Questions & Answers

When does interest start accruing on the money I put in an escrow account?

I am looking to raise funds for my project under the EB-5 program but am running into difficulties in my pro forma with a concept. If there is money in an escrow account, waiting for I-526 approval, when does interest start accruing? After the I-526 approval or after the lender releases the funds to the developer?

Answers

• Ed Beshara

  Immigration Attorney

  Answered on October 15, 2014

  The interest on the EB-5 investment funds will start occurring as stated in the securities offering documents or escrow agreement.

• Salvatore Picataggio

  Immigration Attorney

  Answered on August 27, 2014

  That will depend on the documentation and financial structure of the investment entity. U.S. immigration attorneys cooperate and collaborate with corporate attorneys, securities law attorneys and other professionals for EB-5 compliance and business viability matters.

• John J Downey

  Immigration Attorney

  Answered on August 27, 2014

  Interest on escrow accounts are decided between the investor and developer. Some escrow accounts pay no interest. You need agreements set-up beforehand.