Withdrawing Loan Reserves

Overview of IL421

Loan reserves – also called loan escrow – are the portion of the loan payment set aside for taxes and insurance on behalf of the borrower. The Reserve Payment Due field in the loan record contains the amount DDI-Connect expects to receive when a loan payment is made. If a portion of the collected reserves is not needed for its intended purpose, this amount needs to be withdrawn and refunded to the borrower. To perform a Loan Reserve withdrawal:

• From the DDI Connect main menu, double-click Financial Services
• Double-click Loans
• Double-click Transactions
• Double-click 421 Loan Reserve Withdrawal. You will see this screen: