Commission Disbursement Authorization
The CDA, or Commission Disbursement Authorization forms are specific payout instructions for the escrow company, title company, attorney, or whoever is in charge of processing the closing. The most simplest definition is, the CDA instructs the closing company on who to pay and how much. If the closing company is not "cutting a check" or disbursing funds to an entity, then there will not be a line item on the CDA. The Trade Sheet provides overall payout information (see below) .
- Example #1: If the broker instructs ALL funds be disbursed to the brokerage then the CDA will show ONE line item: 1) $ to the brokerage, then the broker will disburse any remaining funds to the appropriate parties.
- Example #2: If the broker instructs the agents portion of their commission get disbursed directly to the agent and the remaining payout is disbursed to the brokerage, then the CDA will show TWO line items: 1) $ to the agent and 2) $ to the brokerage.
- Example #3: Let's use the scenario in example #2 BUT the agent needs to pay their transaction coordinator (TC) and will do so directly from their funds. The CDA will still only show TWO line items: 1) $ to the agent and 2) $ to the brokerage because the agent will cut a check or electronically pay their TC after their commission is received.
- Example #4: Let's use the scenario in example #3 BUT the TC will get paid directly from the closing company AND there's an outbound agent referral, then there would be FOUR line items on the CDA: 1) $ to the agent 2) $ to the TC 3) $ to the referring agent and 4) $ to the broker.
In Zipi, the CDA is automatically generated from financial information provided in the deal cards marked as Pay at Closing. You can view the CDA on the Disbursement card by clicking the View Disbursement button.
The Trade Sheet is designed to provide more payout details than the Commission Disbursement Authorization. The Trade Sheet gives each entity involved in the transaction, granted they have the appropriate permission settings, a breakdown of all the financial values and you can also add notes to it.
You have three options for viewing the Trade Sheet:
You can view the Trade Sheet at the bottom right of the Disbursement card.
The Condensed version shows all the deal information and its breakdown on a single page.
This shows the same information but expanded.
Expanded with notes
This is the same as the Expanded Trade Sheet but includes any notes that may have been added to the deal. It also shows who added the notes and when.