When must earnest money deposits paid via personal check be deposited in an escrow account?

The accurate guideline for when earnest money deposits made by personal check should be placed into an escrow account is that it must occur no later than three banking days after the acceptance of the contract. This requirement is established to ensure the funds are handled in a timely manner, which helps maintain the integrity of the transaction and assures the buyer that their deposit is being safeguarded appropriately.

By requiring the deposit to be made within this timeframe, real estate professionals ensure that both parties are aware of their commitments and helps to facilitate a smoother transaction process. Timely deposits also create a transparent record that protects both the buyer's and seller's interests, ultimately supporting trust in the transaction.

The other options, while related, either reference incorrect timeframes or situations that do not align precisely with the established practices for earnest money deposit handling. This clarity in timing enhances compliance and confidence throughout real estate transactions.