What Should I Avoid During Mortgage Escrow?
By JC Pacific Corp Published 2026-09-01 Last professionally reviewed: September 2026
During mortgage escrow, avoid major credit, employment or financial changes without first discussing them with the lender.
Do Not Open New Credit
Avoid financing:
- Vehicle
- Furniture
- Appliances
- Electronics
- Home improvements
- Another property
- Personal expenses.
Even deferred-payment offers may create a new account or inquiry.
Do Not Move Money Without Documentation
Transferring funds between accounts may create new statements and documentation requirements.
Do Not Change Employment Quietly
Tell the lender before:
- Quitting
- Changing jobs
- Reducing hours
- Becoming self-employed
- Changing compensation
- Taking unpaid leave.
Do Not Miss Payments
Continue paying all obligations on time.
Do Not Spend Closing Funds
Maintain the down payment, closing costs and required reserves.
Frequently Asked Questions
Can I use my credit card normally?
Ordinary use may still affect balances and qualification. Ask the lender before materially increasing debt.
Can I deposit cash?
Cash can be difficult to document as an acceptable source. Speak with the lender before depositing or relying on it.
Can I change banks?
Avoid unnecessary changes during underwriting.
A five-minute lender conversation can prevent a financial decision from delaying or ending the purchase.
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The next step is a conversation with a local agent.
JC Pacific Corp is an Irvine-based Southern California brokerage helping buyers navigate offers, escrow, and financing. Tell us what you are looking for and we will point you to current options across the region.
A note on legal advice: These guides provide general, educational information about California real estate practice. They are not legal advice and do not create an attorney-client relationship. Mortgage information is general education, not individualized lending, tax or legal guidance. For advice about your specific offer, contract, closing or financing, consult a qualified California real estate attorney and a qualified mortgage professional.