ESCROW

Date Recorded: October 29, 2025
Presenter: Ginger McCullough, Manager, Forvis Mazars, LLP

A two-hour webinar that covers RESPA’s escrow rules as well as the TRID escrow disclosure requirements.

Escrow accounts play an important role in the mortgage industry by protecting both the lender and the borrower by paying that homeowners’ property taxes, property insurance premiums, mortgage insurance premiums, and other escrow items in a timely fashion. The escrow account helps to monitor that there is enough money to pay these bills when they are due so that the homeowner avoids the risk of lapsed insurance coverage or delinquent taxes.

Consumer escrow accounts are subject to the Real Estate Settlement Procedures Act (Regulation X), which imposes limitations on how much the lender can collect from the borrower both at loan closing and during the life of the loan, and requires that the lender administer the account correctly, provide various disclosures, and dictate how the lender handles shortages, deficiencies, and surpluses.

While having an escrow account benefits an institution because it helps mortgage related obligations get paid, there are drawbacks as well – the actual time and effort to be an escrow agent and the potential results if institutions do something incorrectly. The escrow rules, and the Loan Estimate and Closing Disclosure rules regarding disclosure of escrow, can be confusing and often result in many violations.

This webinar will study both RESPA’s escrow requirements as well as the proper completion of the Loan Estimate and Closing Disclosure as it relates to escrows and the refund of escrow account balances.

HERE IS WHAT YOU WILL LEARN:

• What transactions are covered by the RESPA escrow rules?
• Limitations on how much you can require the borrower to place into an escrow account at loan closing and during the life of the loan.
• How to conduct an escrow analysis.
• What is the “aggregate adjustment?”
• How to deal with shortages, deficiencies, and surpluses.
• The timing and content of the initial and annual escrow statements.
• The use of short-year statements.
• Penalties for non-compliance.
• Rules regarding the refund of escrow account balances.
• The proper completion of the Loan Estimate and Closing Disclosure for escrows.

FORMAT/INSTRUCTIONAL METHOD: GROUP INTERNET BASED

An online presentation and any additional supplemental materials, as applicable, will serve as the basis of the presentation. You will have the option to stream the audio through your computer or dial in using a telephone number/PIN. Ample time will be dedicated to taking questions from attendees. Be sure to submit your questions during the webinar, as we are unable to offer telephone or email support after the presentation.