E20 0043_Mortgage_Loan_Accounting 0043 Mortgage Loan Accounting

E20-0043_Mortgage_Loan_Accounting E20-0043_Mortgage_Loan_Accounting

User Manual: E20-0043_Mortgage_Loan_Accounting

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MORTGAGE LOAN ACCOUNTING

Progressive commercial banks, savings banks, savings and loan associations,
mortgage servicing companies and insurance companies long have recognized
the advantages of utilizing IBM Data Processing Systems for Mortgage Loan
Accounting.
The flexibility of the IBM Method permits the design of procedures to meet
individual needs.
For instance:
A number of customers are using the IBM 557 Interpreter with Selective Line
Printing to automatically print their Ledger Cards. Other customers use the
IBM Balance Cards as their Ledger Records and periodically use them to list
an Historical Record of transactions and balances by mortgagor. A copy of
this listing, showing prinCipal, interest, escrow payments and escrow disbursements, mailed to the mortgagor at year end, eliminates inquiries for data to
support income tax returns. The customer whose procedure is described in
this book prepares his Ledger Cards on the IBM 954 Facsimile Posting Machine.
On mortgage billing, the IBM Method is sufficiently flexible to be efficient
whether a bill, a passbook, a coupon book or a receipt plan is utilized. The
IBM prepared bill, on paper or an IBM card, is an extra dividend achieved
through use of the IBM Data Processing Machines.

In addition to the regular accounting functions, the use of IBM machines makes
possible the preparation of special analyses for audit and management purposes.
These analyses may take the follOwing suggested forms: mortgage property
analysis by type of property, by location and type of mortgage, and by type of
mortgage and amortization status.
Installations of IBM Data Processing Systems are currently serving customerswhose portfolios vary from less than 2000 to over 100, 000 mortgages.

1

PROCEDURE
The following is a brief description of the way in which one customer has met
and solved his accounting requirements.

NEW LOANS
1. Name and Address Cards. They are used in the printing of the mortgagor's
name and address and the location of the property on the mortgage bills.
These cards are filed in account number sequence for each day, period, and
kind of mortgage, and are used repetitively in each billing period during the
term of mortgage.
C BlN NUMBER K RATE

BUNUNBER

K'

••

NAME .R .~ESS

P DAY

II

013520811 451
CAR~

10

RATE SP

DUE DATE

III

•

•

too,

AGEN'

MONTCLAIR

846

•••

ROAD

1

• • ME OR ADDRESS

A iENT

100010 ODD 00 10 DO 000000001000000000000 00000000 00000000000000000000 00000000000000 00
1 2 3 4 5 • 119 1011 213 415
'"

5

BaM
NUMBER

I~:/E g! oj

'O""~~~~N~anna»~~~~~s

I

313131404142 4344 ~.u.a~~U~~"~~~9~~uaM &5111111191011n1l141511n1l 1910

1

NAME OR IoDRESS

AGENT

<.>

222122 222 22 22 22 222222222222222222222 22222222 2222222222f222222222 22222222222222 22
313333 333 33 33 33 33333333111333333
444444 414 44 44 44 44144144444444444

3333333333333333 33333333333333 33

I

551555 551 55 55 55 55555551555555555

4444444444444444 44444444444444 44

MORTGAGE NAME OR ADDRESS

5555555555555555 55555555555555 55

666666 666 6 6 66 66 666166166666666616666 66666666 66666666666666666666 66666666666666 66
777777 777 77 77 77 7777777 7 7 777 777 7 7 77 77 77777777 77777777777777777777 77777777777777 77
888881 888 88 88 88 81888888888888888a888 88888888 88888888888888888888 88888888888888 88
99999999999999999999999999911919999999999999999999999 9 9 9 9 9 9 9 99999999999999999.999
41 50 51 U ~ ~ "

1 2 3 4 5 • 1 1 • 10 11 12 13 14 15 1& 11 II 19 ~ 21 ~ ~ 24 25 a 21 n a » 31 l2 ~ ~ l5 S 31 31 31 jO 41 42 43 44 ~ • 41 •
IBM

~

51 ~ 11110 11 U

?,

a M&5 66&1 II 19 10 11 12 13 14 15 n 11 11.

7B499~

2. Mortgage Transaction Cards. These cards are used for the calculation of
interest charges, principal and escrow payments, principal and escrow
balances, the preparation of bills, and the establishment of accounting controls.
Ci III IUlm !K RITE! s! P I
/

DAY!t~

•. A!YI]UAIS

3520811101105
BaM NUMBER

Kip

I

DAY

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MO.

1
lUIS. A

I!TERESIT

~

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ESC~OI

IIlllCE !

P~INCIP1L BAL~NCE I

15,051,62,,21
INTEREST

~

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ESCROW BALANCE I
:

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PRINCIPAL BALANCE
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I m'Rol P1I:EIT

loill P1!1EIIl

4,014,041
:

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15,531
ESCROI
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pmm I

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13 1421,

8ll:~CE P~INCIP1L BAL~NCE
!

77,651

PRINCIPAL PAYMENT I ESCROW BALANCE

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000,62

41
PRINCIPAL BALANCE
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BALANCE
BALANCE
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11. 2:2 2 2:

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PAYMENT

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PRINCIAL
PAYMENT

16~ 5566:616869:10 1112:13 14 15b6 7118:19 80
ESCROW
BALANCE

PRINCIPAL
BALANCE

2 212 2 2:2 22 2 2i2 2 2i2 12 2:2 2 2i2 2 2:2 2 2:2 2 2:2 I
:

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•

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7777 7 7 7 77 7 7 7 77 7 7 7 77 7 7:77 7:7 77 7:7 7 m 7

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1 2 3 4 5 & 1 1 9 10 II 12 13 14 15 1& 1111 19 20 21122 23 24125 21 2121129303113233 41353631.31394014142 3441454641.4149505115253541555& 15151 59160 6162163 6465 6616168 6911011121131415116111811980 I

2

3. Mortgage Principal Card. These cards are kept current after each payment
by reproducing constant information from old to new Mortgage Principal
Cards and reproducing current escrow and principal balance figures from
Mortgage Transaction Cards.
They are used for the preparation of audit management reports without
interfering with daily work.

/

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ESCROw BALANCE

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PRINCIPAL BALANC[

:

o0 0 10 10 10 1010 10000000 100000000000 00 0 1.100ili 1.1 00 ;00 11.1 00 ;00 11:10,0:00 Iii I o:lllio 0
119 10;11 :,21l 114 1611l1,q
4
169:1011
,~

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NUMBER

, PROPIR'II A• • 55

AI

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•• 1CODE 10101 COIIIIII '" 1 IlelOI """I 1 'IIIe,""
35208114511,010118461MONTCLAIR ROAD 1 I 5,531 , 13,421
..

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12& 2121293031

PROPERTY AWl_RESS

N~MBER
S~EE
"~
1222122 l 122 1212 122 12 21212 2 2 2 2 2 2 212 2 l 2 2 2 2 2,"} "} "} "}
T

TOTAL OR
CONSTANT
PAYMENT

CODE

12 Z

[stow

PRINciAL
PAYMENT

PAYMENT

2:222:

12

ESCROW
BALANCE

PRINCIPAL
BALANCE

MORriAGE PRINCIPALII

*

2i2 2 2:2 2 2 2 2:2 2 2;2112 2:2 2 212 212i2 2 2i2 2 2;21
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4 4 4 4 4 4 414 4 4 4 4 4 4 4 4 4 4 4 4 4 1414 4 4 44 4 4

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1 2 3 4 ~ 6 1 8 9 10 11 12 13 14 I~ 16 11 18 19 20 2122 23 24 2~ 26 21 2129 3031
34 36313139140414 43 441454641'414950 ~1152 5354.~5 56 51 51 591606162163 64 6B6.61 68 69.10 11 1211314 15116 1118.1980

4. Mortgage Statistical Card. These cards contain the appraised and assessed
valuation of property and other statistical information.
They are used singly or in conjunction with Mortgage Principal Cards for
the preparation of audit and management reports.

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35 208 1145 110 I 1 36 6 21
BS" NU"BER

K I RATE P I DAY LOCATION

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38139401 414 143~44546:"141 49 15051 1545515651 8:596061~26J64 6566:6768691101 J21J3H1SI1611J8:J980
lil2 3456 11119 lioll1 li213 1415 161111819 20"
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PRINC'PAL
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RESERVE
NUMBER ~ ~ e; P'oAv ~:;8 ~ g~ ~~, !;i~
VALUE
BALANCE
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BY
V.A.
::'0
~IMO.IYR.
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MORTGAGE STATISTICAL

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1 2 3 4 5 6 1 8 9 10 11 12 ,31,4 15 16 11 18 19 20 21 22232425262128293031 3233343536313839404142 314445460414849505152.535455156515815960611626364 566161686911011 12113141511611 78'19 80

3

BILLING PROOF JOURNAL

The final step for each day's payment transactions is to prepare the Transaction
Cards for the next mortgage payment by crossfooting on a calculating punch to
obtain the new escrow and principal balances.
Mter the preparation of control records, the paid Transaction Cards are used
to reproduce the Transaction Cards for the next expected payment. The new
cards are placed in ledger files in account number sequence by control group.
Ten or twelve days prior to the next due date, all receivable items unpaid for the
prior period are examined and a Transaction Card for the next payment due is
prepared. These cards and the new Transaction Cards for currently paid
accounts are listed for a Billing Proof Journal. The old principal and escrow
balances must agree to mortgage controls. The interest must agree in total to
the total interest manually calculated on the control listing.
BILLING PROOF JOURNAL
MORTGACf
110.
35208
35221
35224
35231
35231
35237
35249
35251
35255
35255
35255
35262
35266
35270
35275

TYPE
1
1
1
1
1

1
1
1
1
1
1
1
1
1
1

110.
PER DAY
OUE
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1

1
1
1
1
1
1
1
1
1
1
1
1
1
1
1

5
5
5
4
5
5
5
5
3
4
5
5
5
5
5

RATE

PRIICIPAl
PAYIOTS

OLD BALAICE

45
40
45
45
45
40
45
45
45
45
45
45
45
45
45

410 1 4io 4
5810 C 0:2 6
41900112
li975:49
I

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8 35
1

~i~ ~ ~i~ ~

8:35
813 5
2 5iO a

1 sis 3

1

l

12 8i9 0

13:35
2 51c 0
356:87

ESCRDI
PAYMEITS

62!12

"'I"

2510 C
13135
8 135

3!325i18

1 3

OLDBALAICE

BAlUCE

1 *2
166:66
3313 4
8135

4 4!7 5 0:7 2
61C75119
2126 0:0 0

2:400\19
41000173
82116 C:8 7

~EI

1510 a

!

18 50

1

95:30

1 9!7 5

427142

68178

lEI BALANCE

IITEREST
ADJ.lARREARS

mULAR
IITEREST

TOTAL
PAlun

!:

15\05
19313 4
18 38

!

7\41
14 9\17
221 78
38
81

7\41

!

12:47
12147

:

!
!

32:35

1

12:47
9'00
15100
8:10
17:35
476'43

44100
36 0:0 a
51\72
15\76
15:76
1 49117
62:78
21 173
20 182
20182
20:82
52150
15:0 0
41\20
42:3.5
934:45

BILLING

After balances with controls have been established the Name and Address Cards
are merged with the Transaction Cards and the bills are prepared. The totals
of interest, principal, escrow, and total payments are accumulated during this
operation and balanced against the same totals of the Billing Proof Journal.
LAKEVIEW BANK

LAKEVIEW BANK

PAYMENT STUB

PROPERTY

1846

MONTCLAIR

R0 A0

CASH
CHECK

KINDt.,V NOTIP'V THE BANK OF ANY
CHANGE OF ADDRESS OR OWNER_

J 0 HN
1846
CIT Y

STEVENS
MONTCLAIR
STATE

PAVMENTS MAY BE MADE AT THE

R0 A0

PAYMEIT

MORTGAGE CASHIER'SWINDOW AT

THE MAIN OFFICE OR BROADWAY

RTD.

OI"'FICE OR BY MAIJ-

MORTGAGE NO

MORTGAGE PRINCIPAL
BEFORE THIS PAYMENT

35208

41 0 14104

!

!: I:

om DUE
MO. DAY YR.
51

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!

MOUNTOFINTERES APPLIED ON PRINCIPAL TAXESllISURANCE
I
I

13 42

1 5iO 5

i

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1

:

1 S!5 3

I !

PL.EASE BRING THIS BIL.L. AND STUB WHEN MAKING PAYMENT AT THE BANK.
BY CHECK SEND STUB ONL.Y.

TOTAL DUE

1

iI

4

441 00
ALWAYS RETURN THIS STUB TO THE BANK

PAY LAST AMOlJNT
IN THIS COLUMN

4

4 4!0 0

410 0

WHEN PAYING

YOUR CANCEL.L.ED CHECK WILL BE YOUR RECEIPT.

TOTAL DUE

4410 0
DETACH ONLY WHEN PAYING BY MAIL
YOUR CANCELLED CHECK WIL.L BE YOUR RECEIPT

DMLYPAYMENTJOURNAL
Each day, the Transaction Cards for paid items are selected. The source
document is the Payment Stub returned by the mortgagor with his remittance.
This stub contains the amount received and the mortgage number.
The data is crossfooted on a calculating punch to obtain the new escrow and
principal balances. The cards then are listed by mortgage number, period,
day, and kind, while accumulating totals of old and new balances of principal
and escrow, totals of interest, and totals of principal and escrow debits and
credits.
The debit and credit totals of this listing must agree with the Mortgage Cashier's
totals. These totals then are used to post the General Ledger Accounts. This
listing is posted by means of a Facsimile Posting Machine to Mortgage Ledger
Cards.
The paid Transaction Cards then are used to reproduce the Transaction Cards
for the next payment. These cards then are put through the calculating punch
to calculate the new interest and principal payment amounts.
The new cards are filed in ledger files in account number sequence by control
group. The old cards are processed for the preparation of historical records.
DAILY MORTGAGE PAYMENT JOURNAL

DATE

OLD SALAICE
PRI.CIPAL

ESCROI

410 1410 4
39:988:05
91174:87
28'264'40
6:264:77
5:5 9 9:7 5
5:903:79
7113 1:4 4
418 9 3'94

.0RTmE

.0. DAY Y

6T2

I~

166:08
12 1140

5
5

1
1

i ~ ~!~• ~

5

~

i1

PD-ir COIlE

.0.

35208
36115
37950
35675
35986
36441
3785.9
35320
36102

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1
1
1
1
2
2
2
2
3
MORTGAGE LEDGER CARD

2 ( . DATE

ir.Q.DAY

(1

1

18 (2
'----- 3
4.

2
1
1

5

1

.ORT~~E

DUE

UBER

PDAY

35208
35208
35208
35208
35208

PRINCIPAL

1
1
1
1
1

COli

0Ei~
1322
1327
1332
1337
1342

INTEREST

IALUCE

lATE

405400 4'12
4040734 1k
402741 41k
4014044 1k
40C062 41k

AIIOU.T

1525
1520
1515
1510
1505

.0.

ESCROW

DEBIT

CREDIT

1553
1553
1553
1553
1553

------. . ----.l...-I_~

BAlAIICf

1553
3106
46·59
6212
7765

E.
0. REMARlS

DUET.

1
2
3
4
6

-

5

HISTORICAL RECORDS
This particular customer has instituted an Historical Record Envelope for each
mortgage. The history and statistics on each mortgage are contained in this
envelope.
/

After the Daily Mortgage Payment Journal is listed and new Transaction Cards
have been reproduced, the paid Transaction Cards are sorted by account number
and payments are listed. By means of the Facsimile Posting Machine, this
listing is used to post escrow and principal balance on the Record of Payments.
The Historical Record then contains all the necessary information for the
ordinary interview with the mortgagor. This record, available in the mortgage
servicing department, eliminates reference to correspondence files and ledger
cards filed in other departments. Of special significance is the fact that
reference to the Historical Record for collection and other information may be
made at any time without interferenc.e to the accounting records.
NUMERICAL LIST OF PAYMENTS

MORTGAGE
NO.

35208
35395
36110
36235
36275
36315
36341
36405
36463
36496
36512
36532
36583
36598

DUE
PER DAY

1
9
7
13
14
14
9
12
8
7
14
13
3
2

DATE PAID

MO.
DUE

15
15
15
1 5
15
15
15
15
15
15
15
15
15
15

5
5
5
5
5
5
4
5
5
5
5
5
5
5

5
5
5
5
5
5
5
5
5
5
5
5
5
5

ESCROW
BALANCE

7 716 5
11 7\1 5
I

1
1

1
1
1
1
2

1
3217
1
4 3:2
3 117
1
1
8 617
I
1
1
1
8 112

9
5
4
9
9

1

7 8 9:3 7

PRINCIPAL
BALANCE

TRAN
CODE

41000162
I
1
213 7 1197
710 4 411 8
613 4 312 8
21628135
7140 114 0
515 7 916 0
4~0 0 016 2
717 42\2 6
612 4 3197
316 2 615 5
2 914 9 5/6 0
2 8112 9130
9 11 4 7 1 5 9
1 2 3\7 5 5!2 9

46
51
5 1
5 1
5 1
51
5 1
51
5 1
5 1
5 1
51
5 1
5 1

i

RECORD OF PAYMENT

BlM
NUMBER

35208
35208
35208
35208
35208

6

DUE

DATE PAID

PER DAY MO. DAY YR.

1
1
1
1
1

1
2
3
4
5

15
25
15
15
15

MO.
DUE

f----

1

2
3

4
5

ESCROW
BALANCE

15
31
46
62
77

PRINCIPAL
BALANCE

5 3
06
5 9
12
65

4054
4040
4027
4014
4000

REMARKS

00
7 3
41
04
62

46
46
46
46
46

PRINCIPAL AND ESCROW CONTROL

Ledger controls of escrow and principal balances are maintained on Mortgage
Control Cards. These cards are kept current to reflect all entries to each
ledger and are used to balance each ledger prior to billing.
Control cards are maintained for each rate, day, period and ldnd of mortgage,
resulting in approximately 600 control cards. Daily, the active Transaction
Cards are sorted by control group, merged with the corresponding Control
Cards and processed on an Accounting Machine to print-the starting balance
from the Control Cards, add the debits, subtract the credits from the Transaction
Cards, and develop the new control balance.
The totals of old balances plus debits minus credits must agree with the new
balance total. The totals of debits and credits must equal the totals from the
Daily Mortgage Payment Journal.
Constant information is reproduced from the old Control Cards to the new. The
new balances are punched in Control Cards from the affected Mortgage Control
Listing. After punching from the control list, the new Control Cards are totaled
to prove the punching, then merged with the unaffected Control Cards and listed.
The totalS of this listing must agree with the General Ledger Accounts.
AFFECTED MORTGAGE CONTROL LISTING

ESCROW
KIND

PER

DAY

1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1

1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1

1
1
2
3
4
5
5
6
7
8
9
10
11
12
13
13

AGEtIT

RATE

OLD BALANCE

40
45
45
45
45
40
45
45
45
45

DEBITS

2:065:24
1:9 4 614 3
21126110
4:175:36
:983147
31622:61
3:4 18195
211 1 4:4 7
31816:42
41217:55

PRINCIPAL
CREDITS

,,
,,

,,

,,
,,
,
,

46:15

NEW BALANCE

125:15
1 36:7 3
126:18
210:10
86110
203147
192:12
184:73
201147
308:76

OLD BALANCE

2:190:39
2:08 3116
21252:28
4:385146
11069:57

5!~ i ~!g ~

2:253:05
4:017189
41526:31

DEBITS

CREDITS

145100

17 0!7 9 312 2
1711791195
1021867168
3

~ ~!~ g

~ zi6 I ~!~ ~

335:063:27
3591119:26
2831714103
3271123:0"1
3721733:15

MORTGAGE CONTROL LISTING

KIND

PER

DAY

1
1
1
1
1
1
1
1
1
1
1
1
1

1
1
1
1
1
1
1
1
1
1
1
1
1

1
1
1
2
2
3
3
3
4
4
5
5
5

AGENT RATE

40
45
50
40
45
40
45
50
40
45
40
45
50

2 0 ,00
81 000 ,00

BALANCE
ESCROW

2:190139
2'083'16
2:5 32:49
21048:77

~i2 ~ ~i~ ~

4:385:46
2:094172
21754138
11069157
31826:08
31611107
1:946:74
33:29 oi8 4

INTEREST
PRINCIPAL

170:648122
171:741195
285:134126
175:820!15
1021669:89

~; ~!~ g!~

NEW BALANCE

1701648122
171:741:95
1021669189
301:447:67
53:877:85
335:047:22
359:011172
2831690:73
3271077157
37 217 1 4:5.2
2561271:63
2361377152
270:531:26
18:472106
113:439172
338:963:94
3 7 1119 8 314 7

:

I

10:00 oio 0 •

1
27:28
135:10
16105
107154
23130
45:44
18:63
5513 3
1513142
70:95
38:41
337149
204127
2986:00

*

115:436:83
2401366175
53:877:85
335:047:22
35910 11172
173: 420 145
26311462:20

7

AUDIT AND MANAGEMENT REPORTS
The Mortgage Statistical and Mortgage Principal Cards are available for the
preparation of various statistical reports. The reports illustrated here have
been prepared for a periodic examination by the State and Federal Examiners.
An Examination Listing of this customer's portfolio may be prepared at the rate
of several thousand per hour. The examiners find this report of great value.
Due to the immediate availability of the information, the time required by
examiners for the examination of this customer's mortgage portfolio has been
substantially reduced.
BANK EXAMINATION LISTING

liND
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1

STRAIGHT
AMORTIZATIOI

CONSTANT

LOCATION

~Y.EIT

1846MONTCLAIR R 0 A 0
1031FISCHER A V E
486NORTH A V E
4316SEVENTH A V E
32 15 P'O P L A R S T
140WESTMINISTER S T
2612MAYFAIR S T
llllWYOMING S T
4618LEHIGH A V E
1061COMMONWEALTH S T
1595WARREN A V E
971WILSON DR I V E
1975MICHIGAN A V E
1319MADISON A V E
1675RIVERSIDE A V E

44100
56 00
1

!
6 5io 0
9 5iO 0

I

4 4!2 9
82100
5 2i2 7

19 oio 0
8 5 O0
i
30:00
12 5iO 0

24 4!8 0
31164

55:00
4 0iO 0

IMlmm
NO.

35208
35210
35211
35214
35218
35219
35221
35223
35224
35227
35229
35230
35231
35334
35336

DUE

t-m'Dif

BALANCE

RATE

1 1
112
312
313
113
314
314
1 1
114
314
314
114
314
317
117

PRINCI~L

~ g~ ~l~ ~

45
45
45
45
45
45
45
42
45
45
45
45
45
45
45

APPRAISAl
ESCRIlI

5235:00
7655:00
6927\43
14810:00
6415:00
772 9!7 5
8000:00

~ § ~ ~ig g

3454 3i2 4
4045100
2960:00
494811 4

YR.

7 7!6 5 51
8'34 51
51
51
51
51
51
51
51
51
51
51
51
51
51

ASSESSED
VAlUE

!!AT PRII'.
YR. CLASS

AMOUIT

12000 62
11500 71
10000 61
12000 61
1'0500 71
50000 61
10000 61
10000 61
14500 71
5000 61
15000 61
52500 66
1'0000 61
6000 61
12500 71
L
L

PROPERTY CLASSIFICATION REPORT

1
1
2
1
1
15
5
1
1
1
1
6
5
1
1
2
2

6200
1800
6960.
6000
3000
12560
7680
2500
4950
52500
7530
4060
5430
6950
128120

LOCATION
CODE

TYPE OF
PROPERTY

I
2
3
4

1 Family
2 Family
Tenernen
I & 2 Fa<
Same Pro

5

3 or Mor(

"

.\partmer

7
8
9
10
11

12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30

I
I

CONVENTIONAL
PRINCIPAL I
NO.

118.444,876.71

Stores & I
Stores & (
Lofts
Factory &

Warehous

1

1

CONVENTIONAL
PRINCIPAL
NO.

Rooming

Clubs
Office 8u
Store
Stores & J

4114

PURCHASE MONEY
PRINCIPAL I
NO.

I
~

F. H. A.
PRINCIPAL

1 27,505, 116.86

I
NO.
4879

VETERANS' LOANS
PRINCIPAL
NO.

1 22,824,404.66 1

2951

I

T

TOTAL
PRINCIPAL T

1 68 774.398.23 1

NO.
11,944

MORTGAGE PORTFOLIO
BY LOCATION-KIND-DOLLAR VOLUME

Ap:u1.mel
Hotels

TOTAL PORTFOLIO:
1- 7,499
$
7 t 5L\.1 - 9,999
10,000 - 19,999
20,000 - 49,999
50,000 COver

PURCHASE MONEY
. NO.
PRINCIPAL

F. H. A.
PRINCIPAL

NO.

VETERANS' LOANS
PRINCIPAL
NO.

TOTAL
PRINCIPAL

NO.

4,040
941
134
4
37

18, 118,235. 66
13,906,953.12
3,705,289. 64

2,889
1,637
326

I
1

19,859,490.70
7,821,955.63
1,495,762.20
182,922.02
14,849,252. 17

60,326,694.23
27,220,3&4.38
tO,5OO, 147.50
4,669,408.38
25,546,022.22

13,451
3,219
860
.143
123

2

44,209,382.72

5,156

35,780,478.42

4,852

128,262,639.71

17,796

1,487,637.73
779,458.36
31,479.42

239
94
3

9,701,745.02
6,037,354. 13
1,204,611.88

1,821
714
105

26, 3~9, 155.97
9,086,016.52
4,275,283.12
3, 134,860. 62
3,955,571.85

6,901
1,074
329
97
3S

338

16,943,711.03

2,640

46,810,888.08

8,436

144
112
15

3,977,702.94
4,786,979. 15
1,876,307.32

682
556
166

10,444,563.81
8, 118, 118. 21
3,665,370. 15
498,530.28
2,015,.490.20

2,165
950
313
16
7

272

10,640,989.41

1,404

24,742,072.65

3,451

313,145.92
386,355.72
44,629.96
37,301. 81
509,895.85

54
46
4

2,231,179.81
3,123,147.46
571,465.04

361
366
51

4,052,501.96
4,261,590,58
1,209,479.64
314,700.36
1,004,884.28

745
501
99
10
4

1,291,329.26

106

5,925,792.31

778

10,843, 156. 82

1,359

22,348,970.87
5,441,455.63
5,299,095.66
4,457,279.94
10,628,718,65

6,522
641
400
138
85

29,206.42
68,051.40

TOTAL

48,175,520.75

7,786

97,257.82

CITY OF
1-.7,499
7 , 500 - 9,999
10.000 - 19,999
20,000 - 49,999
SO, IX)() & Over

15,169,773.22
2,269,204.03
3,039,191. 82
3, 105,654.20
3,595,866.66

4,841
266
221
96
32

29,206.42
68,051.40

I
I

291,653.79

2

TOTAL

27,179,689.93

5,456

97,257.82

2

2,590,229.30

5,645,809.27
2,386,574,63
1,628, 108.46
498,530.28
551,225.33

1,339
282
132
16
6

821,051.60
944,564.43
160,954.37
1,464,264.87

I

10,710,247.97

1,775

3,390.835.27

COUNTY
1- 7,999
7,500 - 9,999
10,000 - 19,999
20,000 - 49,999
so, IX)() & Over

1,508,176.23
752,087.40
593,384.64
277,398.55
494,988.43

330
89
44
9
3

TOTAL

3,626,035.25

475

Garage-

Ser\'ice <;
Schools
Churches
Hospitals
Theaters
VacantL
Farms
Parking L
Funeral P
Miscellar
Apartmer
TOTALS

OTHER COUNTY
1- 7,499
7,500 - 9,999
10,000 - 19,999
20,000 - 49,999
50,000 & Over
TOTAL

8

I

I
I

NEW LOANS SINCE LAST EXAMINATION
LOCATION _ _ _ _ _ _ _ _ __

CODE

TYPE OF
PROPERTY
1 Family

3

CONVENTIONAL
PRINCIPAL
liO.

1& 2 Fan
Prop. I or

5
(:
7
8
9

3 or More
Apartmen
Ap.utmen
Hotels
Rooming

781

F. H. A.
PRINCIPAL
2,709,623.63

NO.
387

VETERANS' LOANS
PRINCIPAL
I NO.
5,007,773.86

TOTAL
PRINCIPAL
I

NO.

12, SS5, 691. 99 11,781
5 --L.-=5:!!:16~L-_ _---.
~::::~~1Ir--~1CL.!:6:::.::68:...::8~3O::.!:.2~2~2~65___'__ _ ____L_ _l__!::.19!.LI9::=;55!:..:.4~8___L~24!-..1__!.1L2.87~5L!!26:!.!.:1.~85~__!2~27~..L_3~7~36~O~47~-5e.

4

5,138,294.50

PURCHASE MONEY
PRINCIPAL
NO.

613

MORTGAGE PORTFOLIO
BY CITY AND TAX DISTRICT

IBM

TAX

CONVENTIONAL

F. H. A.

PURCHASE MONEY

VETERANS' LOANS

TOTAL

PRINCIPAL
PRINCIPAL
PRINCIPAL
DISTRICT
PRINCIPAL I
NO.
PRINCIPAL
NO.
NO.
NO.
I NO.
:~ ~~~~s. IklI--=C.:::OD:::.E-..=..:::.=:.:.t~=~+_~=_+......:..::~!.!!!:..+--!::~f___!~~:....-j___:~+_~~~_+~~---.;~!::!!::!=---~~~
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30

I-A
I-B
2-A

Store
Stores & F
Stores & t
Stores t c
Lofts
Factory t
Warehous
Garage
Service S
Schools
Churches
Hospitals
Theaten
Vacant La
Farnu
Parking 1.<
Funeral P
Miscellan
Apartmerr

TOTALS

419,264.50
460,480_ 36
798 578.73

I

74
37
273

68,051.40

I

93,236.23
61,448.33
749 461. 99

8 939.09

23
22
146

512,500.84
589,980.09
I 556 979.81

97
60
421

MORTGAGE PORTFOLIO
BY INTEREST RATE
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30

IBM
CODE

INTEREST
RATE

20

2"

CONVENTIONAL
PRINCIPAL
NO.

PURCHASE MONEY
PRINCIPAL
NO.

F. H. A.
PRINCIPAL

NO.

VETERANS' LOANS
PRINCIPAL
NO.

31,400.00

TOTAL
PRINCIPAL

NO.

31,400.00

30

3"

627,063.42

627,063.42

12

35

3-1/2"

SS6,I71. 53

693,164.19

1,549,335.72

11

38

3-3/4"

1,279,325.71

21\5,734. SS

1,565,060.56

40

4"

12,315,084.02

42

4-1/4"

34O,W7.26

45

4-1/2"

50

5"

627,649.39

60

6"

7,SS5.OO

TOTALS

12

436

32,090,364_ 42 7,167

68,051.40

29,206.42

140

$48,175,520.75 7,786

16,742,884.88

450

4,057,!i57.72

5SS

3S, 780, 478. 42

4,852

4,398,264.98

593

54,461,737.16 11,253

22,342, 166. 32 40SS
87,774.76

64,906,498.72 5,739

33

715,424.• 15

173

7, SSS. 00
97,257.82

44,209,382.72 5156

35,780,478.42

4,SS2

128,262,639. i 1 17,796

AUDIT CONTROL

Audit Control may be maintained in many ways. This particular customer
supplies the auditing staff with copies of the Mortgage Control Listing, Billing
Proof Journal and the Daily Payment Journal.
The Billing Proof Journal is in effect a trial balance and totals of billed items
are given the Auditing Department so that a simple calculation proves that all
items listed are billed. On occasion, the mortgage bills are routed through the
Auditing Department so that each mortgage may be checked as having been billed.
Delinquent items are billed each month and the mortgage bill contains the principal
balance. This is direct verification of the balance. Direct verification is made
on serviced mortgages periodically. Letters are addressed, listings are
prepared and cards are reproduced on the Accounting Machine. This enables'
the field auditor to do a fast, complete audit at the agent's office. The letters
are mailed to the mortgagors with a return envelope enclosed.
Paid transaction cards are analyzed monthly and the results of this analysis
are used to maintain a Cash Income control.

9

PAYING TAXES FROM ESCROW ACCOUNTS
A Tax Payment Record Card is maintained in the Mortgage Tax and Escrow
Department for each escrow account. This card is a facsimile posted visual
ledger record of the tax payments.

I BaM

I,I II

NUMBER Kip

DAY LOCATIO'

II ~~g=~;iY

ASSESSED VALUATION
YEAR
AMOUNT

TAX
DESCRIPTION

Ba M NUMBER

TAX

DATE

CITY

COUNTY

VILLAGE

SCHOOL

OTHER

I

I
I

,
I
I
I
I

I

I
I

I

TAX

PAYMENT

I

RECORD

ESCROW ACCOUNTS

A Tax Debit Card is maintained in the Accounting Machine Department for each
account. This card serves as the transaction card only when large groups of
taxes are being paid. It is filed in the order required by the city or town tax
authorities, usually tax district or ward and property numbers.
I

B8M NUMBERI_I

I

I

plDAY "OCATION~RAN~

I

I

I

I

I
PROPERTY ADDRESS

I

ISPECI

SPECIAC

I

~

I

CA'\~~ATED I

I

I

I

ASSESSED

I

II

I

::c:~~.

I

I

I

TAX DEBIT I

I

I

I

::,":.DC"

I

I

II
:I~
I
I
I
I
I
!
I
I
000000000000000000000000000000000000000000000000:0
0 0:0
0 0:0
0 0:0
0 0 0 0:0 0 0:0 0 0:0
0 0:0
0 0 0:0
0 0:0
0
1234 5 61191011121314151611181920212223242526212829303132333435363138394041424344454841481495051 1525354 1555651 15859606162 1636465 166616816910111121314i5 116111111910

N~:B~R

~ ~:;E pD~

LOCATION

RAMS

NUMBER

PROPERTY

SATD:ERE~SS

.ARO

N::~~R

CALC:A":TED

A::ELSUSEED

BEASL~RNOC~

A;:~NT

BE:LCAR:C~

22222222222222222222222222222222 22222222222222221222122212221222221222122212221222 2:222:22
I

33333333333333333333333333333333

I

I

I

I

I

I

333:333:333:33333:333:333:333:3333:333:33
I

44444444444444 4 4 4 4 4 44 4 4 4 4 44 4 4 4 4 4

TAX DEBIT

I

I

I

I

I

I

I

I

I

I

I

I

I

I

I

I

444:444:444 1444 44 14 4 414 4 4144 4:4 4 4 4144 414 4

55555555555555555555555555555555 5555555555555555:555:555:555:55555:555:555:555:555 5:5 5 5:5 5
I

I

I

I

I

I

I

I

I

I

I

I

I

I

I

I

I

I

66666666666666666666666666666666666666666666666616 6 616 6~16 6 616 6 6 6 6:6 6 6:6 6 6:66616666:666 166
,

777777 7 7 7 77 7 7 7 7 7 7 7 7 77 77 7 7 7 7 7 7 77 77 77 7 7 7 77 7 7 7 7 7 7 7 7:7 7 7:7 7 7:77 7:77 7 77:'77 7:7 7 7:77 7:77 7 7:77 7:7 7
I

I

I

I

I

I

I

I

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Upon request of the Mortgage Tax and Escrow Department, the Accounting
Machine Department lists all the Tax Debit Cards filed under requested tax
districts or sections. Listed is the mortgage number, ldnd, period and day
due, property address and information pertaining to the tax district or ward
and property number.
The list is sent to the Mortgage Tax and Escrow Department and in turn to the

tax authorities of that district. They pull the tax bills from the listing and
return the listing with the tax bills. The Mortgage Tax and Escrow Department
examines the bills for accuracy and runs the tax amoWlt on an adding machine for
a document control tape. The bills and a total are forwarded to the Accounting
Machine Department.
The AccoWlting Machine Department punches the amount of the tax into the Tax
Debit Card. The cards are total printed for proof to the adding machine total.
After proof the cards are consecutively numbered on the 602A. They are then
sorted into the same order as the Mortgage Principal Cards which contain the
escrow balance. The Principal Card is matched with the Tax Debit Card and
then the escrow balance is reproduced into the Tax Debit Card. The Tax Debit
Card is crossfooted for the new escrow balance and listed for facsimile posting
to the Mortgage Ledger Card which contains the mortgage payments. While
this crossfooting and listing is in process the Principal Cards are used to pull
the Mortgage Transaction Card. Both the Principal and Transaction Cards are
reproduced and the new escrow balance from the Tax Debit Card is reproduced
into this new PrinCipal and Transaction Card.
The Tax Debit Cards are sorted into mortgage number order and listed for
facsimile posting to the llistorical Record Card. Then the cards are sorted to
the consecutively punched number bringing them back into the original order.
At this time they are listed for facsimile posting to the Tax Payment Record
Cards and reproduced for the next tax payment.
The tax bills and a total of the taxes paid are returned to the Mortgage Tax and
Escrow Department and one check is drawn to pay all taxes. Totals of the tax
debit by kind of mortgage are consolidated with the regular day's work for entry
on the General Ledger ACCOWltS.

11

ADVANTAGES

The use of IBM Data Processing equipment for Mortgage Loan Accounting brings
these advantages:
1. Cards are punched only when mortgage is originated; thereafter they are
reproduced automatically.
2. Interest is calculated and proved automatically.
3. Trial balances are available instantly.
4. Regular and delinquent billing is available as a by-product.
5. Increased business can be handled with little or no increase in equipment
or personnel.
6. Portfolios may be analyzed as extensively and as frequently as desired.
7. Records of transactions, accounts, and statements are available without
interfering with ledger files.
8. Banks and associations with a high volume of window payments find that.by
relieving tellers of bookkeeping functions they can handle transactions
more rapidly, thereby reducing window congestion.
9.

Mail payments can be encouraged because they are handled in a highly
mechanized manner.

10. Automatic analysis of escrow accounts can be made at any time.
11. The IBM Data Processing System is sufficiently flexible to allow tailoring
to meet and solve any bank's or association's accoWlting requirements.

12



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