Skip to content
BOL Conferences
Learn More - Click Here!

New Reply Thread Options
#2251971 - 04/07/21 06:35 PM short year escrow statements
Anonymous
Unregistered

I have recently added escrow responsibilities to my job. We normally do all of our escrow annual statements in January. So, if a customer takes out a loan during the year, to "reset" the annual date they will get a short year statement that first year. I've noticed that the statements in this scenario include the following

"last year, we anticipated that payments from your account would be made during this period equaling 0.00. Under federal law, your lowest monthly balance should not have exceeded $.00 or 1/6th of the anticipated payment from the account, unless your mortgage contract or state law specifies a lower amount

Your actual lowest monthly balance was greater than $0.00"

Is the 0 amount correct? Our provider is saying its accurate because technically in the "last year" they did not have the loan so we did not anticipate any of those amounts. But that would mean there would never be a surplus, shortage, or deficiency on the first year short year statements. Is that okay?

Return to Top Reply Quote Quick Reply Quick Quote
#2251981 - 04/07/21 07:26 PM Re: short year escrow statements Anonymous
rlcarey Offline
10K Club
rlcarey
Joined: Jul 2001
Posts: 83,226
Galveston, TX
https://www.govinfo.gov/content/pkg/FR-1995-02-15/pdf/95-3683.pdf

Look at the examples in Appendix K. While it no longer exists - I think your concerns are valid.
_________________________
The opinions expressed here should not be construed to be those of my employer: PPDocs.com

Return to Top Reply Quote Quick Reply Quick Quote
Quick Reply:
HTML is disabled
UBBCode is enabled




Moderator:  MagicCity, P*Q, Truffle Royale