how to track escrow holding

Jackie Greenough
Jackie Greenough Member ✭✭
edited April 20 in Investing (Windows)
I am showing the payment through my lender on the same whithholding account. How to set up an account to show lender payment decreasing the balance

Best Answer

  • NotACPA
    NotACPA SuperUser, Windows Beta Beta
    Accepted Answer
    The escrow account for my mortgage was setup as an Asset type account.  It's name is "{bank initials} Escrow"
    When I make my mortgage payment, the split lines of that payment are for Mortgage Principal, Mortgage Interest and 2 lines (with different tags) for my escrow withholding. One tag is for Homeowners Insurance and the other for Real Estate taxes.  That way, I can track them separately in the escrow account when payments are made FROM that account.
    Q user since DOS version 5
    Now running Quicken Windows Subscription, Home & Business
    Retired "Certified Information Systems Auditor" & Bank Audit VP

Answers

  • Tom Young
    Tom Young SuperUser ✭✭✭✭✭
    "I am showing the payment through my lender on the same whithholding account."
    I'm not sure exactly what you're saying here.
    The "most correct" way of handling escrow amounts made with a mortgage payment is that each escrow payment goes into an asset Account with a title of "Mortgage Escrow" or something similar.  Then, when the loan servicer notifies you that a payment out of escrow has been made you reflect that information in Quicken by reducing the balance of the Mortgage Escrow Account, with the dollars going to the appropriate Category or Categories, e.g., "Property taxes" or "Risk insurance."
  • NotACPA
    NotACPA SuperUser, Windows Beta Beta
    Accepted Answer
    The escrow account for my mortgage was setup as an Asset type account.  It's name is "{bank initials} Escrow"
    When I make my mortgage payment, the split lines of that payment are for Mortgage Principal, Mortgage Interest and 2 lines (with different tags) for my escrow withholding. One tag is for Homeowners Insurance and the other for Real Estate taxes.  That way, I can track them separately in the escrow account when payments are made FROM that account.
    Q user since DOS version 5
    Now running Quicken Windows Subscription, Home & Business
    Retired "Certified Information Systems Auditor" & Bank Audit VP
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