This article provides an overview of BrokerEngine's Settlement checklist. We describe the settlement process and show you how BrokerEngine can 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
None.
Video walkthrough
Learn about the settlement process.
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.
Once the bank sends a notification that settlement has been finalised. Broker/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 are getting accurate information.
A workflow email with the Settlement Advice is sent to the Broker/client-facing team, which they forward to the client. This advice states the load data/information and confirms it is correct.
During the settlement meeting, money is transferred to finalise the home purchase. However, prior to settlement, the lender will let you know the amount or costs needed.
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. The details screen is on the right side of the page.
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:
Go to the sidebar and click the pen icon in the Funding widget. (Optionally, you can click the first item in the Settlement Checklist).
Click the Settlement tab in the centre window. BrokerEngine displays a series of checkboxes that need to be checked off.
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.
Carefully verify the data for each checkbox and select GREEN (for correct information) or RED (for incorrect information).
Click the Show Account & Repayment Details link to expand the folder and edit details.
If any data are incorrect, update the Funding Position as per the lender's approval and note any changes in the Checklist Notes.
Finishing the checklist
After you complete all the items of the Settlement Checklist, mark the checklist task complete. Settlement Advice emails dependent on 1-click workflows are triggered. The deal then makes its way through to the Post Settlement workflow.
Example of a Settlement Advice Report generated by BrokerEngine
