.ga.us/information-research/license-law/Official Georgia Secretary of State publication of Commission rules governing licensure and brokerage.
https://rules.sos.ga.gov/gac/520-1