What is the difference between an escrow and a trust account?

• A. An escrow is the process or arrangement; a trust account is a bank account holding funds during the transaction.
• B. An escrow is the bank account used to hold funds; a trust account is the process.
• C. An escrow is used for mortgage payments only; a trust account is not.
• D. A trust account is a personal savings account of the broker.

Answer: (A)