This is an account that's created to cover expenses for your property taxes and homeowner’s insurance as they come due. Not all mortgage loans require an escrow account. However, if an escrow account is needed:

• Your lender will fund this account through the escrow portion of your monthly mortgage payments.
• The lender calculates how much you’ll need to pay for insurance and taxes each year, then divide it by 12 months. This amount is added to your monthly mortgage payment.

Check out our Escrow Educational Video for more information.

For U.S. Bank:
Equal Housing Lender.

Deposit products are offered by U.S. Bank National Association. Member FDIC. Mortgage, Home Equity and credit products offered by U.S. Bank National Association. Loan approval is subject to credit approval and program guidelines. Not all loan programs are available in all states for all loan amounts. Interest rates and program terms are subject to change without notice.

U.S. Bank is not responsible for and does not guarantee the products, services or performance of U.S. Bancorp Investments, Inc.