Your banking procedure is not your tenants problem.

The commission may impose a civil penalty of no more than five thousand dollars upon any unlicensed person who, after a hearing or informal resolution in accordance with all provisions of this Chapter and the Administrative Procedure Act, is found to have engaged in real estate activity without the benefit of a currently valid license having been issued by the commission pursuant to the provisions of this Chapter.

The procedure is on their website.

Yes, it's standard operating procedure.  

They have to know an Operation Manual full of Rules and Procedures.

It doesn't matter if you have a contract or not if you don't know the processes and procedures that go into the end product.

A statement for the rental registration fee will be mailed to you on January 2 or within 30 days of receiving an initial registration form if you register a property during the year.In an effort to keep rental property owners and tenants informed about changes to policy or procedure, or to provide specific inspection information about your property, we are asking owners of such rental property to use the update links below to provide us with a working email address.

Seriously, your suggestion is to give 3% because I forgot the procedures of disclosure when I took the test years ago.

I posed the question of why didn’t they ask the tenant for a W-9 instead of me and the short version is that, it’s their procedure to make the check directly to the landlord not the tenant.

I have a property management company so we have certain people designated to complete certain procedures before we show a home.