Trust Funds
Three-Way Reconciliation
A concise definition for the California Real Estate Exam study guide.
Definition
Monthly trust account reconciliation comparing: (1) bank statement balance, (2) control record balance, and (3) total of all beneficiary ledgers. All three must agree (adjusted for timing).
Why it matters on the California real estate exam
Know the definition, recognize how the term appears in a fact pattern, and compare it with related concepts before choosing an answer.
Study this topic in context
Read the related chapter for the surrounding concepts, examples, and exam tips.
Chapter 7: Trust Funds & Broker Accounting →