A Pledged Account is when borrowers who do not want to have a real estate tax or insurance escrow administered by the mortgage servicer pledge a savings account into which enough money to cover real estate taxes and the insurance premium must be deposited. You must then make the payments for your real estate taxes and insurance premiums from a separate account. If you fail to pay your taxes or premiums, the lender is allowed to use the funds in the pledged account to make those payments.