Is it still necessary to provide borrower with previous years projection when submitting the annual account statement?

The previous/current year should be actual figures paid out unless you have a projected pay out due between the time you prepare the statement and the time the new year kicks in. The upcoming year would be projections.

§3500.17(h)(3)(i) "Annual Escrow Account Statements. For each escrow account, a servicer shall submit an annual escrow account statement to the borrower within 30 days of the completion of the escrow account computation year. The servicer shall also submit to the borrower the previous year's projection or initial escrow account statement. The servicer shall conduct an escrow account analysis before submitting an annual escrow account statement to the borrower."


This has not changed.

As many times as I've read that section over the years "previous year's projection" never stuck out until now. I've always concentrated on the following:

(1) Contents of annual escrow account statement. The annual escrow account statement shall provide an account history, reflecting the activity in the escrow account during the escrow account computation year, and a projection of the activity in the account for the next year. In preparing the statement, the servicer may assume scheduled payments and disbursements will be made for the final 2 months of the escrow account computation year.

Thanks Andy.

Thanks much Andy & Dan.