Trust Account Examination
Managing trust accounts requires strict compliance with regulations to ensure transparency and accountability.
An external examiner trust account review plays a crucial role in verifying that financial records align with legal requirements.​
1
What is an External Examiner Trust Account?
An external examiner trust account refers to the independent review of financial transactions within a trust account. The process ensures that funds are appropriately handled, recorded, and reported in line with industry regulations.
2
Why is an External Examiner Required?
Trust accounts are often subject to regulatory oversight to protect clients' interests. An external examiner provides:
-
Objective assessment – Ensuring compliance with trust account regulations.
-
Error detection – Identifying discrepancies and potential mismanagement.
-
Regulatory reporting – Preparing reports for governing bodies to verify compliance.
3
Key Components of a Trust Account Examination
-
Review of Financial Transactions – Examining deposits, withdrawals, and reconciliations.
-
Compliance Check – Ensuring adherence to state and federal regulations.
-
Recordkeeping Analysis – Verifying the accuracy and completeness of records.
-
Reporting – Compiling findings into a formal report for regulatory submission.
4
Who Needs an External Examiner Trust Account Review?
Several professionals and organizations require trust account examinations, including:
-
Law firms managing client funds.
-
Real estate agencies handling rental and deposit accounts.
-
Accountants and financial firms responsible for fiduciary funds.
​
