- Before
- “I don’t want to find out from the borrower’s controller.” Signs bills she has no time to check.
- Now
- Opens each held bill as a receipt with the cause proven, corrects it and signs credits up to $2,500 before the send.
One quarterly bill, from billing run to signed correction
Thursday 1 October, 09:12. The Q3 billing run has printed 412 bills, due to go out at 16:00. Here is what happens next, screen by screen, in the working solution.
- 0109:09 – 09:12
Every bill in the run, recalculated before it is sent
Marcus Feld · Billing analystThe agents recalculate all 412 bills the core loan system printed this morning, each from its own agreement. 405 agree within $1.00 and are ready for the 16:00 send. Seven differ: $10,354.30 overbilled on six bills, $412.66 underbilled on one. Each is held, with its cause named — day count, unused fee base, margin step-down, late charge, default interest, fixing date.
“Tolerance $1.00 per bill · a bill that differs is held from the send.”
- 0209:12
The largest difference, printed as a receipt
Renée Castillo · Loan servicing officerKestrel Ridge Foods, Inc., Loan 4471: a term loan and a $15,000,000 revolving line under an amended and restated credit agreement of 3 April 2026. Renée sees the bill as a recalculation receipt — every accrual period with its days, balance, rate, basis, recalculated amount, the system’s amount and the difference. The draw on 14 August, the amortization on 1 September and the repayment on 18 September sit on their own lines where they change the balance.
- 03One click
One line, with its clause and its arithmetic
Renée Castillo · Loan servicing officerThe term loan line for 1 July – 31 August is red. Renée opens it: §2.4(c) says term loan interest is computed on a 360-day year of twelve 30-day months, and the arithmetic is written out. Recalculated: 7,814,177.42 × 6.20% × 60 / 360 = 80,746.50. Core system billed: the same balance and rate × 62 / 360 = 83,438.05.
“Interest on the Term Loan shall be computed on the basis of a 360-day year consisting of twelve 30-day months.” — §2.4(c)
- 04The total
$184,212.55 recalculated, $186,904.10 billed
Independent calculatorTen accrual periods, rounded per period, half up, from the agreement version of 3 April 2026. The receipt also records what did not apply: the 0.50% floor was not reached (the lowest fixing was 3.86192%), there was no Event of Default in the quarter, and letter of credit SB-2207 counted as usage for the unused line fee. The stamp reads overbilled $2,691.55 — day count.
- 05Replayed
The cause, proven by replaying the system’s set-up
Difference explainerRenée switches on “Replay as the system billed”. The receipt re-runs with the core system’s 365/360 day count on the term loan: the line moves to 62 days and the difference falls to $0.00. Nothing else on the bill differs. The same set-up overbilled Q2 by $1,378.07, already paid on 1 July.
“With the system’s set-up the receipt reproduces the bill to the cent, $186,904.10. Nothing else differs — the cause is proven, not assumed.”
- 06Next
Twelve terms read; one differs from the set-up
Agreement terms readerThe loan terms screen sets every pricing and fee term from the agreement — rate, day count, amortization, Term SOFR 1-month, the fixing two U.S. Government Securities Business Days before the period, the 0.50% floor, the 2.35% Applicable Margin, the unused line fee, default interest — against the core system’s set-up, with the clause beside each. Eleven match. The term loan day count differs: 30/360 in the agreement, 365/360 (Actual/360) in the system since the loan was converted on 3 April.
- 07Checked
Every fixing the run used, from the published rate
Rate fixing collectorKestrel Ridge’s revolver priced off Term SOFR 1-month fixings of 4.12062% (29 June), 3.98741% (30 July) and 3.86192% (28 August), each far above the floor. The same screen shows why Ostrander Tool & Die’s bill is $412.66 too low: its September period used the 1 September fixing, 3.84115%, instead of 28 August.
- 08Drafted
The correction, the credit and the set-up change
Dispute and letter drafterFrom the receipt, the drafter prepares the corrected statement and the letter to Tessa Lindqvist, the borrower’s controller: Q3 rebilled at $184,212.55, less the $1,378.07 Q2 credit — $182,834.48 due 15 October. It proposes the set-up change for two loans: the agents read all 38 loans converted on 3 April, and Marlowe Street Partners LP has the same 30/360 note.
“The statement printed this morning for $186,904.10 was not sent. Credit to the borrower in all: $4,069.62 — above the $2,500 limit, so it needs a second signature.”
- 09Signed
Two signatures, then it goes out
Gail Sorensen · Loan operations supervisorRenée signs the correction. Because the credit is above her $2,500 limit, it goes to Gail Sorensen, who co-signs and approves the day-count change on Loans 4471 and 5208. The corrected statement goes to Tessa Lindqvist with the recalculation enclosed, before the borrower ever had to find it.
- 10The same week
A disputed bill, answered claim by claim
Renée Castillo · Loan servicing officerBellhaven Dairy Cooperative disputes $10,406.67 of default interest on its August statement. Each claim is checked against the agreement: the 11 August email was not notice under §10.1, so the default rate starts 18 August, not 11 August — but the fixed charge coverage of 1.08x against 1.20x was a continuing Event of Default. Partly right: a $3,468.89 credit, with the answer drafted for Renée’s signature.
The drafter never sends a letter or a credit. A person signs every answer.