Chapter 3

Custodial Accounts

Section 301

Generally
301.01

Maintenance

Requirements

For all funds collected per the Loan Documents Loan DocumentsAll Fannie Mae-approved documents evidencing, securing, or guaranteeing the Mortgage Loan. , you must:

  • establish and maintain the following per this Chapter:
    • P&I Custodial Accounts P&I Custodial AccountsCustodial Account for principal and interest deposits. ;
    • T&I Custodial Accounts T&I Custodial AccountsCustodial Account for the deposit of T&I and other impound escrow funds. ; and
    • any other Custodial Accounts Custodial AccountsAccount established by the Servicer for depositing P&I payments, T&I payments, and escrow, reserve, or other funds received from the Borrower per any Loan Document, including the: Collateral Agreement; Multifamily Loan Agreement; or Security Instrument. required per the Loan Documents Loan DocumentsAll Fannie Mae-approved documents evidencing, securing, or guaranteeing the Mortgage Loan. ; and
  • maintain strict control of all funds in your custody.

Operating Procedures

You must maintain all accounts and related records:

  • for all
    • Custodial Accounts Custodial AccountsAccount established by the Servicer for depositing P&I payments, T&I payments, and escrow, reserve, or other funds received from the Borrower per any Loan Document, including the: Collateral Agreement; Multifamily Loan Agreement; or Security Instrument. ,
    • Drafting Accounts Drafting AccountsCustodial Account established by the Lender for the benefit of Fannie Mae and for which Fannie Mae has authority to transfer funds. , and
    • Clearing Accounts Clearing AccountsLender account at an Eligible Depository used either for receiving funds for various loans and for the benefit of multiple investors, and from which segregated funds are transferred to specific Custodial Accounts held solely for the benefit of Fannie Mae, or disbursing funds after transfer… ;
  • using sound accounting and cash management practices; and
  • enabling Fannie Mae Fannie MaeThis Glossary term Is Created Using Automation in Lower Environments and is used for testing purposes only!! to audit them at any time.
301.02

Fannie Mae's Rights

Requirements

Fannie Mae Fannie MaeThis Glossary term Is Created Using Automation in Lower Environments and is used for testing purposes only!! has a security interest in all Mortgage Loan Mortgage LoanMortgage debt obligation evidenced, or when made will be evidenced, by the Loan Documents, or  a mortgage debt obligation with a Fannie Mae credit enhancement. Test Notes-SV Test Again Sub-bullet test1 Sub-bullet test2 Custodial Accounts Custodial AccountsAccount established by the Servicer for depositing P&I payments, T&I payments, and escrow, reserve, or other funds received from the Borrower per any Loan Document, including the: Collateral Agreement; Multifamily Loan Agreement; or Security Instrument. and may require you to:

  • transfer funds from an institution (even if it is an Eligible Depository) into another Eligible Depository;
  • move funds to a trust account;
  • ensure funds are fully insured with the FDIC FDICFederal Deposit Insurance Corporation , NCUSIF NCUSIFNational Credit Union Share Insurance Fund administered by the National Credit Union Administration. , or other acceptable governmental insurer or guarantor;
  • remit more frequently while allowing funds to remain in the existing Custodial Account Custodial AccountAccount established by the Servicer for depositing P&I payments, T&I payments, and escrow, reserve, or other funds received from the Borrower per any Loan Document, including the: Collateral Agreement; Multifamily Loan Agreement; or Security Instrument. ; and
  • take other actions based on risks, account size, and other factors.
301.03

Eligible Depositories and Ratings
301.03A

Eligible Depository

Requirements

You must ensure all Custodial Accounts Custodial AccountsAccount established by the Servicer for depositing P&I payments, T&I payments, and escrow, reserve, or other funds received from the Borrower per any Loan Document, including the: Collateral Agreement; Multifamily Loan Agreement; or Security Instrument. are demand deposit or money market accounts maintained at an Eligible Depository.  An Eligible Depository is:

  • a Federal Reserve Bank;
  • a Federal Home Loan Bank; or
  • depository institution if it complies with the following.
Depository Institution... Must...
Accounts

Be insured by the

 

  • Federal Deposit Insurance Corporation, or
  • National Credit Union Share Insurance Fund.
Rating

Have an applicable Federal or State rating of 

 

  • “well capitalized”, or
  • if unrated, meet the capital requirements for a “well capitalized” rating.
Minimum Financial Ratings for Assets $20 Billion or More
  • If rated by both S&P and Moody’s, meet all of the following:
    • for S&P:
      • an “A-2” short-term issuer rating; and
      • a “BBB” long-term issuer rating; and
    • for Moody’s:
      • a “P-3” short-term bank deposit rating; and
      • a “Baa2” long-term bank deposit rating.
  • If only rated by S&P, have:
    • an “A-2” short-term issuer rating; and
    • a “BBB” long-term issuer rating.
  • If only rated by Moody’s, have:
    • a “P-3” short-term bank deposit rating; and
    • a “Baa2” long-term bank deposit rating.
Minimum Financial Ratings for Assets Less than $20 Billion

Meet at least 1 of the following:

 

  • For S&P:
    • an “A-2” short-term issuer rating; and
    • a “BBB” long-term issuer rating.
  • For Moody’s:
    • a “P-3” short-term bank deposit rating; and
    • a “Baa2” long-term bank deposit rating.
  • For IDC Financial Publishing, Inc., or its successor, a 175.
  • For Kroll Bond Rating Agency, Inc., or its successor, a C+.

Operating Procedures

You may establish the account within your own institution if you

  • are an Eligible Depository, and
  • do not use your general ledger or internal operating account for Custodial Accounts Custodial AccountsAccount established by the Servicer for depositing P&I payments, T&I payments, and escrow, reserve, or other funds received from the Borrower per any Loan Document, including the: Collateral Agreement; Multifamily Loan Agreement; or Security Instrument. .
301.03B

Verifying Depository Ratings

Requirements

You must monitor the financial viability of custodial fund depositories.

If a depository or its holding company does not meet the Eligible Depository ratings per Part V, Chapter 3: Custodial Accounts, Section 301.03A: Eligible Depository , you must transfer the Custodial Account Custodial AccountAccount established by the Servicer for depositing P&I payments, T&I payments, and escrow, reserve, or other funds received from the Borrower per any Loan Document, including the: Collateral Agreement; Multifamily Loan Agreement; or Security Instrument. to an Eligible Depository within 30 days.

Operating Procedures

To determine an Eligible Depository:

  • use the most recent financial ratings issued within the past 3 months; and
  • confirm the ratings every 3 months.
301.04

Investments and Interest

Requirements

You must:

  • comply with the interest-bearing requirements per the Loan Documents Loan DocumentsAll Fannie Mae-approved documents evidencing, securing, or guaranteeing the Mortgage Loan. when establishing accounts;
  • not invest Custodial Account Custodial AccountAccount established by the Servicer for depositing P&I payments, T&I payments, and escrow, reserve, or other funds received from the Borrower per any Loan Document, including the: Collateral Agreement; Multifamily Loan Agreement; or Security Instrument. funds, other than typical demand deposit or money market account earnings (e.g., interest); and
  • when required by law or the Loan Documents Loan DocumentsAll Fannie Mae-approved documents evidencing, securing, or guaranteeing the Mortgage Loan. , pay the Borrower BorrowerPerson who is the obligor per the Note. Custodial Account Custodial AccountAccount established by the Servicer for depositing P&I payments, T&I payments, and escrow, reserve, or other funds received from the Borrower per any Loan Document, including the: Collateral Agreement; Multifamily Loan Agreement; or Security Instrument. earnings.

Operating Procedures

You may establish interest-bearing Custodial Accounts Custodial AccountsAccount established by the Servicer for depositing P&I payments, T&I payments, and escrow, reserve, or other funds received from the Borrower per any Loan Document, including the: Collateral Agreement; Multifamily Loan Agreement; or Security Instrument. if:

  • they comply with all applicable local, state, and federal laws and regulations regarding Borrower BorrowerPerson who is the obligor per the Note. funds;
  • funds can be withdrawn on demand without prior notice; and
  • either
    • there is no early withdrawal penalty, or
    • the number of withdrawals is limited, but you are responsible for any excess withdrawal penalties.

Guidance

You may retain any Custodial Account Custodial AccountAccount established by the Servicer for depositing P&I payments, T&I payments, and escrow, reserve, or other funds received from the Borrower per any Loan Document, including the: Collateral Agreement; Multifamily Loan Agreement; or Security Instrument. earnings you are not required to pay the Borrower BorrowerPerson who is the obligor per the Note. .

301.05

Clearing Accounts

Requirements

You must:

  • not use any Custodial Account Custodial AccountAccount established by the Servicer for depositing P&I payments, T&I payments, and escrow, reserve, or other funds received from the Borrower per any Loan Document, including the: Collateral Agreement; Multifamily Loan Agreement; or Security Instrument. as a Clearing Account Clearing AccountLender account at an Eligible Depository used either for receiving funds for various loans and for the benefit of multiple investors, and from which segregated funds are transferred to specific Custodial Accounts held solely for the benefit of Fannie Mae, or disbursing funds after transfer… ; and
  • establish a Clearing Account Clearing AccountLender account at an Eligible Depository used either for receiving funds for various loans and for the benefit of multiple investors, and from which segregated funds are transferred to specific Custodial Accounts held solely for the benefit of Fannie Mae, or disbursing funds after transfer… per Part V, Chapter 3: Custodial Accounts, Section 306: Clearing Accounts  if deposits and disbursements cannot be made directly to or from the Custodial Accounts Custodial AccountsAccount established by the Servicer for depositing P&I payments, T&I payments, and escrow, reserve, or other funds received from the Borrower per any Loan Document, including the: Collateral Agreement; Multifamily Loan Agreement; or Security Instrument. .
301.06

Liability
301.06A

Losses

Requirements

You are responsible for any:

  • Custodial Account Custodial AccountAccount established by the Servicer for depositing P&I payments, T&I payments, and escrow, reserve, or other funds received from the Borrower per any Loan Document, including the: Collateral Agreement; Multifamily Loan Agreement; or Security Instrument. losses; and
  • damages Fannie Mae Fannie MaeThis Glossary term Is Created Using Automation in Lower Environments and is used for testing purposes only!! suffers due to funding delays, even if you complied with the Guide GuideMultifamily Selling and Servicing Guide controlling all Lender and Servicer requirements unless a Lender Contract specifies otherwise. .

If you incur losses, Fannie Mae Fannie MaeThis Glossary term Is Created Using Automation in Lower Environments and is used for testing purposes only!! will not:

  • reimburse them; or
  • include them in any Mortgage Loan Mortgage LoanMortgage debt obligation evidenced, or when made will be evidenced, by the Loan Documents, or  a mortgage debt obligation with a Fannie Mae credit enhancement. Test Notes-SV Test Again Sub-bullet test1 Sub-bullet test2 loss sharing calculation.
301.06B

Overdrafts

Requirements

You must ensure a Custodial Account Custodial AccountAccount established by the Servicer for depositing P&I payments, T&I payments, and escrow, reserve, or other funds received from the Borrower per any Loan Document, including the: Collateral Agreement; Multifamily Loan Agreement; or Security Instrument. is never overdrawn.

Operating Procedures

If an overdraft occurs, you must advance your own funds within 1 Business Day Business DayAny day other than a Saturday, Sunday, day when Fannie Mae is closed, day when the Federal Reserve Bank of New York is closed, or for any MBS and required remittance withdrawal, day when the Federal Reserve Bank is closed in the district where any of the MBS funds are held. to cure the overdraft.

Section 302

Administration
302.01

Generally

Operating Procedures

Within 30 days of opening a Custodial Account Custodial AccountAccount established by the Servicer for depositing P&I payments, T&I payments, and escrow, reserve, or other funds received from the Borrower per any Loan Document, including the: Collateral Agreement; Multifamily Loan Agreement; or Security Instrument. , or changing the Eligible Depository or Custodial Account Custodial AccountAccount established by the Servicer for depositing P&I payments, T&I payments, and escrow, reserve, or other funds received from the Borrower per any Loan Document, including the: Collateral Agreement; Multifamily Loan Agreement; or Security Instrument. information, you must:

  • log in to the Custodial Bank Account Management Application;
  • enter the required information; and
  • electronically sign the form.

The Custodial Bank Account Management Application Custodial Bank Account Management ApplicationSystem used to enter or update Eligible Depository or Custodial Account information per Part V, Chapter 3: Custodial Accounts. will send the form to the Depository for signature.

Within 30 days after closing a Custodial Account Custodial AccountAccount established by the Servicer for depositing P&I payments, T&I payments, and escrow, reserve, or other funds received from the Borrower per any Loan Document, including the: Collateral Agreement; Multifamily Loan Agreement; or Security Instrument. , you must:

  • log in to the Custodial Bank Account Management Application Custodial Bank Account Management ApplicationSystem used to enter or update Eligible Depository or Custodial Account information per Part V, Chapter 3: Custodial Accounts. ;
  • select the form for the closed account;
  • select the Report Account Closed button; and
  • confirm your intent to report the account closed.

You must ensure all Custodial Accounts Custodial AccountsAccount established by the Servicer for depositing P&I payments, T&I payments, and escrow, reserve, or other funds received from the Borrower per any Loan Document, including the: Collateral Agreement; Multifamily Loan Agreement; or Security Instrument. are titled as:

  • "[You], as agent, trustee, and/or bailee for Fannie Mae Fannie MaeThis Glossary term Is Created Using Automation in Lower Environments and is used for testing purposes only!! and/or payments of various mortgagors and/or various owners of interests in mortgage-backed securities (Custodial Account)"; or
  • if submitted by a subservicer, "[Subservicer], as subservicer for [Primary Servicer], as agent, trustee, and/or bailee for Fannie Mae Fannie MaeThis Glossary term Is Created Using Automation in Lower Environments and is used for testing purposes only!! and/or payments of various mortgagors and/or various owners of interests in mortgage-backed securities (Custodial Account)".
302.02

Deposits

Requirements

You must deposit any funds no later than the second Business Day Business DayAny day other than a Saturday, Sunday, day when Fannie Mae is closed, day when the Federal Reserve Bank of New York is closed, or for any MBS and required remittance withdrawal, day when the Federal Reserve Bank is closed in the district where any of the MBS funds are held. (including any time funds are in a Clearing Account Clearing AccountLender account at an Eligible Depository used either for receiving funds for various loans and for the benefit of multiple investors, and from which segregated funds are transferred to specific Custodial Accounts held solely for the benefit of Fannie Mae, or disbursing funds after transfer… or general ledger account) after receiving them. 

Operating Procedures

For deposits:

  • Establish a daily cutoff ensuring collections are credited to the appropriate Custodial Account Custodial AccountAccount established by the Servicer for depositing P&I payments, T&I payments, and escrow, reserve, or other funds received from the Borrower per any Loan Document, including the: Collateral Agreement; Multifamily Loan Agreement; or Security Instrument. no later than the Business Day Business DayAny day other than a Saturday, Sunday, day when Fannie Mae is closed, day when the Federal Reserve Bank of New York is closed, or for any MBS and required remittance withdrawal, day when the Federal Reserve Bank is closed in the district where any of the MBS funds are held. after receiving them.
  • Ensure collections deposited to the Clearing Account Clearing AccountLender account at an Eligible Depository used either for receiving funds for various loans and for the benefit of multiple investors, and from which segregated funds are transferred to specific Custodial Accounts held solely for the benefit of Fannie Mae, or disbursing funds after transfer… are credited to the applicable Custodial Account Custodial AccountAccount established by the Servicer for depositing P&I payments, T&I payments, and escrow, reserve, or other funds received from the Borrower per any Loan Document, including the: Collateral Agreement; Multifamily Loan Agreement; or Security Instrument. by:
    • for non-ACH ACHElectronic Automated Clearing House network for processing U.S. banking transactions. funds, the first Business Day Business DayAny day other than a Saturday, Sunday, day when Fannie Mae is closed, day when the Federal Reserve Bank of New York is closed, or for any MBS and required remittance withdrawal, day when the Federal Reserve Bank is closed in the district where any of the MBS funds are held. after receiving them; or
    • for ACH ACHElectronic Automated Clearing House network for processing U.S. banking transactions. funds, the second Business Day Business DayAny day other than a Saturday, Sunday, day when Fannie Mae is closed, day when the Federal Reserve Bank of New York is closed, or for any MBS and required remittance withdrawal, day when the Federal Reserve Bank is closed in the district where any of the MBS funds are held. after receiving them, but this does not extend your deadline to remit funds to Fannie Mae Fannie MaeThis Glossary term Is Created Using Automation in Lower Environments and is used for testing purposes only!! .
Section 303

P&I Custodial Accounts
303.01

Accounts and Deposits

Requirements

You must:

  • Maintain 1 separate P&I Custodial Account P&I Custodial AccountCustodial Account for principal and interest deposits. for each of these Mortgage Loan Mortgage LoanMortgage debt obligation evidenced, or when made will be evidenced, by the Loan Documents, or  a mortgage debt obligation with a Fannie Mae credit enhancement. Test Notes-SV Test Again Sub-bullet test1 Sub-bullet test2 categories:
    • Cash Mortgage Loans Cash Mortgage LoansMortgage Loan purchased by Fannie Mae in exchange for cash. and PFP Mortgage Loans PFP Mortgage LoansMortgage Loan originally purchased as a Cash Mortgage Loan or held in Fannie Mae’s portfolio, but subsequently securitized as an MBS. ;
    • MBS Mortgage Loans MBS Mortgage LoansMortgage Loan purchased by Fannie Mae in exchange for an issued MBS backed by the Mortgage Loan. , including
      • MBS Mortgage Loans MBS Mortgage LoansMortgage Loan purchased by Fannie Mae in exchange for an issued MBS backed by the Mortgage Loan. issued using a REMIC REMICReal Estate Mortgage Investment Conduit election after January 1, 2021, and
      • MBS for Bonds MBS for BondsFannie Mae MBS: issued to credit enhance tax-exempt Bonds; or exchanged for Bonds redeemed at MBS issuance. ;
    • Credit Enhancement Mortgage Loans Credit Enhancement Mortgage LoansMortgage Loan financed by a Bond issuance where Fannie Mae provides credit enhancement by a Credit Enhancement Instrument, or an MBS for Bonds. or transactions with Credit Enhancement Instruments Credit Enhancement InstrumentsAgreement between Fannie Mae and a Bond Trustee where Fannie Mae provides credit enhancement of a Credit Enhancement Mortgage Loan, Bonds issued to finance a Credit Enhancement Mortgage Loan, or an Interest Rate Hedge Agreement; and if applicable, a Bond liquidity facility. ;
    • REMIC REMICReal Estate Mortgage Investment Conduit transactions submitted in the Multifamily Negotiated Transactions (MFNT) application; and
    • any other Securitized Mortgage Loans Securitized Mortgage LoansMortgage Loan backing an MBS, PFP MBS, or REMIC. .
  • Not commingle P&I Custodial Account P&I Custodial AccountCustodial Account for principal and interest deposits. funds among the Mortgage Loan Mortgage LoanMortgage debt obligation evidenced, or when made will be evidenced, by the Loan Documents, or  a mortgage debt obligation with a Fannie Mae credit enhancement. Test Notes-SV Test Again Sub-bullet test1 Sub-bullet test2 categories.  For example, P&I P&IPrincipal and interest funds for an MBS Mortgage Loan MBS Mortgage LoanMortgage Loan purchased by Fannie Mae in exchange for an issued MBS backed by the Mortgage Loan. may not be commingled with P&I P&IPrincipal and interest funds for a Cash Mortgage Loan Cash Mortgage LoanMortgage Loan purchased by Fannie Mae in exchange for cash. , even for the same Borrower BorrowerPerson who is the obligor per the Note. .
  • Use P&I Custodial Accounts P&I Custodial AccountsCustodial Account for principal and interest deposits. for all Borrower BorrowerPerson who is the obligor per the Note. P&I P&IPrincipal and interest Mortgage Loan Mortgage LoanMortgage debt obligation evidenced, or when made will be evidenced, by the Loan Documents, or  a mortgage debt obligation with a Fannie Mae credit enhancement. Test Notes-SV Test Again Sub-bullet test1 Sub-bullet test2 payments, including any
    • unscheduled principal or interest payments,
    • Delinquency Advances Delinquency AdvancesYour required advances for scheduled monthly Mortgage Loan principal and/or interest per your Lender Contract, or the Guide. , or 
    • recovered Delinquency Advances Delinquency AdvancesYour required advances for scheduled monthly Mortgage Loan principal and/or interest per your Lender Contract, or the Guide. .

Guidance

You may commingle P&I P&IPrincipal and interest funds for all Mortgage Loans Mortgage LoansMortgage debt obligation evidenced, or when made will be evidenced, by the Loan Documents, or  a mortgage debt obligation with a Fannie Mae credit enhancement. Test Notes-SV Test Again Sub-bullet test1 Sub-bullet test2 within the same Mortgage Loan Mortgage LoanMortgage debt obligation evidenced, or when made will be evidenced, by the Loan Documents, or  a mortgage debt obligation with a Fannie Mae credit enhancement. Test Notes-SV Test Again Sub-bullet test1 Sub-bullet test2 category.

303.02

Withdrawals

Requirements

You must only withdraw funds from the P&I Custodial Account P&I Custodial AccountCustodial Account for principal and interest deposits. to:

  • Remit funds to Fannie Mae Fannie MaeThis Glossary term Is Created Using Automation in Lower Environments and is used for testing purposes only!! .
  • Reimburse a Delinquency Advance Delinquency AdvanceYour required advances for scheduled monthly Mortgage Loan principal and/or interest per your Lender Contract, or the Guide. recovered from subsequent collections.
  • Remove funds erroneously deposited.
  • Transfer interest or typical demand deposit or money market account earnings.
  • Pay the Guaranty Fee Guaranty FeeFee retained by Fannie Mae for credit enhancing a Mortgage Loan or assuming credit risk on a Mortgage Loan, and which may be expressed as a percentage. (unless you received a notice of default from any Security Trust Indenture guarantor).
  • Remove fees, charges, or other amounts deposited on a temporary basis, including
    • late charges,
    • Servicing Fees Servicing FeesFee a Servicer receives for collecting payments, managing operational procedures, and assuming your portion of credit risk for a Mortgage Loan, and which may be expressed as a percentage. , or
    • unsecuritized excess spread (i.e., when a Mortgage Loan's Mortgage Loan'sMortgage debt obligation evidenced, or when made will be evidenced, by the Loan Documents, or  a mortgage debt obligation with a Fannie Mae credit enhancement. Test Notes-SV Test Again Sub-bullet test1 Sub-bullet test2 Pass-Through Rate Pass-Through RateMortgage Loan Gross Note Rate minus: for MBS Mortgage Loans, the Guaranty Fee, minus the Servicing Fee; and for Cash Mortgage Loans, the Servicing Fee. is greater than the MBS Pool's MBS Pool'sMBS Security backed by MBS Mortgage Loans. Pass-Through Rate Pass-Through RateMortgage Loan Gross Note Rate minus: for MBS Mortgage Loans, the Guaranty Fee, minus the Servicing Fee; and for Cash Mortgage Loans, the Servicing Fee. ).
  • Clear and close the account.
  • Transfer any funds to 1 or more other Custodial Accounts Custodial AccountsAccount established by the Servicer for depositing P&I payments, T&I payments, and escrow, reserve, or other funds received from the Borrower per any Loan Document, including the: Collateral Agreement; Multifamily Loan Agreement; or Security Instrument. per this Chapter.
Section 304

T&I Custodial Accounts
304.01

Deposits

Requirements

You must:

  • use T&I Custodial Accounts T&I Custodial AccountsCustodial Account for the deposit of T&I and other impound escrow funds. for
    • all Borrower BorrowerPerson who is the obligor per the Note. payments for T&I Impositions T&I ImpositionsAmounts for taxes, insurance, and other charges assessed against or owing on the Property which you deem necessary to protect the Property and/or prevent Liens imposed on it. per  Part V, Chapter 3: Custodial Accounts, Section 304.02: T&I Impositions , and
    • Servicing Advances Servicing AdvancesAll amounts required to be paid by the Borrower, for all taxes and assessments against each Property, all insurance premiums for insurance for each Property to insurance carrier(s) acceptable to Fannie Mae, in accordance with the Guide, and any other payment, as determined by Fannie Mae,… you make for these items; and
  • not commingle T&I Custodial Account T&I Custodial AccountCustodial Account for the deposit of T&I and other impound escrow funds. funds with
    • P&I Custodial Account P&I Custodial AccountCustodial Account for principal and interest deposits. funds, or
    • funds for any other Custodial Account Custodial AccountAccount established by the Servicer for depositing P&I payments, T&I payments, and escrow, reserve, or other funds received from the Borrower per any Loan Document, including the: Collateral Agreement; Multifamily Loan Agreement; or Security Instrument. .

Operating Procedures

You may establish:

  • 1 T&I Custodial Account T&I Custodial AccountCustodial Account for the deposit of T&I and other impound escrow funds. for all T&I T&ITaxes or assessments that may become a Lien on the Property and insurance premiums. deposits from all Mortgage Loans Mortgage LoansMortgage debt obligation evidenced, or when made will be evidenced, by the Loan Documents, or  a mortgage debt obligation with a Fannie Mae credit enhancement. Test Notes-SV Test Again Sub-bullet test1 Sub-bullet test2 ; or
  • 2 separate T&I Custodial Accounts T&I Custodial AccountsCustodial Account for the deposit of T&I and other impound escrow funds. , with funds for all 
    • Cash Mortgage Loans Cash Mortgage LoansMortgage Loan purchased by Fannie Mae in exchange for cash. in 1 T&I Custodial Account T&I Custodial AccountCustodial Account for the deposit of T&I and other impound escrow funds. , and 
    • Securitized Mortgage Loans Securitized Mortgage LoansMortgage Loan backing an MBS, PFP MBS, or REMIC. in the other T&I Custodial Account T&I Custodial AccountCustodial Account for the deposit of T&I and other impound escrow funds. .

You must obtain Fannie Mae Fannie MaeThis Glossary term Is Created Using Automation in Lower Environments and is used for testing purposes only!! ’s consent to establish a separate T&I Custodial Account T&I Custodial AccountCustodial Account for the deposit of T&I and other impound escrow funds. for an individual

  • Mortgage Loan Mortgage LoanMortgage debt obligation evidenced, or when made will be evidenced, by the Loan Documents, or  a mortgage debt obligation with a Fannie Mae credit enhancement. Test Notes-SV Test Again Sub-bullet test1 Sub-bullet test2 , or
  • Borrower BorrowerPerson who is the obligor per the Note. .
304.02

T&I Impositions

Requirements

Unless precluded by the Loan Documents Loan DocumentsAll Fannie Mae-approved documents evidencing, securing, or guaranteeing the Mortgage Loan. , you must:

  • collect monthly payments from the Borrower BorrowerPerson who is the obligor per the Note. ;
  • ensure all T&I Impositions T&I ImpositionsAmounts for taxes, insurance, and other charges assessed against or owing on the Property which you deem necessary to protect the Property and/or prevent Liens imposed on it. are timely paid, including:
    • real estate taxes;
    • special assessments;
    • water and sewer assessments;
    • PILOTs PILOTsPayment In Lieu Of Taxes. ;
    • insurance premiums;
    • ground lease rents; and
    • all other charges or obligations that could become a Lien LienLien, mortgage, bond interest, pledge, security interest, charge, or encumbrance of any kind. against the Property PropertyMultifamily residential real estate securing the Mortgage Loan, including the fee simple or Leasehold interest, Improvements, and personal property (per the Uniform Commercial Code). ; and
  • pay any penalty or late fee if you fail to make timely payments.

Guidance

You may:

  • Charge the Borrower BorrowerPerson who is the obligor per the Note. for any penalty or late fee incurred if the failure to timely pay was due to insufficient T&I Custodial Account T&I Custodial AccountCustodial Account for the deposit of T&I and other impound escrow funds. funds.
  • Use qualified third-party vendors (that you manage and monitor) to
    • collect T&I Custodial Account T&I Custodial AccountCustodial Account for the deposit of T&I and other impound escrow funds. funds, and
    • pay T&I Impositions T&I ImpositionsAmounts for taxes, insurance, and other charges assessed against or owing on the Property which you deem necessary to protect the Property and/or prevent Liens imposed on it. .
304.03

Shortfalls

Requirements

T&I Custodial Account T&I Custodial AccountCustodial Account for the deposit of T&I and other impound escrow funds. shortfalls must be paid by

  • the Borrower BorrowerPerson who is the obligor per the Note. , or
  • you (i.e., a Servicing Advance Servicing AdvanceAll amounts required to be paid by the Borrower, for all taxes and assessments against each Property, all insurance premiums for insurance for each Property to insurance carrier(s) acceptable to Fannie Mae, in accordance with the Guide, and any other payment, as determined by Fannie Mae,… ).
304.04

Prohibited Uses

Requirements

You must not use any T&I Custodial Account T&I Custodial AccountCustodial Account for the deposit of T&I and other impound escrow funds. funds to:

  • supplement a shortfall in the Borrower's Borrower'sPerson who is the obligor per the Note. monthly P&I P&IPrincipal and interest payment to Fannie Mae Fannie MaeThis Glossary term Is Created Using Automation in Lower Environments and is used for testing purposes only!! ;
  • reimburse yourself for any Servicing Advance Servicing AdvanceAll amounts required to be paid by the Borrower, for all taxes and assessments against each Property, all insurance premiums for insurance for each Property to insurance carrier(s) acceptable to Fannie Mae, in accordance with the Guide, and any other payment, as determined by Fannie Mae,… unless it is recovered from subsequent collections for that Mortgage Loan Mortgage LoanMortgage debt obligation evidenced, or when made will be evidenced, by the Loan Documents, or  a mortgage debt obligation with a Fannie Mae credit enhancement. Test Notes-SV Test Again Sub-bullet test1 Sub-bullet test2 ; or
  • supplement a shortfall in a Borrower's Borrower'sPerson who is the obligor per the Note. taxes or insurance payment using another Borrower's Borrower'sPerson who is the obligor per the Note. tax or insurance deposits.

Guidance

You may use a Borrower's Borrower'sPerson who is the obligor per the Note. own tax or insurance deposits to cover a shortfall in the Borrower's Borrower'sPerson who is the obligor per the Note. tax or insurance obligation if you adjust future deposits per Part V, Chapter 3: Custodial Accounts, Section 308.04B: Insufficient Funds .

304.05

No Financing for T&I Impositions

Requirements

To pay any T&I Impositions T&I ImpositionsAmounts for taxes, insurance, and other charges assessed against or owing on the Property which you deem necessary to protect the Property and/or prevent Liens imposed on it. , you must not

  • provide financing to the Borrower BorrowerPerson who is the obligor per the Note. , or
  • allow the Borrower BorrowerPerson who is the obligor per the Note. to obtain financing.
Section 305

Custodial Accounts
305.01

Deposits

Requirements

If required by the Loan Documents Loan DocumentsAll Fannie Mae-approved documents evidencing, securing, or guaranteeing the Mortgage Loan. , you must establish Custodial Accounts Custodial AccountsAccount established by the Servicer for depositing P&I payments, T&I payments, and escrow, reserve, or other funds received from the Borrower per any Loan Document, including the: Collateral Agreement; Multifamily Loan Agreement; or Security Instrument. for the Borrower's Borrower'sPerson who is the obligor per the Note. deposits for any:

  • Completion/Repair Escrow Completion/Repair EscrowCustodial Account funded on the Mortgage Loan Origination Date for Completion/Repairs or capital improvements per the Loan Documents. ;
  • Replacement Reserve Replacement ReserveCustodial Account the Borrower funds during the Mortgage Loan term for Replacements. ;
  • operating deficit escrow; and
  • other Collateral Agreement Collateral AgreementAgreement granting a security interest in Mortgage Loan collateral not covered by the Security Instrument. escrow.

Operating Procedures

You may establish

  • 1 account for all Collateral Agreement Collateral AgreementAgreement granting a security interest in Mortgage Loan collateral not covered by the Security Instrument. deposits, or
  • a separate Custodial Account Custodial AccountAccount established by the Servicer for depositing P&I payments, T&I payments, and escrow, reserve, or other funds received from the Borrower per any Loan Document, including the: Collateral Agreement; Multifamily Loan Agreement; or Security Instrument. for each:
    • Mortgage Loan Mortgage LoanMortgage debt obligation evidenced, or when made will be evidenced, by the Loan Documents, or  a mortgage debt obligation with a Fannie Mae credit enhancement. Test Notes-SV Test Again Sub-bullet test1 Sub-bullet test2 ;
    • Collateral Agreement Collateral AgreementAgreement granting a security interest in Mortgage Loan collateral not covered by the Security Instrument. type;
    • Borrower BorrowerPerson who is the obligor per the Note. ; or
    • Collateral Agreement Collateral AgreementAgreement granting a security interest in Mortgage Loan collateral not covered by the Security Instrument. .
305.02

Full Disbursement

Operating Procedures

You must close the Custodial Account Custodial AccountAccount established by the Servicer for depositing P&I payments, T&I payments, and escrow, reserve, or other funds received from the Borrower per any Loan Document, including the: Collateral Agreement; Multifamily Loan Agreement; or Security Instrument. per  Part V, Chapter 3: Custodial Accounts, Section 302.01: Generally after you

  • complied with the Collateral Agreement Collateral AgreementAgreement granting a security interest in Mortgage Loan collateral not covered by the Security Instrument. , and
  • disbursed all Custodial Account Custodial AccountAccount established by the Servicer for depositing P&I payments, T&I payments, and escrow, reserve, or other funds received from the Borrower per any Loan Document, including the: Collateral Agreement; Multifamily Loan Agreement; or Security Instrument. funds.
Section 306

Clearing Accounts

Requirements

When establishing a Clearing Account Clearing AccountLender account at an Eligible Depository used either for receiving funds for various loans and for the benefit of multiple investors, and from which segregated funds are transferred to specific Custodial Accounts held solely for the benefit of Fannie Mae, or disbursing funds after transfer… , you must:

  • use an Eligible Depository;
  • title the account to reflect it is custodial; and
  • inform the depository in writing it is a custodial account.

Operating Procedures

If you use a Clearing Account Clearing AccountLender account at an Eligible Depository used either for receiving funds for various loans and for the benefit of multiple investors, and from which segregated funds are transferred to specific Custodial Accounts held solely for the benefit of Fannie Mae, or disbursing funds after transfer… for deposits and disbursements, you:

  • must establish a separate account for collections and disbursements;
  • may use debit and credit memos to transfer funds between the Clearing Account Clearing AccountLender account at an Eligible Depository used either for receiving funds for various loans and for the benefit of multiple investors, and from which segregated funds are transferred to specific Custodial Accounts held solely for the benefit of Fannie Mae, or disbursing funds after transfer… and the Custodial Account Custodial AccountAccount established by the Servicer for depositing P&I payments, T&I payments, and escrow, reserve, or other funds received from the Borrower per any Loan Document, including the: Collateral Agreement; Multifamily Loan Agreement; or Security Instrument. ; and
  • are not required to title the Clearing Account Clearing AccountLender account at an Eligible Depository used either for receiving funds for various loans and for the benefit of multiple investors, and from which segregated funds are transferred to specific Custodial Accounts held solely for the benefit of Fannie Mae, or disbursing funds after transfer… in Fannie Mae Fannie MaeThis Glossary term Is Created Using Automation in Lower Environments and is used for testing purposes only!! ’s name, but your records must show Fannie Mae Fannie MaeThis Glossary term Is Created Using Automation in Lower Environments and is used for testing purposes only!! ’s interest in the deposits.

Guidance

All Clearing Accounts Clearing AccountsLender account at an Eligible Depository used either for receiving funds for various loans and for the benefit of multiple investors, and from which segregated funds are transferred to specific Custodial Accounts held solely for the benefit of Fannie Mae, or disbursing funds after transfer… should have a zero balance at the close of each Business Day Business DayAny day other than a Saturday, Sunday, day when Fannie Mae is closed, day when the Federal Reserve Bank of New York is closed, or for any MBS and required remittance withdrawal, day when the Federal Reserve Bank is closed in the district where any of the MBS funds are held. .

Section 307

Drafting Accounts
307.01

Establishing Drafting Accounts

Guidance

You may use Drafting Accounts Drafting AccountsCustodial Account established by the Lender for the benefit of Fannie Mae and for which Fannie Mae has authority to transfer funds. to simplify transferring funds to Fannie Mae Fannie MaeThis Glossary term Is Created Using Automation in Lower Environments and is used for testing purposes only!! .

Requirements

You must comply with Part V, Chapter 3: Custodial Accounts, Section 306: Clearing Accounts  when establishing a Drafting Account Drafting AccountCustodial Account established by the Lender for the benefit of Fannie Mae and for which Fannie Mae has authority to transfer funds. .

307.02

Consolidated Custodial Accounts

Requirements

Topic You must...
Securitized Mortgage Loans 
(Other Than PFP MBS)

Use separate consolidated Custodial Accounts Custodial AccountsAccount established by the Servicer for depositing P&I payments, T&I payments, and escrow, reserve, or other funds received from the Borrower per any Loan Document, including the: Collateral Agreement; Multifamily Loan Agreement; or Security Instrument. for drafting:

 
Corporate/General Lender Accounts Not designate your corporate, general ledger, or other internal operating account as a Drafting Account Drafting AccountCustodial Account established by the Lender for the benefit of Fannie Mae and for which Fannie Mae has authority to transfer funds. .
Records Maintain records of the commingled fund sources on an individual Mortgage Loan Mortgage LoanMortgage debt obligation evidenced, or when made will be evidenced, by the Loan Documents, or  a mortgage debt obligation with a Fannie Mae credit enhancement. Test Notes-SV Test Again Sub-bullet test1 Sub-bullet test2 basis.

Operating Procedures

Topic You...
Establishing Accounts Must submit a Letter of Authorization using the Custodial Bank Account Management Application Custodial Bank Account Management ApplicationSystem used to enter or update Eligible Depository or Custodial Account information per Part V, Chapter 3: Custodial Accounts. .
Timely Remittance Must move all funds due into the account to ensure timely remittance to Fannie Mae Fannie MaeThis Glossary term Is Created Using Automation in Lower Environments and is used for testing purposes only!! .
Cash Mortgage Loans May temporarily commingle P&I P&IPrincipal and interest funds for all Cash Mortgage Loan Cash Mortgage LoanMortgage Loan purchased by Fannie Mae in exchange for cash. categories per  Part V, Chapter 3: Custodial Accounts, Section 303.01: Accounts and Deposits  into 1 consolidated Drafting Account Drafting AccountCustodial Account established by the Lender for the benefit of Fannie Mae and for which Fannie Mae has authority to transfer funds. under your master 5-digit Servicer ServicerPrimary Person servicing the Mortgage Loan, including the originator, seller, or a third party. number.
Securitized Mortgage Loans May temporarily commingle P&I P&IPrincipal and interest funds for all Securitized Mortgage Loan Securitized Mortgage LoanMortgage Loan backing an MBS, PFP MBS, or REMIC. categories per  Part V, Chapter 3: Custodial Accounts, Section 303.01: Accounts and Deposits  into 1 consolidated Drafting Account Drafting AccountCustodial Account established by the Lender for the benefit of Fannie Mae and for which Fannie Mae has authority to transfer funds. under your master 5-digit Servicer ServicerPrimary Person servicing the Mortgage Loan, including the originator, seller, or a third party. number.
P&I Funds May designate 1 Drafting Account Drafting AccountCustodial Account established by the Lender for the benefit of Fannie Mae and for which Fannie Mae has authority to transfer funds. for P&I P&IPrincipal and interest funds for each Mortgage Loan Mortgage LoanMortgage debt obligation evidenced, or when made will be evidenced, by the Loan Documents, or  a mortgage debt obligation with a Fannie Mae credit enhancement. Test Notes-SV Test Again Sub-bullet test1 Sub-bullet test2 category per  Part V, Chapter 3: Custodial Accounts, Section 303.01: Accounts and Deposits  under each of your 9-digit Servicer ServicerPrimary Person servicing the Mortgage Loan, including the originator, seller, or a third party. numbers.
Commingling Timing Cannot commingle funds earlier than 1 Business Day Business DayAny day other than a Saturday, Sunday, day when Fannie Mae is closed, day when the Federal Reserve Bank of New York is closed, or for any MBS and required remittance withdrawal, day when the Federal Reserve Bank is closed in the district where any of the MBS funds are held. before the funds will be drafted.
System

Must, for both Cash Mortgage Loans Cash Mortgage LoansMortgage Loan purchased by Fannie Mae in exchange for cash. and Securitized Mortgage Loans Securitized Mortgage LoansMortgage Loan backing an MBS, PFP MBS, or REMIC. , use the Cash Remittance System Cash Remittance SystemMultifamily system where you set up and maintain banking instructions for Fannie Mae’s drafting of remittances per Part V, Chapter 2: Reporting and Remitting, Section 209: Remittance Procedures. to designate specific Custodial Accounts Custodial AccountsAccount established by the Servicer for depositing P&I payments, T&I payments, and escrow, reserve, or other funds received from the Borrower per any Loan Document, including the: Collateral Agreement; Multifamily Loan Agreement; or Security Instrument. from which Fannie Mae Fannie MaeThis Glossary term Is Created Using Automation in Lower Environments and is used for testing purposes only!! remittances can be automatically drafted per Part V, Chapter 2: Reporting and Remitting, Section 209.03: Cash Remittance System.
Section 308

Recordkeeping and Reconciliations
308.01

Account Analysis and Reconciliation

Requirements

You must analyze and reconcile each Custodial Account Custodial AccountAccount established by the Servicer for depositing P&I payments, T&I payments, and escrow, reserve, or other funds received from the Borrower per any Loan Document, including the: Collateral Agreement; Multifamily Loan Agreement; or Security Instrument. and associated Clearing Accounts Clearing AccountsLender account at an Eligible Depository used either for receiving funds for various loans and for the benefit of multiple investors, and from which segregated funds are transferred to specific Custodial Accounts held solely for the benefit of Fannie Mae, or disbursing funds after transfer… monthly.

Operating Procedures

At a minimum, your reconciliation must include:

  • a depository reconciliation;
  • the cashbook balance composition; and
  • an explanation of line items.

Fannie Mae Fannie MaeThis Glossary term Is Created Using Automation in Lower Environments and is used for testing purposes only!! may review your reconciliation including:

  • an explanation of any adjustments you made;
  • the specific cashbook balances; and
  • any individual components.

While Fannie Mae Fannie MaeThis Glossary term Is Created Using Automation in Lower Environments and is used for testing purposes only!! does not prescribe a recordkeeping method to generate a cashbook balance, you must:

  • maintain the integrity of the Custodial Account Custodial AccountAccount established by the Servicer for depositing P&I payments, T&I payments, and escrow, reserve, or other funds received from the Borrower per any Loan Document, including the: Collateral Agreement; Multifamily Loan Agreement; or Security Instrument. balances reported on your reconciliations;
  • be able to substantiate each cashbook component; and
  • retain sufficient detail to perform the following cashbook computation:
Function Beginning Cashbook Balance
+ Receipts
- Disbursements
+/- Cashbook Adjustments
= Ending Cashbook Balance
308.02

Records

Operating Procedures

You must maintain adequate documentation supporting the Borrower's Borrower'sPerson who is the obligor per the Note. payment records, including Clearing Account Clearing AccountLender account at an Eligible Depository used either for receiving funds for various loans and for the benefit of multiple investors, and from which segregated funds are transferred to specific Custodial Accounts held solely for the benefit of Fannie Mae, or disbursing funds after transfer… credits and charges.

308.03

For T&I Custodial Accounts

Requirements

You must maintain and administer all Borrower BorrowerPerson who is the obligor per the Note. funds held in a T&I Custodial Account T&I Custodial AccountCustodial Account for the deposit of T&I and other impound escrow funds. on an individual Mortgage Loan Mortgage LoanMortgage debt obligation evidenced, or when made will be evidenced, by the Loan Documents, or  a mortgage debt obligation with a Fannie Mae credit enhancement. Test Notes-SV Test Again Sub-bullet test1 Sub-bullet test2 basis.

Operating Procedures

At a minimum, for each Mortgage Loan Mortgage LoanMortgage debt obligation evidenced, or when made will be evidenced, by the Loan Documents, or  a mortgage debt obligation with a Fannie Mae credit enhancement. Test Notes-SV Test Again Sub-bullet test1 Sub-bullet test2 in a T&I Custodial Account T&I Custodial AccountCustodial Account for the deposit of T&I and other impound escrow funds. , you must account for:

  • T&I Imposition T&I ImpositionAmounts for taxes, insurance, and other charges assessed against or owing on the Property which you deem necessary to protect the Property and/or prevent Liens imposed on it. payment deadlines and amounts funded from the account;
  • monthly funds due for deposit;
  • funds received and deposited;
  • withdrawals; and
  • amounts you advance for T&I Impositions T&I ImpositionsAmounts for taxes, insurance, and other charges assessed against or owing on the Property which you deem necessary to protect the Property and/or prevent Liens imposed on it. .
308.04

Borrower's T&I Impositions and Custodial Accounts
308.04A

Analysis Timing

Operating Procedures

You must:

  • Analyze your T&I Custodial Account T&I Custodial AccountCustodial Account for the deposit of T&I and other impound escrow funds. records:
    • annually for each Mortgage Loan Mortgage LoanMortgage debt obligation evidenced, or when made will be evidenced, by the Loan Documents, or  a mortgage debt obligation with a Fannie Mae credit enhancement. Test Notes-SV Test Again Sub-bullet test1 Sub-bullet test2 ; and
    • when a material change occurs in a Borrower's Borrower'sPerson who is the obligor per the Note. T&I Impositions T&I ImpositionsAmounts for taxes, insurance, and other charges assessed against or owing on the Property which you deem necessary to protect the Property and/or prevent Liens imposed on it. .
  • Determine if the Borrower's Borrower'sPerson who is the obligor per the Note. T&I Custodial Account T&I Custodial AccountCustodial Account for the deposit of T&I and other impound escrow funds. funds, plus the Borrower's Borrower'sPerson who is the obligor per the Note. required monthly deposits, are sufficient to timely pay all upcoming T&I Impositions T&I ImpositionsAmounts for taxes, insurance, and other charges assessed against or owing on the Property which you deem necessary to protect the Property and/or prevent Liens imposed on it. .
308.04B

Insufficient Funds

Operating Procedures

If the Borrower's Borrower'sPerson who is the obligor per the Note. T&I Custodial Account T&I Custodial AccountCustodial Account for the deposit of T&I and other impound escrow funds. funds are insufficient to timely pay all T&I Impositions T&I ImpositionsAmounts for taxes, insurance, and other charges assessed against or owing on the Property which you deem necessary to protect the Property and/or prevent Liens imposed on it. , you must

  • bill the Borrower BorrowerPerson who is the obligor per the Note. for any shortage, and/or
  • increase the Borrower's Borrower'sPerson who is the obligor per the Note. monthly T&I Custodial Account T&I Custodial AccountCustodial Account for the deposit of T&I and other impound escrow funds. deposit.

After adjusting the Borrower's Borrower'sPerson who is the obligor per the Note. future deposits, you may use those funds for a shortfall in either taxes or insurance.

308.04C

Surplus

Requirements

You must not maintain a surplus of more than 2 monthly T&I T&ITaxes or assessments that may become a Lien on the Property and insurance premiums. payments in the T&I Custodial Account T&I Custodial AccountCustodial Account for the deposit of T&I and other impound escrow funds. .

Operating Procedures

If the T&I Custodial Account T&I Custodial AccountCustodial Account for the deposit of T&I and other impound escrow funds. has a surplus of more than 2 monthly T&I T&ITaxes or assessments that may become a Lien on the Property and insurance premiums. payments, you must:

  • refund the Borrower BorrowerPerson who is the obligor per the Note. the amount of the surplus above the 2 monthly T&I T&ITaxes or assessments that may become a Lien on the Property and insurance premiums. payments; or
  • reduce the Borrower's Borrower'sPerson who is the obligor per the Note. required monthly T&I Custodial Account T&I Custodial AccountCustodial Account for the deposit of T&I and other impound escrow funds. deposit to reduce the surplus to no more than 2 monthly T&I T&ITaxes or assessments that may become a Lien on the Property and insurance premiums. payments within 12 months.

You cannot refund any T&I Custodial Account T&I Custodial AccountCustodial Account for the deposit of T&I and other impound escrow funds. surplus if the Borrower BorrowerPerson who is the obligor per the Note. or any other party has defaulted under any of the Loan Documents Loan DocumentsAll Fannie Mae-approved documents evidencing, securing, or guaranteeing the Mortgage Loan. beyond any grace or cure period.

308.05

Annual Statements

Operating Procedures

By January 31st of each year, you must issue the Borrower BorrowerPerson who is the obligor per the Note. a T&I Custodial Account T&I Custodial AccountCustodial Account for the deposit of T&I and other impound escrow funds. statement reporting all activity during the preceding calendar year.  You can provide this statement

  • in writing, or
  • via electronic access.

Guidance

Your annual T&I Custodial Account T&I Custodial AccountCustodial Account for the deposit of T&I and other impound escrow funds. statement must include:

  • Borrower's Borrower'sPerson who is the obligor per the Note. fund balance at the beginning of the year;
  • total Borrower BorrowerPerson who is the obligor per the Note. deposits into the account;
  • total withdrawals you made;
  • itemized list of specific T&I Impositions T&I ImpositionsAmounts for taxes, insurance, and other charges assessed against or owing on the Property which you deem necessary to protect the Property and/or prevent Liens imposed on it. and other charges (e.g., real estate taxes, insurance premiums, etc.) you paid with the withdrawals;
  • Borrower's Borrower'sPerson who is the obligor per the Note. fund balance at the end of the year; and
  • amount of interest, if any, paid or credited to the Borrower BorrowerPerson who is the obligor per the Note. on their funds.