What is Escrow Analysis?
An Escrow Analysis is a review of your escrow account to ensure enough funds are collected to pay upcoming installments of your insurance premium(s) and/or property taxes (or other items like HOA, Pest Control…etc). Your Escrow Analysis statement provides details about the review of your escrow account and the resulting changes to your monthly escrow payment.
When do we perform an escrow analysis?
We review our customers’ escrow accounts if one of the following events occur:
– Every November; or,
– Within 60 days of transferring loans for service to Covey Financial; or,
– Under special circumstances that require we review the escrow account to ensure enough funds are collected
Why did your escrow payment increase?
Please be aware that we find no pleasure in collecting more money from you. Please also be aware that the loan payment (principal and interest) will remain unchanged. The only portion of your payment that may change is the escrow portion of the payment.
If your total payment increased, it is because the escrow items we collect have increased from the previous year. We encourage all our customers to contact their tax office to find exemptions or other programs that may get the property tax bill reduced. We also encourage our customers to be constantly be looking for less expensive insurance.
What to do if you change your insurance policy?
If you find less expensive insurance, that’s great! Please be sure to request a refund from the policy you are canceling and send the full refund to us so we can credit your escrow account. We can rerun the escrow analysis once the refund check is received. Please instruct us in writing to do so.
What options do you have to lower your bill?
Customers have questions, you have answers. Display the most frequently asked questions, so everybody benefits.
1. Contact your tax office
2. Contact your insurance company or find less expensive insurance
3. Make a one-time payment towards your escrow account and ask us to run another escrow analysis (must be by mail to our PO BOX below with a letter instructing us to apply to your escrow).