What is the term for mixing personal funds with client or agency funds?

The term for mixing personal funds with client or agency funds is commingling. This practice is strictly prohibited in the real estate industry and is considered unethical because it can lead to improper financial management and compromise the security of client funds. Commingling can occur when a broker or agent does not maintain clear financial boundaries, such as depositing client trust funds into a personal bank account rather than keeping them separate in a designated client trust account.

Maintaining separate accounts for client and personal funds helps ensure that client money is protected and can be accounted for properly. The importance of recognizing and adhering to this principle is crucial for maintaining trust and integrity in professional relationships within the real estate business.