User Defined Balance:
Aside from Principal, Interest, Fee and Late Fee, NLS offers User Defined Balance that you can setup to suit your business needs. We have 10 of these balances and they show up on the main screen of the loan.
For example, if your business has need to charge Attorney Fee, Storage Fee etc. to the borrower each payment period then you can utilize the User Defined Balance. This balance is part of the payoff.
Transaction codes would need to be setup to utilize the User Defined Balances. Please refer to the User Guide on how to setup the transaction codes. https://www2.nortridge.com/support/userguide/topics/adding-a-user-defined-transaction-code.html?Highlight=transaction%20code
Off Loan Balance:
An Off Loan Balance is a balance that is not part of the loan balance. We have three Off Loan Balances.
This field contains the sum of Off Loan Balance User Defined Fields # 1, 2, and 3. These three user-defined loan balances represent balances that are increased and decreased through manual transaction codes for funds which the lender needs to track on an individual loan, which are not part of the loan’s payoff.
Note: In order to set the loan to "CLOSED" one must zero out all user defined balances and off loan balances.