I have an escrow customer who continues to be late on payments and becomes 30 days and more past due. At some point, the customer will become less than 30 days past due, but eventually becomes 30 days or more past due again. At the time of annual analysis, the customer was more than 30 days past due, so our system would not allow us to run one and I realize we are not required to until the account becomes current. Today, the customer is within the 30 day boundary (24 days late)so an annual analysis has been completed which reveals a large surplus due to lower insurance premiums which I knew would be the case. Since our customer has a history of being late and past due, can we require or ask the customer to use the surplus to bring the account to where it is not late and pay April's bill which is due April 1st? As said before, the customer is currently 24 days late and I'm sure will be 30 days and more past due before another payment is made if we don't ask for the surplus.

Thank you in advance for your assistance.

Dana Ramey

No, you can't require it. You can certainly suggest it as a good use of the funds, but it will have to be the customer's decision.