Affiliate Plan Tab

The Affiliate Plan tab summarizes the various escrow adjustment calculations and scenarios, and contains fields in which to work with the adjustment letters to be sent to homeowners. The Affiliate Plan tab is located on the Escrow Analysis screen.

The Current Monthly Payment, Monthly Liability Plus Adjustment, and Monthly Payment Adjustment fields on the Escrow Analysis tab are reproduced in the Homeowner(s) pane. The remainder of the screen displays the recommended means of implementing the adjustment.

Homeowner(s) pane

Displays balance and target data carried over from the Escrow Analysis tab.

Field Name	Type	Description
Target Monthly Payment	Read-only, calculation	How much the homeowner should be paying monthly to meet their escrow obligations adequately.
Current Monthly Payment	Read-only, calculation	What the homeowner is currently paying each month to escrow.
Monthly Adjustment to Reach Target	Read-only, calculation	The amount the monthly payment should be adjusted to meet the Target Monthly Payment. This is the Target Monthly Payment minus the Current Monthly Payment. Negative amounts are enclosed by parentheses and mean the homeowner is currently paying more than is needed each month into escrow. The percentage difference between the Target Monthly Payment and the Current Monthly Payment is shown to the right of the Monthly Adjustment amount.
Monthly Balance Adjustment	Read-only, calculation	The amount the homeowner's payment would need to be adjusted in order to meet the (Month) Beg. Balance with Cushion amount, and make the Escrow (Shortage)/Surplus zero. Negative adjustments (decreases in payments) are enclosed by parentheses.
Total Potential Monthly Adjustment	Read-only, calculation	Negative adjustments (decreases in payments) are enclosed by parentheses. It is the sum of the Monthly Adjustment to Reach Target and Monthly Balance Adjustment fields.

Affiliate Plan pane

The Affiliate Plan pane indicates what is to be communicated to the homeowner through the selected letter. The Escrow Management Guidelines section indicates all the options and criteria for the resulting letters. While Keystone will create an affiliate plan for implementing the escrow changes, you have the freedom to modify this plan as necessary.

If you hover the cursor over a month in the Dis.(Disbursement) column, Keystone will display the names of escrow payees who will be paid in that particular month.

The lowest value in the Bal. (Balance) column is highlighted in blue. If this value is below $0, that means you would be using affiliate money to pay a homeowner's obligation that month. If your plan includes transferring money between accounts and you have selected a cushion on the Escrow Analysis Setup screen, this value should be the approximate value of the cushion you have selected. If you are not transferring money and are using homeowner monthly payments to build a cushion, this will simply then be lowest balance of the homeowner’s escrow account.

Keystone allows you to view the Escrow Calculator and the Escrow Affiliate Plan calculation windows at the same time, if needed.

Field Name

Type

Description

Ltr

Drop-down

List of available notification letters.

You can adjust the actual name of the letter to be used for any homeowner by clicking the drop-down list in the Ltr. field.

Fields and values shown in the lower portion of the Affiliate Plan pane depend on the homeowner's escrow status and the plan you selected. The following is a description of those scenarios.

Anywhere there is a reference to the $50 guideline, this is $50 more or less than the cushion amount.

No Letter - This option is available if no adjustment letter needs to be sent to the homeowner.

1 E - within limit: The new monthly payment after adjustment is shown in the 1 - Monthly Payment field. Within limit signifies that the adjustment percentage falls within the limit set by your affiliate in Escrow Analysis Setup.

2 E - outside limit: the homeowner’s escrow account has a shortage and the change needed to fix it is outside the limit set by your affiliate. The homeowner has three options: use money they have paid to principal to pay for this shortage and extend the mortgage; write your affiliate a check for the shortage; or agree to have their escrow payment adjusted to eliminate the shortage over the next twelve months.

3 E+, P- and Bal. <= $50: The new monthly payment after adjustment is shown in the 1 - Monthly Payment field. The Transfer To/(From) Escrow field shows the amount to be transferred from escrow to principal. Transfers out of escrow are expressed as negative numbers (in parentheses). Since in this case the balance in the overage after the transfer is less than $50, no money needs to be returned to the homeowner.

4 E+, P- and Bal. > $50: The new monthly payment after adjustment is shown in the 1 - Monthly Payment field. The Transfer To/(From) Escrow field shows the amount to be transferred from escrow to principal. Transfers out of escrow are expressed as negative numbers (in parentheses). Since in this case the balance in the overage after the transfer is greater than $50, the homeowner is given the option of receiving a check from your affiliate for the balance, or applying the balance to their principal and shortening the term of their mortgage.

5 E+, Pc and surplus <= $50: Since the escrow overage is less than $50 and the principal is current, no changes need to be made.

6 E+, Pc and surplus > $50: Since the escrow overage is greater than $50 and the principal is current, the homeowner is given the option of receiving a check from your affiliate for the overage, or applying the overage to their principal and shortening their payout time.

Account Balances pane

These fields are carried over from the Escrow Analysis tab.

Field Name	Type	Description
Escrow (Shortage)/Surplus	Read-only, calculation	The amount the homeowner is projected to be behind or ahead in the specified starting month compared to the (Month) Beg. Balance with Cushion amount on the Escrow Analysis tab. Negative balances (shortages) are enclosed by parentheses.
Current Principal (Shortage)/Surplus	Read-only, calculation	The amount the homeowner is currently behind or ahead on their principal. Negative balances (shortages) are enclosed by parentheses.

Communications to Homeowner(s) pane

The pane shows any information that has been communicated to the homeowner about their escrow adjustments. The information displayed here is based on the values you set in the Affiliate Plan pane. Refer to the discussion above for more information. Some scenarios may yield more than one adjustment option for the homeowner. If that is the case, you will see more than one option in this pane.

For example, if escrow analysis shows that you need to adjust the homeowner’s monthly escrow payment, you will see something similar to New Monthly Escrow Payment $125.00.

If you double-click on any of the highlighted fields on the Communications to Homeowner(s) pane, the Escrow Affiliate Plan calculation window will appear. This shows the projected escrow account cash flow resulting from your plan for the year following the Effective Date shown on the Escrow Analysis Setup screen.