ESCROW - In-house Example

1ST INTERNATIONAL BANK & TRUST 2150 21ST AVE NW MINOT, ND 58703

Page: 1 01/03/2026

Loan:

Telephone:800-359-8092

================================================================================ ANNUAL ESCROW ACCOUNT DISCLOSURE STATEMENT1 ACCOUNT HISTORY ================================================================================ THIS IS A STATEMENT OF ACTUAL ACTIVITY IN YOUR ESCROW ACCOUNT FROM MARCH THROUGH JANUARY.(LAST YEAR'S PROJECTIONS ARE NEXT TO THE ACTUAL ACTIVITY.) Your monthly mortgage payment for the past year was $6,138.00 of which $5,187.00 was for principal and interest and $951.00 went into your escrow account.

-------Payments-----Projected Actual

-----Disbursements----Projected Actual

Starting Balance........................................

MAR 2025

872.00

APR 2025

872.00

MAY 2025 JUN 2025 JUL 2025 AUG 2025

872.00 872.00 872.00 872.00

SEP 2025 OCT 2025

872.00 872.00

DEC 2025

872.00

1,013.00*

3,566.19* (TAXES) 3,613.24 (TAXES)

913.00* 1,878.00*

3,686.37* (TAXES)

----Escrow Balance---Projected Actual $3,614.62

$168.33

4,486.62

2,384.86-

1,745.38

2,384.86-

2,617.38 3,489.38 4,361.38 5,233.38

2,384.861,471.861,471.863,280.23-

989.00* 6,105.38 2,291.231,013.00* 3,566.19 3,411.19 1,278.23(TAXES) 265.23872.00 1,013.00* 4,283.19 NOV 2025 The following statement of activity in your escrow account includes anticipated payment of past due escrow payments.

1,902.00* * * * C o n t i n u e d

* * *

1ST INTERNATIONAL BANK & TRUST 2150 21ST AVE NW MINOT, ND 58703

Page: 2 01/03/2026

Loan:

Telephone:800-359-8092

================================================================================ ANNUAL ESCROW ACCOUNT DISCLOSURE STATEMENTACCOUNT HISTORY ================================================================================ -------Payments------ -----Disbursements----- ----Escrow Balance---Projected Actual Projected Actual Projected Actual 8,694.00* 5,155.19 6,268.23DEC 2025 Past Due: 789.00 (INSURANCE) 872.00 6,027.19 5,317.23JAN 2026 Past Due: 951.00 An asterisk (*) indicates a difference from a previous estimate in the date or the amount.

Last year, we anticipated that payments from your account would be made this period equaling $7,179.43. Under Federal law, your lowest monthly balance should not have exceeded $1,196.57 or 1/6 of anticipated payments from the account, unless your mortgage contract or State law specifies a lower amount.

Under your mortgage contract and State law, your lowest monthly balance should not have exceeded $1,745.38. ================================================================================ ACCOUNT DISCLOSURE STATEMENT2 ANNUAL ESCROW PROJECTIONS FOR COMING YEAR ================================================================================ THIS IS AN ESTIMATE OF ACTIVITY IN YOUR ESCROW ACCOUNT DURING THE COMING YEAR BASED ON PAYMENTS ANTICIPATED TO BE MADE FROM YOUR ACCOUNT. Payments Disbursements

Balance

Starting Balance.................................................

$3,075.52

Date

FEB MAR APR

2026 2026 2026

MAY 2026 JUN 2026

Description

614.00 614.00 614.00

Payment Payment Payment TAXES Payment Payment

3,686.37 * * *

614.00 614.00 C o n t i n u e d * * *

3,689.52 4,303.52 4,917.52 1,231.15 1,845.15 2,459.15

1ST INTERNATIONAL BANK & TRUST 2150 21ST AVE NW MINOT, ND 58703

Loan:

Page: 3 01/03/2026

Telephone:800-359-8092

================================================================================ ANNUAL ESCROW ACCOUNT DISCLOSURE STATEMENTPROJECTIONS FOR COMING YEAR ================================================================================ Date Description JUL 2026 Payment AUG 2026 Payment SEP 2026 Payment OCT 2026 Payment TAXES NOV 2026 Payment DEC 2026 Payment JAN 2027 Payment

Payments Disbursements 614.00 614.00 614.00 614.00 3,686.37 614.00 614.00 614.00

Balance 3,073.15 3,687.15 4,301.15 4,915.15 1,228.78 1,842.78 2,456.78 3,070.78

Your ending balance, from the last month of the account history, is ($5,317.23). Your starting balance according to this analysis should be $3,075.52.

This means you have a deficiency of $5,317.23. This deficiency may be collected from you over a period of 2 months or more unless the deficiency is less than 1 month's deposit, in which case we have the additional option of requesting payment within 30 days. We have decided to collect it over 12 months.

After considering the deficiency, you still have remaining shortage of $3,075.52. This shortage may be collected from you over a period of 12 months or more unless the shortage is less than 1 month's deposit, in which case we have the additional option of requesting payment within 30 days.

We have decided to collect it over 12 months.

YOUR FIRST MONTHLY MORTGAGE PAYMENT FOR THE COMING YEAR WILL BE $6,500.00 OF WHICH $5,187.00 WILL BE FOR PRINCIPAL AND INTEREST AND $1,313.00 3 WILL GO INTO YOUR ESCROW ACCOUNT. THE TERMS OF YOUR LOAN MAY RESULT IN CHANGES TO THE MONTHLY PRINCIPAL AND INTEREST PAYMENTS DURING THE YEAR. IF YOU HAVE ANY QUESTIONS IN REGARDS TO YOUR ANNUAL ESCROW ANALYSIS, PLEASE CALL THE LOAN OPERATIONS DEPARTMENT @ 800-359-8092 EXT 2070.

THIS CHANGE IS MADE IN ACCORDANCE WITH THE TERMS OF YOUR LOAN