Escrow Overage Deposit

This DNAapp automatically deposits escrow overages into an accountholder’s primary share or deposit account after which the DNAapp adds a message to the accountholder’s Escrow Analysis Statement identifying the account that the surplus was deposited into.

The application can be configured to deposit the surplus escrow funds to active deposit accounts or Member Share accounts. It can use the external interface cross-reference mapping for eligible Major/Minor deposit types and a hierarchy in which to search for eligible deposit accounts to deposit the funds instead of the member share accounts. This helps the application to work with all financial institutions.

This DNAapp only handles those amounts that have a pre-authorized check issued by LN_EA. If an accountholder’s escrow surplus is less than $50, the surplus is handled by LN_EA which applies the amount against the accountholder’s next payment.

The Escrow Overage Deposit DNAapp updates the preauthorized check issue surplus to a deposit to the members’/customers’ primary share account or designated deposit account so that the DNA® application ‘Escrow Disbursements Allotment Process’ (LN_PEA) will deposit the funds. The application also reads the Escrow Analysis statement file and creates a new statement file by replacing the check issue surplus text to reflect the deposit. Finally, the application updates the internal transaction description on the receiving deposit account.

The deposit account must have the same Tax Reported For Owner as the loan account.

This is an updating application and cannot run back in time.

Benefits

Many Financial Institutions maintain escrow accounts for their lending customers/members to ensure borrowers make their property tax and insurance payments. When the financial institution overestimates the amount of money a customer/member must maintain in his or her escrow account, the financial institution must return the surplus amount to the accountholder.

Typically Financial Institutions return this escrow overage by paper check, but you can save money and increase member/customer satisfaction by depositing the surplus amount into the accountholder’s deposit account.

Enter the Escrow Overage Deposit DNAapp.

This DNAapp automates the deposit of escrow surpluses to members’ share accounts / customers’ designated deposit accounts, saving you the costs of printing and sending paper checks. In addition to cutting costs, this DNAapp allows your accountholders to access their surplus funds faster and saves them the trouble of depositing a paper check, increasing satisfaction.

Furthermore, the DNAapp adds a message to impacted members’ / customers’ escrow analysis statements identifying the surplus amount and the account that their overage was deposited into. This streamlines your operational process and keeps your accountholders informed about their surplus funds disbursement for proper record keeping and reduced call volume.

Finally, the Escrow Overage Deposit DNAapp adds an internal transaction description on the deposit account which receives the surplus escrow overage deposit identifying the associated loan account. This helps staff quickly identify and understand the source of the deposit transaction to better serve customers/members when questioned.

All told, this app will help you save money and time while increasing customer/member satisfaction.