Financial Accounting and Reporting Solutions Loan Custodial Module

The Information Technology, Inc. Loan Custodial Module (LCM) automates the accounting and reporting requirements for notes sold to investors. LCM controls the process, from the integration of borrower payments, allocation and reconciliation of funds to investors and tracking of remittances from custodial accounts to the production of reports.

LCM features accounting and reporting requirements for investors such as:
Freddie Mac (FHLMC) - Small Business Administration (SBA)
Fannie Mae (FNMA) - State housing authorities
Ginnie Mae (GNMA) - . . .and other investors

LCM is integrated with the ITI Premier and Financial Management Systems. After the daily Loan update, LCM extracts transaction activity from sold notes and creates integration entries by investor to transfer funds to appropriate custodial accounts in the DDA Application. These transactions are memoposted to immediately update custodial account memo balances. Reports are generated by investor for a summary of funds transfers.

Outgoing remittances and loan payoffs are all conveniently handled on-line. Remittance activity is entered for automatic posting and for reconciliation of custodial accounts. Payoff transactions can be reviewed to automatically create participation payoffs when base notes are paid off.

Investor reports are automatically printed each period, at the time designated for investor reporting. The reports include a recap of all transactions for the period and reconciling reports for custodial accounts.

Features

• Multiple accounting and remittance methods
• Automatic posting to principal and interest (P&I) custodial accounts
• Automatic posting to taxes and insurance (T&I) custodial accounts
• Remittance tracking
• Automatic calculation of funds owed to investors from payoffs
• Automatic investor reporting
• Reporting by investor, remittance type, pool