What is trust accounting for property management?

Trust accounting is the legal practice of holding client funds (like owner rental income and guest deposits) in a dedicated bank account, completely separate from your business's operational funds. This prevents 'commingling' and protects your clients' money.

Is trust accounting a legal requirement in the UK?

Yes, for most property agents in the UK, it is a legal requirement. Under acts like the Landlord and Tenant Act 1987 and rules requiring agents to join a client money protection scheme, failing to comply can result in fines up to £30,000.

How does trust accounting software prevent commingling of funds?

Good trust accounting software, especially when integrated into a PMS like Zeevou, automatically segregates funds into designated virtual accounts for each owner. It creates a clear, auditable trail for every transaction, ensuring compliance by default.

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