Account Analysis and Reconciliation
Requirements
You must analyze and reconcile each Custodial AccountCustodial AccountAccounts established by the Servicer for depositing P&I payments, T&I funds, Collateral Agreement deposits, and other similar funds. and associated Clearing AccountsClearing 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 may review your reconciliation including:
- an explanation of any adjustments you made;
- the specific cashbook balances; and
- any individual components.
While Fannie Mae does not prescribe a recordkeeping method to generate a cashbook balance, you must:
- maintain the integrity of the Custodial AccountCustodial AccountAccounts established by the Servicer for depositing P&I payments, T&I funds, Collateral Agreement deposits, and other similar funds. 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 |