Earnest Money Issues
Fines for mishandling of earnest money range from $100 - $250
Earnest Money and pending Contracts must be submitted to Maximum One™ within 72 hours of the Binding Agreement Date unless otherwise specified and agreed-upon by the parties in the contract, so that we may comply with the deposit rule of 5 banking days as noted in GAR Contract forms 3 banking days as noted in the RE Contract Forms and Georgia Law. Note that those are clock hours, not “business hours”.
Our office has envelopes for Earnest Money (described below), and Agents have the ability to use Remote Earnest Money Deposit, or FEDEX to get deposits in within the given timeline.
Never drive around with someone else’s Earnest Money in your mobile office, briefcase, etc. You are liable for the Earnest Money when in your possession.
Earnest Money Envelopes:
Use a white envelope for Earnest Money; it will be DEPOSITED IMMEDIATELY by your Broker. Fill out the front of the pre-printed envelope, insert the check, seal and leave in the office drop box.
Earnest Money over $5,000
Any earnest money to be held by Maximum One that is OVER $5,000 must be in the form of certified funds or must be wired directly to Maximum One's escrow account
Earnest Money Checks Dishonored by Bank
If your client/customer's earnest money check is dishonored by the bank, we will contact you first & then send notice to the Buyer & Seller per the contract on which your agreement is written. There is a $35 fee for the returned check that we will put on your agent account which you may collect from your client/customer. Replacement funds for dishonored earnest money checks MUST be in the form of certified funds or wire transfers to the Maximum One Escrow account. This policy is in effect even if Maximum One is holding earnest money for a co-op agent's client.
Expecting Earnest Money from a Client / Customer / Co-op Customer
If you are expecting earnest money from your client or a co-op client (i.e. the contract says that Maximum One is to hold the earnest money and you do not have it in your possession) it is YOUR RESPONSIBILITY to check on the whereabouts of that earnest money. If Maximum One does not have it as the contract says we should you MUST NOTIFY us so we may contractually fulfill our obligation to notify the parties.
MX1 Greater Atlanta
Wiring Instructions
Agents may wire trust funds into Maximum One Greater Atlanta
Trust Accounts per the Following Instructions.
Make SURE to Wire funds into the PROPER Account – MXGA if you are an
agent with Maximum One REALTY Greater Atlanta & MXGR id you are an agent
with Maximum One Greater Atlanta REALTORS.
If you are an Agent with Maximum One Executives, please contact your
Broker directly.
Closing Commissions may NOT be Wired!
Closing Commissions may NOT be Wired!
MXGA Wiring Instructions for Trust Funds
·
ABA Routing# 061092387
·
Chase Main Address:
Chase Bank
3475 Piedmont Road NE
Floor 19
Atlanta, GA 30305
·
Greater Atlanta, LLC
dba Maximum One Realty Greater Atlanta Address:
5041 Dallas Hwy.
Bldg. #700
Powder Springs, GA 30127
·
MXGA Account Number for Trust Account: # 591921502
·
Sender needs to add Property Address in “Memo
Section” of Wire
·
Sender should make a note of the Wire Transaction
Number they Receive
·
Agent needs to notify Maximum One Compliance (Compliance@eAGENTweb.com ) and Transactions (Transactions@eAGENTweb.com) that funds have been wired
MXGR Wiring Instructions for
Trust Funds
·
ABA Routing# 061092387
·
Chase Main Address:
Chase Bank
3475 Piedmont Road NE
Floor 19
Atlanta, GA 30305
·
Maximum One Real
Estate Group, LLC dba Maximum One Greater Atlanta Realtors Address:
3200 Cobb Galleria Pkwy.
Suite #275
Atlanta, GA 30339
·
MXGR Account Number for Trust Account: # 592961580
·
Sender needs to add Property Address in “Memo
Section” of Wire
·
Sender should make a note of the Wire Transaction
Number they Receive
·
Agent needs to notify Maximum One Compliance (Compliance@eAGENTweb.com ) and Transactions (Transactions@eAGENTweb.com) that funds have been wired
·
Fees for Wire Transfers: These fees will be charged to your account so be sure & collect them from your client/customer
$15 for domestic
$30 for International
PLUS $5 for written notification from bank which is REQUIRED
MX1 Greater Atlanta
Remote Earnest Money Deposit Instructions (Chase Bank)
Agents may deposit earnest money for a contract remotely at
any Chase bank following the procedures below.
If any agent misuses this privilege, that agent may be suspended from
being allowed to use this remote procedure for depositing Trust funds.
MXGA REMOTE EARNEST MONEY DEPOSIT PROCEDURES: Chase Bank (MXGA- Realty)
·
To deposit Earnest Money remotely, one must
complete the following items. This
protocol must be strictly adhered to as to avoid accounting nightmares and GREC
Trust Account compliance issues. Failure
to abide by the protocol will result in Remote Deposit Privilege revocation. Here is what Agents need to do remotely:
1. Completely
fill in deposit slip(s). A separate
Deposit slip must be used for each Earnest Money Deposit. If there are two earnest money checks there
should be two deposits with two deposit slips.
2. Endorse
the back of the check “Greater Atlanta,
LLC”
For Deposit Only
592961502
Escrow/Trust”
3. Make
copies of the
a. Earnest
Money Check
b. Deposit
Slip
c. Deposit
Receipt.
d. Include:
Buyer’s Name, Property Address, Agent’s Name
4. Deposit
the Earnest Money into any branch of Chase Bank.
5. Upload
copies to Paperless Pipeline immediately
and email Transactions@eAGENTweb.com Must be done same day as Deposit.
6.
Upload
the Bluesheet, contract, Buyer Brokerage/Customer Acknowledgement & other
contract documents to Paperless Pipeline.
Contact our Compliance Broker (Compliance@eAGENTweb.com
770-919-8825 ext 309) if you have any questions.
7. Check
Paperless Pipeline & make sure that the Deposit was uploaded.
8. Enjoy
the freedom of Virtual Realty: not coming into the office!
·
I, the undersigned have read and understand the
seriousness of accuracy in Remote Earnest Money Deposit Protocol. I understand that if I do not follow the
protocol that my privileges may be revoked.
I also understand that if there are any fines charged to Maximum One by
GREC due to my negligence that I will incur those charges and reimburse Maximum
One.
MXGR REMOTE EARNEST MONEY DEPOSIT PROCEDURES: Chase Bank (MXGR- Realtor)
·
To deposit Earnest Money remotely, one must
complete the following items. This
protocol must be strictly adhered to as to avoid accounting nightmares and GREC
Trust Account compliance issues. Failure
to abide by the protocol will result in Remote Deposit Privilege
revocation. Here is what Agents need to
do remotely:
1. Completely
fill in deposit slip(s). A separate
Deposit slip must be used for each Earnest Money Deposit. If there are two earnest money checks there
should be two deposits with two deposit slips.
2. Endorse
the back of the check “Maximum One Real
Estate Group, LLC”
For Deposit Only
592961580
Escrow/Trust”
3. Make
copies of the
a. Earnest
Money Check
b. Deposit
Slip
c. Deposit
Receipt.
d. Include:
Buyer’s Name, Property Address, Agent’s Name
4. Deposit
the Earnest Money into any branch of Chase Bank.
5. Upload
copies to Paperless Pipeline immediately
and email Transactions@eAGENTweb.com Must be done same day as Deposit.
6.
Upload
the Bluesheet, contract, Buyer Brokerage/Customer Acknowledgement & other
contract documents to Paperless Pipeline.
Contact our Compliance Broker (Compliance@eAGENTweb.com
770-919-8825 ext 309) if you have any questions.
7. Check
Paperless Pipeline & make sure that the Deposit was uploaded.
8. Enjoy
the freedom of Virtual Realty: not coming into the office!
·
I, the undersigned have read and understand the
seriousness of accuracy in Remote Earnest Money Deposit Protocol. I understand that if I do not follow the
protocol that my privileges may be revoked.
I also understand that if there are any fines charged to Maximum One by
GREC due to my negligence that I will incur those charges and reimburse Maximum
One.
Personal Checks
Maximum One holds personal checks for 10 banking days. If you have a closing within 10 days of turning in the earnest money, make sure that earnest money is in certified funds.
Earnest Money Disbursement from a Non-Disputed Termination
If you have a contract that terminates and there is no
dispute over the disbursement of the Earnest Money, follow the following
procedure:
·
GAR
Contract – The Termination & Release “T&R” is on 1 form F83 “Unilateral Notice to Terminate;
Agreement to Disburse Earnest Money”
Earnest Money Disbursement from a Disputed Termination
If you have a contract that terminates and you cannot get
BOTH parties’ signatures on the appropriate EM Disbursement forms (below) the
following procedures apply.
·
GAR
Contract – The Termination & Release “T&R” is on 1 form F83 “Unilateral Notice to Terminate;
Agreement to Disburse Earnest Money”
- Regardless
if the termination is based on a contractual contingency or by default, if
you do not get both Buyer & Seller signatures on the “release” then
the Earnest Money is officially “in dispute” and the following procedure
applies
- Upload
the signed T&R to your transaction in Paperless Pipeline even if it is
not fully executed. Write a note in Paperless Pipeline that this Earnest Money is in dispute
- The
compliance broker will send the information to a Broker for review and
interpretation
- This
Broker may contact you for additional information & supporting
documentation, co-op agent & client email addresses, mailing
addresses, etc.
- The
Broker will then write the required “10 Day” letter per the contract
- Earnest
Money will be disbursed pursuant to the Holder’s 10 Day interpretation
letter
Terminating a Contract Prior to Buyer’s Obligation to Remit Earnest Money
If you have a contract that terminates before the Buyer was
contractually obligated to remit the Earnest Money to the Holder, you are
required to have BOTH parties sign the form agreeing to the Release /
Disbursement of the Earnest Money (GAR – F83; RE Forms – RE-212.) If earnest money is addressed in the creation
of a contract, it must be addressed in the termination of a contract –
regardless if the contract terminated by contingency or by default.
For full disclosure, use the verbiage: “Buyer to retain
Earnest Money not yet remitted per paragraph ________ of Binding Contract.”
Earnest Money Over $5,000
Any Earnest Money to be held by Maximum One that is OVER
$5,000 must be in the form of certified funds or money order.
Earnest Money Checks Dishonored by the Bank or Not Timely Remitted to Holder
·
If your client / customer’s earnest money check
is dishonored by the bank or they do not remit those funds to the Holder as
contractually obligated, we will send Notice to the Buyer and Seller per the
contract on which your agreement is binding.
·
There is a $35 fee for the returned check that
we will place on your agent account which you may collect from your client /
customer. This fee may not be deducted
from the Earnest Money.
·
Replacement funds for dishonored earnest money
checks (or not remitted in time) MUST be in the form of certified funds
Checks Received by Mail
If we receive any mail addressed to you at one of the
Branches (even if it is a check) we will not automatically open your mail
without your permission. If you are expecting to receive funds at any of the
branches, you must notify that Branch Manager & give them your permission
to open you mail that looks like it may be a check.
Transfer of Earnest Money Between Properties
If you represent a Buyer who has turned in Earnest Money to
Maximum One and that contract terminates & the Buyer retains the Earnest
Money, the Buyer may request that Maximum One transfer those trust funds as
earnest money on another property rather than disbursing a check to the
Buyer. If this is the case, we must have
this in writing on the following form “Transfer Between Properties of Earnest
Money” This document may also be found
on the Extranet & in the “Office” tab of Paperless Pipeline
Transfer of Earnest Money Between Properties Form
Authorization to
Transfer Earnest Money Held on an Offer or Terminated Transaction:
FROM Property
Address:
______________________________________________________________
______________________________________________________________
Buyer Name:
_________________________________________________
TO Property
Address:
______________________________________________________________
______________________________________________________________
Buyer Name:
_________________________________________________
Buyer Signature: _______________________________ Date: ____________________
__________________________________________
Agent Name:
__________________________________________
Agent Signature:
