Understanding the Balancing Rail in Accounting

Overview
The right-hand rail of the Accounting section of an order contains key information to help you keep track of
funds and keep your files balanced. In this support article, we will provide you with a walkthrough of the three main sections of the balancing rail and some helpful troubleshooting tips and tricks to resolve common
balancing errors.

Totals

The totals section shows all posted receipts and all posted and pending disbursements. When the total of all
posted receipts matches the total of both posted and pending disbursements, this section displays with a green bar saying “Balanced."

Balancing

The Balancing section shows all posted and expected receipts, and posted and pending disbursements. This is broken down by what is owed by – or due to – the Lender, Borrower, Seller, and all Others.

Hover over the “i” displayed next to each item to see a breakdown of this amount. For example, if the Buyer has brought too much money to the closing, or too much was disbursed to the Seller, the information shown here will show the discrepancy. When all money has been receipted or disbursed, each party should be labeled as Paid Up, meaning the contact neither owes nor is due any more money.

Initially, the amount shown as Owed by or Due to one of the parties on the transaction will come directly from the Closing Statement. Notice that as funds are received or paid to these parties, the amount Owed or Due will change.
 

Balanced - What Does it Mean?

If the file is expected to be balanced once all receipts and disbursements are entered into the file, this section will show a green bar with the word “Balanced.”

Overage - What Does it Mean?
If there is an excess of funds this section will show a red bar with the word “Overage.”
 

Shortage - What Does it Mean?
If the file is expected to disburse too much money, this section will show a red bar with the word “Shortage.”

Loan Funding
 

Loan funding shows you the amount to expect from the lender. The system begins with the loan amount entered on the Basic Info page and then deducts the total net funded charges from that figure.

See which charges have been net funded by hovering over the “i”

Next, Lender Credits, Lender Charges, and any amounts Paid by the Lender are added to the calculation. The resulting total represents the amount that should be received from the Lender. Always be sure that this total loan funding amount matches the wire that comes in from your lender, or your file could be out of balance.

Common Balancing Errors
 

Below is a step-by-step primer to balancing in Qualia. For further balancing troubleshooting, review this article on balancing best practices.

If your file is out of balance, it could first and foremost be due to receiving too much or too little in loan
funds. Verify that the amount you’re expecting to receive from the lender exactly matches the posted
receipt. 

If your loan funds are off, you may have too many or too few charges marked as Net Funded. Hover over the i to view which items have been marked net funded. You should also confirm that any credits or additional
funds supplied by the Lender are included.

Next, look for expected receipts. Even if the receipt you’re expecting doesn’t exactly match an item’s amount in this dropdown menu, you can always click on the item to edit the amount field or other fields as needed. For example, if you’re expecting $15k from the buyer but only receive $14k, you can still click on the
expected disbursement item to edit. A modal will open – from there, edit the information in the modal to
reflect the actual check or wire you received. Click create.

Once the Receipt has posted, click on the “Add Receipt” button again and notice the updated “Expected
Receipt” amount from the Buyer. Repeat “Add Receipt” as necessary.

Once all funds have been received, we can walk through Disbursements. T ab over to disbursements > select one or more or all disbursements > and click post.