This article provides an overview of BrokerEngine's Settlement checklist. I describe the settlement process and show you how BrokerEngine can help ensure the process moves smoothly.
Settlement, the final stage of the home loan process, is the meeting between a home buyer, seller, and lender. During this meeting, the property and funds legally change hands. No home purchase or refinance is finalised until the settlement has been completed.
Contents
Prerequisites
What happens during settlement?
Locating the Settlement checklist
Updating the Funding Position in Settlement Mode
Finishing the checklist
Related articles
Prerequisites
None.
What happens during settlement?
When a deal moves to Stage Settlement, BrokerEngine automatically creates a task for the team to complete. The task is the Settlement Checklist.
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Once the bank sends a notification that settlement has been finalised, the broker or admin staff must complete the Settlement Checklist to verify information with the bank (e.g. the correct loan amount approved, interest rates, repayment amount due date, etc.). This step helps to ensure clients get accurate information.
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A workflow email with the Settlement Advice is sent to the broker or client-facing team, which they forward to the client. This advice states the load data/information and confirms it is correct.
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The lender will inform you of the amount or costs needed prior to settlement. During the settlement meeting, money is transferred to finalise the home purchase.
Knowing what to expect on settlement can make the process go more smoothly. If you are purchasing a property, the solicitor/conveyancer will organise settlement directly with the lender, according to the settlement date on the contract of sale. Whereas, if a client is refinancing an existing home loan, the lender will liase directly with the other institution to exchange documents.
Locating the Settlement checklist
Our checklists are always visible within the full view model. Go to the right-hand menu and click Checklists. A slider displays a list of checklist options. Scroll down the list to find the Settlement Checklist.
Updating the Funding Position in Settlement Mode
Step 1 of the Settlement Checklist is to update the Funding Position in Settlement Mode. Funding Positions within BrokerEngine have a Checklist mode, which allows you to confirm the loan approval issued by the lender matches the data in BrokerEngine.
To update the Funding Position in Settlement Checklist mode:
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Go to the left-hand menu and click Strategy > Funding Position. (Optionally, click the first line item in the Settlement Checklist).
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Go to the centre window and click the Settlement tab.
Scroll down the centre window, and you'll see a series of fields with checkboxes. Checklist items will apply to every split in the Funding Position.
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Carefully verify the data for each checkbox and select GREEN (for correct information) or RED (for incorrect information).
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Click the Show Account & Repayment Details link to expand the folder and edit details.
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If any data are incorrect, update the Funding Position per the lender's approval and note any changes in the Checklist Notes.
Finishing the checklist
After you complete all the checklist items, mark the checklist task Complete. Settlement Advice emails dependent on 1-click workflows are triggered. The deal then moves through to the Post-Settling workflow.
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Example of a Settlement Advice Report generated by BrokerEngine
Related articles
Checklists Overview
Customise a Checklist