Does IOLTA affect current trust account practices?
No. Once you open your IOLTA account, you will go about your client trust business as usual. The confidential, fiduciary relationship between you and your clients remains unchanged, and there are no new records to keep. What about service charges and handling fees? Fees for wire transfer, insufficient funds, bad checks, stop payment, account reconciliation, negative collected balances and check printing are not considered customary account maintenance charges and may not be assessed against an IOLTA account. Such non-routine fees must be brought to the attention of the lawyer or law firm, who in turn may absorb these specific costs or pass along those fees to the client(s) being served by the transaction (in accordance with attorney/client agreements). Negative interest earnings resulting from service charges which exceed interest earned are prohibited on IOLTA accounts. The lawyers absorb fees. How much of my time will this involve? Virtually no additional time is required. The mechan
Related Questions
- I have some funds in a Master Trust / Wrap account. If I nominate YourShare, does this affect any of the services I receive from the Master Trusts / Wrap provider?
- Does maintaining my general client trust accounts as interest-bearing IOLTA accounts affect my trust account practices?
- How does the death of a beneficiary of a POD account (informal revocable trust) affect insurance coverage?
