Adjustment and cheque directions

[mli89]

Hi,

Acting for purchaser.

Say:

Balance due to vendor is $100.000.00

Vendor has inserted cheque directions amounting to $80,000.00

The balance of $20,000.00 due to ABC Bank.

How should this $20,000.00 be reflected on  the payment directions?

Should purchaser upload destination item - or is this the vendor's job?

Thanks

[Ames]

Hi @mli89

If ABC Bank is in the Workspace for the purposes of creating a discharge of mortgage, they create their own line item for $20,000.00.

Hope this helps.

Ames

[TheDoctor]

Hi,

It depends who has the authority to accept the surplus.

Ideally the Mortgagee on Title has authority to accept the surplus.

They would load the surplus Destination line item as they can validate the account details.

This would usually involve the Vendor Practitioner advising the surplus amount by a Conversation.

If the Mortgagee on Title does not hold authority to collect surplus, the Vendor Practitioner is responsible for the surplus.

Unfortunately they do not have the ability to validate the account details.

In this instance, provided you are both aware of the issue early, you should be able to arrange for authority for the Mortgagee on Title.