What is an Aggregate Escrow Adjustment?
The aggregate escrow adjustment is a one-time credit applied to your escrow account at closing. Your “escrow” is the account in which your lender holds money to pay property taxes and insurance. By law, an escrow balance can never exceed actual costs plus a two-month cushion.
We run a projection, and if your escrow account bumps above the legal limit, we apply an aggregate escrow adjustment. We want our loan summaries to be as accurate as possible, so we include the aggregate escrow adjustment.
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