Initial escrow deposit

If taxes and insurance will be paid through escrow, the lender usually collects a starting balance at closing. That starting balance is the initial escrow deposit. The escrow account is the account that later receives monthly portions. Prepaid interest is a different closing line.

CFPB’s key-terms heading defines an initial escrow deposit as the amount paid at closing to start the escrow account. That official heading is PRIMARY. The RESPA escrow rule and the Loan Estimate page are supporting context.

Cash to close often includes this deposit. Readers need it kept distinct from the monthly escrow portion and from prepaids.

• Cash to close
• Escrow account