How should loan payments be collected?

Continue collecting loan payments as usual.

To ensure loan payments are processed accurately:

• Exact payments.Match loan payments to the amortization schedule. If an employee’s pay does not cover the loan payment, note the amount in the “Are there exceptions?” section of the funding page.
• Missed payments.Submit missed loan payments in the amount that matches the amortization schedule. Example: If doubling a payment of $115.42, the amount remitted should be $230.84.
• Loan payoffs.If your payroll file includes a loan payoff, include the participant’s name and loan number in the “Are there exceptions?” section.
• Loan overpayments.If a loan payment is received after the loan is paid off, Alerus will mail a check to the participant’s address on file.

Multiple loan payments. If your plan allows multiple loans, remit payments in one column, ensuring totals match each loan’s scheduled amount. Any variation in loan repayment amounts may delay payroll processing. Note: If you would like to simplify loan payment reporting for participants with multiple loans, please contact your Fulton representative to discuss options.