Daily Archives: April 2, 2025

Model 1 vs. Model 2: Which Client Account Offers More Flexibility?

Before proceeding with this article, we strongly recommend reviewing the article on Client Account vs. Exemption for Client Account for RCICs. Which Option is Best? for better context and understanding. If you are considering using Client Account but are unsure which model to choose, the following insights may be helpful. According to the definitions provided on…

Client Account vs. Exemption for Client Account for RCICs. Which Option is Best?

Client Account (Holding Client Funds in Trust) A Client Account is a trust account where client funds are held separately from the RCIC’s operational funds. These funds are usually advanced fees for services not yet rendered. Pros: ✅ Compliance with CICC Regulations – Demonstrates financial responsibility and transparency. ✅ Higher Client Trust – Clients may…