Lender Payment Details

Brokeredge automatically creates lender records when deal data is imported. These records are essential for calculating projected income based on commission, volume bonus, and line of credit payout rates and timelines. In this article, we’ll explain how to set up and customize these details to ensure your income projections are as accurate as possible.

Automatic Prompts and Initial Setup

• System Nudges:

  When a new lender is created, it initially lacks the necessary payment details. Brokeredge will prompt you to populate the expected commission, volume bonus, and line of credit payout rates along with the associated timelines.

Configuring Payout Rates

• Enter Expected Payouts:
  • Commission and Bonus: Input your expected payouts in basis points (for example, enter “75” instead of “0.0075”).

  • Optional Fields: If volume bonus and line of credit payouts don’t apply to a lender, you can leave those fields blank.

    Setting Timelines:

  • Specify the number of days after a deal funds when you expect each payout. For example, if the volume bonus is typically paid 30 days after funding, enter “30” in the Volume Bonus Payment Duration field.
  • Brokeredge uses these timelines to change the income status from “Expected” to “Overdue” once the payment date passes.

Customizing for Different Deal Durations

• Granular Customization:

  If you handle deals of varying durations with the same lender, you can customize the payment details more precisely.

  • For example, you might want different commission rates for three-year deals versus five-year deals.
  • Simply update the lender record with the specific rate and timeline for each deal type. When a deal with a particular duration is processed, Brokeredge will apply the corresponding settings.

• Ongoing Adjustments:

  You can always modify these details later. If the income projection isn’t matching expectations, update the rates or timelines directly in the lender’s settings.

How It All Works Together

Once you have set up the lender payment details:

• Income Projection:

  Brokeredge projects your income based on the payout rates and timelines you’ve defined, as well as the deal details themselves.

• Dynamic Updates:

  The system continuously monitors when the expected payment dates are reached and updates the income status (e.g., marking income as “Overdue” if not received on time).

By configuring these settings, you ensure that your income tracking remains precise and tailored to each lender’s specific arrangements, helping you manage your cash flow more effectively.