Escrow Management
Brokerage Engine
28 steps
2 minutes
Add Escrow Deposit
1
Click the "Add Deposit" button.
2
Set the date escrow funds were received
3
On the "Receipt Number field" add the check number or tracking number
4
Using the dropdown menu, select the contact who provided the escrow funds.
The "Add New Person" option can be used if the escrow funds were not provided by the Buyer or Seller in the transaction.
5
Enter the amount of the escrow deposit
6
Select Escrow account for funds to be deposited into
The "Account for Escrow Deposits" should already be defaulted to the primary Escrow Deposit Banking Account configured in Brokerage Settings. It should only be changed if a secondary escrow account is being used.
The commission or operating account should not be selected. If the funds are being retained, the escrow money will be automatically transferred to the operations or commissions account when it is indicated that the escrow money is being kept.
7
Click "Save"
8
View deposit here. If needing to correct mistake the escrow deposit can be revoked.
9
Click "Close"
If using BE Accounting, an Escrow Deposit Journal Entry will be created in the Accounting module by the system.
10
When escrow is being held but it has not yet been indicated whether it will be kept or paid out, it will be displayed as unbalanced.
Keep Escrow Deposit
11
Click "Toggle Dropdown" on the "Add Deposit" button.
12
Click the "Keep Remaining Escrow" option.
13
Select the operating or commission account to which you want the escrow deposit to be transferred.
The kept escrow account should already be defaulted to the operating or commission account. Another account should only be selected if the funds need to be deposited into a secondary bank account.
14
Select the date you want the escrow transfer to take place. This can be independent of the Close Date of the Transaction.
15
Click "Keep"
16
Click "OK"
If using BE Accounting, a Kept Escrow Journal Entry will be created in the Accounting module by the system.
Move Escrow funds back to Holding
The following steps outline how to undo the Kept Escrow and the corresponding Kept Escrow Journal Entry in BE Accounting.
17
Click the "Hold Deposit" button.
18
Click "OK"
19
The status of the Escrow Deposit will revert to "Unbalanced".
Create Escrow Payout
20
Click "Toggle Dropdown" next to the "Add Deposit" button.
21
Click the "Add Payment" option.
22
Select the recipient of the escrow payment.
23
Select whether to generate a paper check or record a wire transfer.
24
Click "Save"
25
Click "Payments"
Do NOT click Pay Out Escrow until you are certain the funds should be paid out. Once processed, the system will not allow this action to be reversed.
26
Clicking "Pay Out Escrow" creates the actual paper check or records the wire transfer in Accounting.
27
You can edit payment amount or click delete to remove the pending payment and the escrow will revert back to 'holding'
28
Click "Close"
Escrow Management
Brokerage Engine
28 steps
2 minutes
Add Escrow Deposit
1
Click the "Add Deposit" button.
2
Set the date escrow funds were received
3
On the "Receipt Number field" add the check number or tracking number
4
Using the dropdown menu, select the contact who provided the escrow funds.
The "Add New Person" option can be used if the escrow funds were not provided by the Buyer or Seller in the transaction.
5
Enter the amount of the escrow deposit
6
Select Escrow account for funds to be deposited into
The "Account for Escrow Deposits" should already be defaulted to the primary Escrow Deposit Banking Account configured in Brokerage Settings. It should only be changed if a secondary escrow account is being used.
The commission or operating account should not be selected. If the funds are being retained, the escrow money will be automatically transferred to the operations or commissions account when it is indicated that the escrow money is being kept.
7
Click "Save"
8
View deposit here. If needing to correct mistake the escrow deposit can be revoked.
9
Click "Close"
If using BE Accounting, an Escrow Deposit Journal Entry will be created in the Accounting module by the system.
10
When escrow is being held but it has not yet been indicated whether it will be kept or paid out, it will be displayed as unbalanced.
Keep Escrow Deposit
11
Click "Toggle Dropdown" on the "Add Deposit" button.
12
Click the "Keep Remaining Escrow" option.
13
Select the operating or commission account to which you want the escrow deposit to be transferred.
The kept escrow account should already be defaulted to the operating or commission account. Another account should only be selected if the funds need to be deposited into a secondary bank account.
14
Select the date you want the escrow transfer to take place. This can be independent of the Close Date of the Transaction.
15
Click "Keep"
16
Click "OK"
If using BE Accounting, a Kept Escrow Journal Entry will be created in the Accounting module by the system.
Move Escrow funds back to Holding
The following steps outline how to undo the Kept Escrow and the corresponding Kept Escrow Journal Entry in BE Accounting.
17
Click the "Hold Deposit" button.
18
Click "OK"
19
The status of the Escrow Deposit will revert to "Unbalanced".
Create Escrow Payout
20
Click "Toggle Dropdown" next to the "Add Deposit" button.
21
Click the "Add Payment" option.
22
Select the recipient of the escrow payment.
23
Select whether to generate a paper check or record a wire transfer.
24
Click "Save"
25
Click "Payments"
Do NOT click Pay Out Escrow until you are certain the funds should be paid out. Once processed, the system will not allow this action to be reversed.
26
Clicking "Pay Out Escrow" creates the actual paper check or records the wire transfer in Accounting.
27
You can edit payment amount or click delete to remove the pending payment and the escrow will revert back to 'holding'
28
Click "Close"
