NC 302 POST QUESTIONS AND ANSWERS SURE A+
✔✔Two options of a full broker - ✔✔1) Affiliate with a BIC/FIRM
2) Activate as a sole proprietor
✔✔A full broker that is not affiliated with a BIC or a firm and is not BIC themselves -
✔✔Cannot:
1) Maintain a trust account
2) Hire or supervise other brokers
3) Offer services, advertise, or market in any way
✔✔Each office location must have - ✔✔One BIC
✔✔One BIC can only serve - ✔✔One location at a time
✔✔A provisional broker may only affiliate with VIP - ✔✔One BIC at a time
✔✔Full brokers may affiliate with multiple BICs - ✔✔they all need to have mutual
consent or permission
✔✔To become a BIC or BIC Eligible - ✔✔1) Be a Full Broker
2) Have 2 years of experience out of 5 years practicing
3) Complete 12 hour broker in charge course
4) File Fom 2.25
✔✔BIC or BIC eligible licensees retain that status as long as they - ✔✔1) Renew
license
2) complete CE
3) Stay Active
4) Stay current
✔✔If a BIC looses their STATUS they need to - ✔✔1) Get License Current and Active
2) Re-qualify as a BIC
, ✔✔A BIC must exercise - ✔✔Active and Direct supervision over all activities of
provisional broker
✔✔BICs are responsible for ensuring compliance by all affiliated brokers with: - VIP -
✔✔1) Compliance with agency policies
2) Maintain trust account
3) Adhere to advertising guidelines
4) Retention of records
5) Notify NCREC of changes in location of licensees
✔✔A provisional broker must deliver all monies to their - ✔✔BIC IMMEDIATELY
✔✔All deposits must be made to the trust account within - ✔✔3 banking days/3 days of
acceptance of receipt or contract acceptance, whichever is later
✔✔Licensees can accept for delivery - ✔✔1) Due Diligence fees
2) Ernest Money deposits
✔✔Licensees cannot accept or deliver - ✔✔1) Inspection fees
2) Survey fees
3) Closing disbursements to clients repairs
4) survey payments
✔✔Trust accounts may earn interest so long as - ✔✔The broker has written consent of
client and a written agreement specific who gets the interest
✔✔BICS may transfer earnest money for closing - VIP - ✔✔No more than 10 days prior
to settlement
✔✔Trust Accounts must be balanced - ✔✔Every 30 days AND records retained for 3
years
✔✔Every entity created except Sole Prop must have - ✔✔A firm license
✔✔A full broker may gain tax benefits and liability protection by - ✔✔forming and entity
for the purposes of receipt of compensation only
✔✔Two options of a full broker - ✔✔1) Affiliate with a BIC/FIRM
2) Activate as a sole proprietor
✔✔A full broker that is not affiliated with a BIC or a firm and is not BIC themselves -
✔✔Cannot:
1) Maintain a trust account
2) Hire or supervise other brokers
3) Offer services, advertise, or market in any way
✔✔Each office location must have - ✔✔One BIC
✔✔One BIC can only serve - ✔✔One location at a time
✔✔A provisional broker may only affiliate with VIP - ✔✔One BIC at a time
✔✔Full brokers may affiliate with multiple BICs - ✔✔they all need to have mutual
consent or permission
✔✔To become a BIC or BIC Eligible - ✔✔1) Be a Full Broker
2) Have 2 years of experience out of 5 years practicing
3) Complete 12 hour broker in charge course
4) File Fom 2.25
✔✔BIC or BIC eligible licensees retain that status as long as they - ✔✔1) Renew
license
2) complete CE
3) Stay Active
4) Stay current
✔✔If a BIC looses their STATUS they need to - ✔✔1) Get License Current and Active
2) Re-qualify as a BIC
, ✔✔A BIC must exercise - ✔✔Active and Direct supervision over all activities of
provisional broker
✔✔BICs are responsible for ensuring compliance by all affiliated brokers with: - VIP -
✔✔1) Compliance with agency policies
2) Maintain trust account
3) Adhere to advertising guidelines
4) Retention of records
5) Notify NCREC of changes in location of licensees
✔✔A provisional broker must deliver all monies to their - ✔✔BIC IMMEDIATELY
✔✔All deposits must be made to the trust account within - ✔✔3 banking days/3 days of
acceptance of receipt or contract acceptance, whichever is later
✔✔Licensees can accept for delivery - ✔✔1) Due Diligence fees
2) Ernest Money deposits
✔✔Licensees cannot accept or deliver - ✔✔1) Inspection fees
2) Survey fees
3) Closing disbursements to clients repairs
4) survey payments
✔✔Trust accounts may earn interest so long as - ✔✔The broker has written consent of
client and a written agreement specific who gets the interest
✔✔BICS may transfer earnest money for closing - VIP - ✔✔No more than 10 days prior
to settlement
✔✔Trust Accounts must be balanced - ✔✔Every 30 days AND records retained for 3
years
✔✔Every entity created except Sole Prop must have - ✔✔A firm license
✔✔A full broker may gain tax benefits and liability protection by - ✔✔forming and entity
for the purposes of receipt of compensation only
