Security Code Definition
Access this screen by selecting Tool #785: Security Code Configuration.
Looking for some recommendations on your big picture planning for your loan configuration? Refer to the Big Picture Planning for Your Loan Configurations overview.
This is the first of two screens used to set up security type codes which are assigned to individual loan accounts. One use of a security code is to define, in general terms, how the loan is secured (e.g., stocks, automobile, etc.). However, you may use security codes in any manner you wish. The security code is simply a means to document the type of security used on the loan. It does not affect the way the loan is processed in any way.
To create or modify a security code, enter any new or existing two-digit code number (codes do not have to be in strict sequence) and use Enter to proceed to the second screen.
Confusion sometimes arises when comparing Security and Collateral. A Security code is used primarily to document whether or not the loan is secured at all. For example, “Unsecured” could actually be a security code (e.g., for signature loans). Collateral, on the other hand, is actual property that has been offered to secure a loan. This property would be subject to repossession should the member default on the loan.
To print a list of all of your configured Security Codes, simple use F14-Print List.