In Escrow and messed up...

[Anonymous]

OK, I think I really messed this up.  I've been pre-approved thru the BofA Automatic system and the LO (Builder Preferred) said everything looks great.  And we are getting ready for Appraisal. 

This is the problem.... I pre-paid my Student Loan a year or so ago over $18,000 leaving a $1200 balance (history purposes) so I didn't owe again until 2013.  So what did I go an do... A month ago just so I can have NO debt when I move into my house I set up a Re-Occuring payment for the 15th of every month out of my "Play Around with account".  I get paid on the 15th (via electronic) so no issues, oh and I also setup Electronic Payment prior.  Received approval and according to the letter payment will start on 3/14/2013, now this is outside of the Re-Occurring Payment I setup.  So I go about my business.  By doing the Electornic Payment it kicked me out of pre-payment mode and a payment attempt was made on 10/14 so I got an NS... now my Re-Occurring payment was made successfully because I set it up on the 15th like it should have since I get paid on that date.  Now my payment isn't big and I have thousands in my other account at the same bank so it's not like I didn't have the money.  But that account is for my house & reserves.  I also had more than enough in my Checking Account at a diff. bank so this was NOT due to not having the money!

Oh no!  When I have to produce new bank statements are they going to deny my loan because of this!  I have the letters from Dept. Of Education saying I didn't have a payment until 3/14/2013.

What do I do....

[ShanetheMortgageMan]

As long as it was an isolated overdraft charge (not a history of overdrafts), and if you can write a letter of explanation, and provide some supporting documentation then this should be fine.  One or two overdrafts with a good explanation are OK, it's when there is a history of overdrafts that it becomes an issue.

[Anonymous]

Oh Thank you,

I don't have anything else electronic coming out of my accounts so no other NSFs, no bounced checks, nothing...  And this was only because I wanted to be "Pro Active".  I should have just left it alone and waited until I was in the house since I didn't have to pay again until 2013.  Boy was that stupid.

[ShanetheMortgageMan]

Well at least you'll have this experience to remind you in the future