§ 42A-15. Trust account uses. - North Carolina Statutes

Article3.

Handling and Accountingof Funds.

§ 42A‑15.  Trust accountuses.

A landlord or real estatebroker may require a tenant to pay all or part of any required rent, securitydeposit, or other fees permitted by law in advance of the commencement of a tenancyunder this Chapter if these payments are expressly authorized in the vacationrental agreement. If the tenant is required to make any advance payments, otherthan a security deposit, whether the payment is denominated as rent orotherwise, the landlord or real estate broker shall deposit these payments in atrust account in an insured bank or savings and loan association in NorthCarolina no later than three banking days after the receipt of the thesepayments. These payments deposited in a trust account shall not earn interestunless the landlord and tenant agree in the vacation rental agreement that thepayments may be deposited in an interest‑bearing account. The landlordand tenant shall also provide in the agreement to whom the accrued interest shallbe disbursed. (1999‑420, s. 1.)