What is the deposit system in real estate trust?

Trust companies require real estate enterprises to pay real estate trusts in advance. In the signing of the real estate trust project contract, some trust companies will add clauses, indicating that real estate enterprises are required to "deposit the deposit" with the trust company before the expiration date.

In real estate trust, trust companies generally take real estate sales income as the first source of repayment. In order to ensure the safety of trust companies' funds, developers are generally required to establish a payment guarantee system. Most of the real estate sales income will directly enter the payment guarantee account designated by the trust company, and the general payment guarantee will account for more than 60% of the sales income.