Our four pillars ofsecurity add layers ofprotection to our clients’ funds during the §1031 Exchange process.
Madison 1031 has always had the highest concern for the security of our clients’ funds held during the §1031 Exchange. That is why we offer four layers of protection of §1031 Exchange funds to our clients. Our four pillars of security include:
Madison 1031's Agreement indicates that §1031 Exchange funds are placed in express trust accounts. These accounts are specifically designed to give the best possible proof that Madison holds exchange funds exclusively as a fiduciary and that exchange funds remain -- at all times -- the beneficial property of our clients. Exchange funds never belong to Madison 1031.
§1031 Exchange funds held by Madison 1031 are covered by a $10 Million Fidelity Bond that protects exchange funds from possible corporate malfeasance.
§1031 Exchange funds held by Madison 1031 are covered by a $10 Million Errors and Omissions policy that protects clients from processing errors.
Funds from each §1031 Exchange with Madison 1031 are placed in a segregated account that requires dual signatures for disbursement, with the option of the client to be the third signature on the account. This protects the client’s funds from use or access for any purpose other than disbursement for the purchase of the client’s Replacement Property.
