What is an escrow shortage?

An escrow shortage is when you don’t have enough money in your escrow account to cover the actual amount needed to pay your bills. Money for the escrow account comes directly from your monthly mortgage payment. How much of the money you pay that goes to your escrow account is determined by your yearly escrow analysis.

Can escrow shortage affect mortgage payments?

When the funds in your mortgage escrow account are insufficient to meet the rising costs of property taxes and homeowner’s insurance, you face an escrow shortage. This situation can result in higher monthly mortgage payments to compensate for the deficit. Can I choose how to repay my escrow shortage?

Will my escrow shortage payment go up if I pay full?

Your payment may still go up, even if you pay the entire shortage, if your taxes or insurance increase. Sign in to chase.com to use our escrow shortage payment calculator to see how partial or full shortage payments will affect your monthly mortgage payment. When can I make my shortage payment?