You may have heard the word "escrow" thrown around, but what does it actually mean?

Think of it like a budgeting tool built right into your mortgage payment. Like any loan, you'll see part of your monthly payment go to the principal and interest, but owning a home means that you need to plan for your taxes and insurance, too.

Having an escrow account in place averages those annual costs and factors them into your monthly payment – no extra budgeting or savings to worry about on your end.

With each mortgage payment, money is deposited into an interest-bearing escrow account for taxes, homeowner insurance, and mortgage insurance. When taxes and insurance are due, the mortgage department draws from the account for payment to the tax agency and insurance companies.

Visions understands that situations change, which is why we complete an escrow analysis on each Visions mortgage every March. Escrow is changed based on current tax payments and then your mortgage payments are adjusted accordingly.

Analysis documentation is mailed prior to the payment change explaining any updates, which will be reflected in your May statement.

This keeps you informed of any adjustments or increases and reassures you that your mortgage escrow has been reviewed. After all, the best part of any escrow is the peace of mind that comes with knowing your taxes and insurance have been paid.

Mortgages Articles

Visions Donates $100,000 to Habitat for Humanity

"The Big Give" 2021 Endwell, NY – Visions Federal Credit Union today announced a gift of $100,000 to ten Habitat for Humanity chapters in New Jersey, New York, and Pennsylvania. Each chapter will receive $10,000 as part of “The Big Give.” Giving back is a core part of Visions'…

Making Sense of Mortgages

Making Sense of Mortgages Closing costs, PMI, ARM, escrow…figuring out what makes up your mortgage can be complicated. With so many factors to consider, how do you make sense of it all? Well, you can start by breaking down some of the most common terms and considerations you'll…

When Should You Consider an Adjustable Rate Mortgage?

When Should You Consider an Adjustable Rate Mortgage? Looking for a lower-interest alternative to the traditional 15- or 30-year fixed rate mortgage? Consider an adjustable rate mortgage, like the popular 5/5 ARM, for any number of needs or situations. What's a 5/5 ARM? Well, th…

Referral Program

Get rewarded for sharing Visions with your friends and family.

Get $25 when they open an account!

Refer Now

Visions Federal Credit Union

Log in here with your Online Banking ID:



Online Enrollment

Forgot Password

Forgot User ID/Unlock Account

You are leaving the Visions Federal Credit Union web site. The privacy and security policies of the external link may differ from Visions Federal Credit Union. Visions Federal Credit Union does not own or control external links and is not responsible for the availability or accuracy of their content.

Continue