The Principal History screen is used to record and later modify, if needed, the monthly amount due for application toward principal, and the dates on which these monthly payments go into effect. Click the button on the Mortgage/Payment Information screen, or enter a new amount in the Principal field in the Monthly Payment Schedule pane, to open the Principal History window.
The Principal History represents the homeowner’s principal payment plan, whereas the payments entered on the Payments screen represent the homeowners actual payments. Any difference between actual and plan is the homeowner’s principal payment status, shown under Payment Due on the Payment Due/Schedule tab of the Mortgage/Payment Information screen.
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Field Name |
Type |
Description |
|
Date |
Entry |
The date when the specified monthly principal payment goes into effect. Always set as the 1st day of the month. If this is set to a future date and coupons are printed for this homeowner, when the coupons cross this date, the value of the principal on the coupons will change. Also, when this date is reached, the Principal Monthly Payment Schedule on the Payments Due/Schedule tab on the Mortgage/Payment Information screen will automatically be changed to the new value. |
|
Value |
Entry |
The amount of the monthly payment for principal, starting on the month specified in the Date field. The monthly payment remains at this amount until changed by another entry in the Principal History screen. Typically a Habitat mortgage will have only a single entry, setting the monthly payment expected throughout the life of the mortgage. However, you can make changes to this value to restructure a mortgage or provide a special payment plan. Refer to the Restructuring a Mortgage section for examples where changes to the mortgage schedule might be made. |
|
Reason for Change |
Memo Entry |
Allows you to record notes explaining any changes made to the principal schedule. |
Some affiliates write their mortgages so that the first one or two payments go primarily to escrow. For example, the homeowner’s regular mortgage is $250 for principal and $150 for escrow. The first two payments may be stated as $10 for principal and $390 for escrow to fund the first year’s homeowner’s insurance. Keystone requires an amount greater than $0 in the Principal field.
Since real estate laws and grant requirements vary, this option may not be available to your affiliate. Consult an attorney or other qualified professional to determine the rules in your area.
To do this, your first entry in the Principal History screen should have the Date set to the Date Of First Payment and a Value of $10 (using the example above). The second entry should have the Date of when the transition to standard payments should occur and the Value of the homeowner’s standard principal payment. Similar entries might be made in the escrow schedule.
For more information about setting up a mortgage, refer to the Entering Mortgages section.