What is an eligible financial institution?
All IOLTA and non-IOLTA client trust accounts must be maintained only at an eligible financial institution (Rule 1.15(a)). An eligible financial institution is defined in Rule 1.15(i)(3) as: a bank or a savings bank insured by the Federal Deposit Insurance Corporation or an open-end investment company registered with the Securities and Exchange Commission that agrees to provide dishonored instrument notification regarding any type of client trust account as provided in paragraph (h) of this Rule; and that with respect to IOLTA accounts, offers IOLTA accounts within the requirements of paragraph (f) of this Rule.
Related Questions
- How does a Qualifying Financial Institution (QFI) know if it is eligible to participate in the Treasury Departments Capital Purchase Program (CPP)?
- Are IRA accounts eligible for levy under the financial institution data match program?
- How can a financial institution become eligible to hold IOLTA funds?
