Company: BLNE
Filing Date: 2025-04-15
Form Type: 10-K
Source: 0001641172-25-004793
Chunk: 315

Company: Beeline Holdings, Inc.
Filing Date: 2025-04-15
Form: 10-K
Item: Item 1A
Chunk 315
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prohibits compensating loan originators based on a term of a transaction, prohibits loan originators from receiving compensation directly
from a consumer or another person in connection with the same transaction, imposes certain loan originator qualification and identification
requirements, and imposes certain loan originator compensation recordkeeping requirements, among other things.

Beeline is also supervised by regulatory agencies
under state law. From time-to-time, Beeline receives examination requests from the states in which Beeline is licensed. State attorneys
general, state mortgage licensing regulators, state insurance departments, and state and local consumer protection offices have authority
to investigate consumer complaints and to commence investigations and other formal and informal proceedings regarding Beeline’s
operations and activities. In addition, the government-sponsored enterprises, or GSEs, the Federal Housing Authority (the “FHA”),
the Federal Trade Commission (the “FTC”), and others subject Beeline to periodic reviews and audits. This broad and extensive
supervisory and enforcement oversight will continue to occur in the future.

    F-36

Beeline Holdings, Inc.

Notes to Consolidated Financial Statements

December 31, 2024 and 2023

Beeline maintains dedicated staff on the legal and
compliance team to ensure timely responses to regulatory examination requests and to investigate consumer complaints in accordance with
regulatory regulations and expectations.

21. CONCENTRATIONS

The Company maintains cash balances with several regional
banks. The deposits are insured by the Federal Deposit Insurance Corporation up to $250,000 per depositor per bank. At various times throughout
the year, cash balances held within these accounts may exceed the maximum insured amounts. As of December 31, 2024, there was one account
that exceeded the limit by $0.5 million. There were no balances that exceeded insured limits as of December 31, 2023.

The Company relies on one lender for the warehouse
line it uses to fund the mortgage loans it makes to its customers, which is limited to a maximum of $5.0 million.

The Company sold its mortgage loans to seven investors
for the period October 8, 2024 – December 31, 2024.

Escrows Payable

As a service to its clients, the Company administers
escrow deposits representing undisbursed amounts received for payment of settlement and title services. Escrow deposits held by the Company
was $0.6 million as of December 31, 2024. The Company held $0.1 million in