Ohio Good Funds Law
What are Good Funds?
When residential real estate is sold, or purchased settlement agents (AKA, your title company) can not disburse any money unless the funds for the transaction qualify as Good Funds defined by the Ohio statute (ORC 1349.21).
What are acceptable forms of Good Funds under the Ohio statute?
1. Wire Transfers
2. Checks: Personal, Business, Certified, Cashier's, Official Check or Money Order. However, the amount of any of the combined items cannot exceed $1,000.
3. Automated Clearing House (ACH) Transfers and checks from the United States, the State of Ohio, or Ohio municipalities.
4. Checks from a real estate broker's escrow /trust account.
Other Conditions for Good Funds?
Funds must be immediately available for withdraw and disbursement by the agent for the transaction.