Amherst Exchange Corporation
HomeAbout UsExcahange BasicsFAQsContact Us





We make misappropriation of exchange funds impossible. Our method preserves the exchange as well as the funds. No bond, no matter how large, will pay off in time to meet the strict time requirements of § 1031.

Replacing funds once they are lost is far less effective than creating a business model that protects funds from misappropriation in the first place.

We have never commingled funds. Each exchange has always been placed in a separate bank account. This is what makes our security arrangement possible.

Our clients select from a variety of banks because we want them comfortable with every aspect of our management of their funds during the course of the exchange.

We maintain a 3-signature protection system based on a Qualified Trust Agreement with all banks.

Here is how our Qualified Trust Agreement works to protect funds:

  1. The Qualified Trust Agreement (“QTA”), signed by the taxpayer, Amherst and the attorney Trustee places exchange proceeds into a segregated Trust Account with the bank.
  2. The QTA requires 3 signatures on any instruction to the bank to move funds: a) Taxpayer; b) Amherst; and c) attorney Trustee.
  3. The bank has no authority to move funds without all 3 signatures.
  4. There is no way to move proceeds without the client’s knowledge of the exact amount and destination of the funds being transferred.
  5. When the client instructs Amherst to wire funds to a purchase, Amherst creates a Wire Transfer Instruction for signature of the client, Amherst and the Trustee, then distributes its instruction to the parties for signature. Once fully executed, Amherst sends the instruction to the bank.
  6. If there is a partial disbursement and additional funds remain in the account, the QTA remains in place until all funds are transferred, at which time the QTA is terminated.

With 30 years of experience managing segregated funds in protected accounts, Amherst has consistently maintained a client-centered funds management protocol. While it is much easier to manage a single main account with a single bank, our methods are never motivated by ease for Amherst. Our overarching priority is the security and safety of funds for our clients.



Amherst Exchange Corporation

© 2017 Amherst Exchange Corporation | Web Development by Katz & Mouse | Privacy Policy | Legal