Procedure for Reporting Interest on “Real Estate Broker Trust Accounts”
Effective August 1, 1988, all Licensed Real Estate Brokers are required to open an interest-bearing trust account for deposit of all client funds.
This statute requires financial institution to:
a. Pay the interest, less reasonable transaction costs, at least quarterly to the Minnesota Housing.
b. Send a statement (interest report form) to the Minnesota Housing showing the name of the broker for whom the payment is made, the interest rate applied, amount of service charge deducted, and account balance for the period of the report in which the report is made.
Remittance and Reporting Dates: Interest and reports are due at least quarterly within 10 days following each calendar quarter end date.
Reports Only: You must complete and send a report, even though a particular account accumulated no interest and/or the reasonable service charges exceeded the interest earned. The report would show zero remittance. If only submitting a report, you can email the report to htf.mhfa@state.mn.us.
Related documents:
- Instructions (PDF)
- Reporting Form (PDF)
- Revised Legislation (PDF)