New Mexico Administrative Code
Title 14 - HOUSING AND CONSTRUCTION
Chapter 12 - MANUFACTURED HOUSING
Part 4 - BONDS AND TRUST ACCOUNTS
Section 14.12.4.8 - TRUST ACCOUNTS

Universal Citation: 14 NM Admin Code 14.12.4.8

Current through Register Vol. 35, No. 18, September 24, 2024

A. This section shall apply only to transactions involving pre-owned manufactured homes in which the dealer or broker has no ownership interest.

B. Every dealer and broker shall maintain a trust account in a banking institution authorized to conduct business in this state.

C. All money, funds or negotiable instruments received by the dealer or broker in a pre-owned manufactured home transaction shall as soon as is practicable be deposited in the trust account and such money, funds or negotiable instruments shall remain in the trust account until the transaction is completed or otherwise terminated. Upon the completion or termination of the transaction, the dealer or broker shall account for all money, funds and negotiable instruments in accordance with these rules and shall disburse each money, funds and negotiable instruments to the parties to the transaction accordingly.

D. Every dealer and broker shall keep records of all money, funds and negotiable instruments received and deposited in the trust account, which records shall include, but are not limited to, the following information:

(1) the type and amount of money, funds or negotiable instruments received and deposited and from whom they were received;

(2) the date money, funds or negotiable instruments are received;

(3) the date of deposit;

(4) the date, amount and purpose of withdrawals;

(5) the name of the person or persons for whose account the money, funds or negotiable instruments were deposited;

(6) to whom the money, funds or negotiable instruments belong.

E. All records, accounts and funds shall be subject to inspection by the division at the dealer's or broker's place of business and at the banking institution.

F. A dealer or broker shall not deposit any money, funds or negotiable instruments in the trust account other than those required by this section. Provided however, a dealer or broker may deposit a sum of money other than trust money in the trust account in order to meet the minimum balance required by the banking institution to maintain the account and avoid service charges.

Disclaimer: These regulations may not be the most recent version. New Mexico may have more current or accurate information. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or the information linked to on the state site. Please check official sources.
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