Updating Account Information - Open-Credit (LOC) Loan

Description

The loan category code used when this loan was created. This code controls the servicing parameters of the loan.

NOTE: If this is an online credit card loan, you should use the Change Loan Category (F19) feature to change the category if you wish to apply new configurations (such as a new rate) to this account.

If your credit union policy requires note numbers, this field shows the note number assigned to the loan.

The last date on which this account information was maintained.

The current balance of the account.

(For LOC loans only, such as online credit cards.) The total amount of funds in this account which are secured by Miscellaneous Secured Funds records. The most common reason to secure funds in LOC accounts is for credit card authorizations (holding funds pending an incoming purchase transaction).

When calculating available credit for this account, CU*BASE will subtract this balance from the total available credit, reducing the amount that is available for a member to withdraw (borrow) from the account.

• BE CAREFUL: This figure comes from Misc. Secured Funds detail records, and cannot be changed to a total that does not match those records. Instead, use the Update Misc. Secured Shares feature to modify or delete the secured record.

SEE ALSO: Changing Secured Balance

First Column

The G/L offset account for this account type.

NOTE: If this account number is changed on an existing account, the system will write an entry to GHIT in order to move the balance of the account to the other account as part of the nightly TR journal entry. (You will see the entry on your books the next day.) The GL entered here must match the GL that’s configured on the loan category code.  

This code indicates why the loan was taken. (For example, a “Home Improvement” loan category may use several different purposes, such as “Remodeling” or “Addition.”)

A calculated Check Digit to be used when printing LOC disbursement checks.

This code indicates what will be used to secure the loan.

Determined by the loan category configuration, this indicates whether or not funds can be distributed from this loan through the teller posting system. If checked, funds can be disbursed; if not, no disbursements are allowed using teller processing.

If insurance or debt protection codes have been added to this loan account, this flag will be checked. This field cannot be changed manually.

• Use Loan Coverages (F6) to view or maintain insurance codes or debt protection.

This code indicates how account information is reported to the Credit Bureau in keeping with the Equal Credit Opportunity Act. Click the lookup button to choose from a list of valid codes.

• Click here to see a list of codes.

The date the loan was created.

• NOTE:  When this field is edited, the date entered must be on or later that the open date of the membership.  If this date cannot be changed, then the open date of the membership must be changed to be on or earlier than the date you wish to use in this field.

The date the first payment is due.  If changing this date, make sure you verify any AFT records that may also need updating.  If payment controls are used, saving the AFT record again will adjust the record to this new date.

The date the next payment is due.

The day of the month on which the next payment will come due.  When set to 29, 30, or 31, this is used by the system to properly adjust payment dates with months that have different numbers of days (February, etc.).  Otherwise the field is informational only.

• If a member’s payment normally falls on day 30, then the day 30 triggers the system to look at the month and compensate for the # of days it actually has.  Using this example, if the member pays their January payment, their next payment due date would be February 30 (which cannot be the case). CU*BASE knows to adjust to the 28th (or the 29th, if it’s leap year).  Then when the February payment is made this field is used for CU*BASE to know not to make March 28 the member’s next payment due date.  

If this date is updated, then adjustments may need to be made to the member's AFTs to this account.

The date through which interest has been accrued on this loan. For most loans, this will be the day of the month when the system last calculated interest during daily processing.

For open-end and balloon loans, this field indicates the term used when calculating the amortization for this loan.

• NOTE: Remember that this date is used by some payment recalculation methods when calculating a new payment on the loan following a disbursement and/or other transaction. So take care if modifying this date, to make sure you understand the ramifications of what it might do if/when new payments are calculated. The system will allow you to set the Review date to a date in the future, beyond this Amort/maturity date. On products where this date is not used for calculating a payment, that condition should not be an issue. But in other cases it might mean that a disbursement would suddenly cause a member to have a payment amount that is the entire amount due on the loan. (If a maturity date is in the past, upon payment recalc. using the “Maturity” method, the system assumes that there is just one payment period left and amortizes using a term of one month.) See also Loan Review Dates: Overview

For current loans, this field shows the date on which this loan should be reassessed, and a decision made as to whether or not to renew the member's ability to continue borrowing. This date should allow time for the loan to be reviewed prior to extending additional credit.

• To prevent disbursements from the loan account after the review date has passed, the loan category can be configured to use the review date for disbursements. (Click here for details about this configuration option.)

For loans that have been written off using the Write Off Loans feature accessed via Tool #1006: Write Off / Charge Off Loans, this field will show the date on which the loan was written off. (This feature was implemented in June, 2003. For loans written off prior to this change, use this field to manually enter the date when the loan was originally charged off.)

SEE ALSO:Loan Review Dates: Overview

The payment to be made on the account each period.

The maximum disbursement amount for which the loan was approved.

This field shows what the account balance was the last time a disbursement was granted (including the disbursed amount). This may be different from the account balance, if a payment was made on the loan since the last disbursement.

This field shows the amount, if any, which has already been paid toward the next payment due. The system adds any amounts in this field to payment amounts being received to determine whether the member has paid enough to satisfy (fulfill) the complete required payment.

This field is reset to 0.00 automatically whenever enough money is received to satisfy a full regular payment amount. (Remember that whether or not the payment due date also moves forward is also dependent on the Delinquency control settings on the loan.)

• NOTE: This field is NOT used when processing payments for mortgage loans with the 360-day interest calculation type.  Also, for online credit cards, once the payment has been fulfilled for a period, additional funds will not accumulate in the partial pay bucket until a new calendar month begins.

Second Column

Used in the MICR line for account number verification during check printing and check processing.

• IMPORTANT: Programming must be done in CU*BASE to ensure that the check digit shown here uses the same formula as dictated by your check printing vendor. In addition, you must contact a CU*BASE representative if any changes are anticipated that would affect the calculation used by the CU*BASE Check Digit Calculator.

This code indicates whether this loan is an open-end (“O”) or closed-end loan (“C”).

A code indicating the frequency of dividend payments. Frequency codes are credit union-defined.

This code is determined in CU*BASE system configuration and cannot be changed here. The process type indicates how the loan behaves, and relates to both the General Ledger and various reports. Following are valid process types:

• E Closed-end S Student loans in interim

• O Open-end P Student loans in payout

• C Construction M Mortgage

• L Line of credit

• V Credit Cards

The current interest rate on the account.

This code indicates whether or not the payment amount includes principal and interest, or principal only.

P  Quoted payment includes principal only.

I  Quoted payment includes interest only.

(blank) Quoted payment includes both principal and interest.

The interest calculation code is taken from the loan category configuration and indicates how interest is calculated on the loan.

The code indicating the variable interest rate used by this loan type, if applicable.

This shows the next time (month and year) that interest will be calculated for this loan.

This field indicates whether or not a loan can be paid ahead.

• IMPORTANT:This flag comes from the loan category configuration when the loan account is first created. However, changing the flag in the category config. will NOT affect existing loans. Therefore, if your category is changed, you will need to change the setting of this field on all existing loan accounts for that category, as well.

The system will consider a payment “satisfied” (meaning it moves the due date forward to the next period) according to the amount paid compared to the payment amount and frequency. 

For example, if a $200 payment is made on a loan with a normal monthly payment of $100, a setting of “1 Pmt/Period” would still require a payment on the next normal due date, while the “Pay Ahead” setting would mean the next due date would be pushed ahead an extra month.  Refer to Loan Category Configuration for a more detailed explanation of the “single payment per period” control.

Choose between these options:

No Delinq Calc (N) (field on MEMBER5/6 record will show “N”) – The system neither monitors nor controls the next payment date or delinquency on the loan. However, payments can be applied to the loan.

1 Pmt/Period (P) (field on MEMBER5/6 record will show “P”) – Single payment per period

The number of times the loan has gone delinquent over the life of the loan.

This field shows the delinquency group code, which indicates how late charges are calculated and applied for delinquent payments.

• NOTE: Leave this field blank to indicate “no delinquency” (no delinquency fines are assessed). Zero is an available fine code.

The number of extensions or refinances that have been granted on the loan.

The total amount paid year-to-date in delinquency fines.

The total amount owed in delinquent fines as of the current date. Once the fine has been paid, the amount is removed from this field and added to the DQ Fine YTD Amt field.

The total amount of interest paid on the loan year-to-date.

Indicates the number of times the Skip Pay for Consumer Loans feature was used to skip a payment on this loan for this calendar year.  Learn more about consumer skip-pay programs.

Indicates the number of times the Skip Pay for Consumer Loans feature was used to skip a payment on this loan for the life of the loan.  Learn more about consumer skip-pay programs.

Third Column

If the loan category allows tax escrow disbursements, this field shows the account to which the escrow fund portion of the payment should be transferred.

These fields should be used ONLY by credit unions which utilize the Rule of 78 for calculating insurance rebate amounts. Contact a CU*BASE representative for additional information. These fields show the original number of payments and the remaining number of payments, the original amount of insurance, and a calculated field showing the Rule of 78 rebate for early payoff.

• BE CAREFUL: If an amount is entered into these fields by mistake, it may result in incorrect loan payoff information.

This field allows you to enroll, or unenroll, a member into a configured Cash Back Reward Program.

• To configure a reward program for your credit union, use Tool #1550 Credit Card Cash Back Program Config.

• To attach the program on the loan category, use Tool #458 Loan Category Configuration

If the program configuration allows for payment of rewards to a savings/checking account, select the radio button to pay rewards to either the loan, or attach a savings/checking suffix to the member account.

This is the delinquent fine date.

• NOTE:   This does not appear for loans with process type V (credit cards).

If the selected sub account is frozen due to delinquency monitoring, this box will be checked.  

• If you make any change to this screen (not just a change to the freeze level), and press Enter, an additional screen will appear allowing you to select whether to prevent this sub account's freeze code level (1-3) from being changed by delinquency monitoring (this suffix only).  Learn more about this feature.

This field records the date on which this loan first became one day delinquent. This date is retained until the loan is brought completely current. The purpose of this field is to accurately reflect how long a loan has actually been delinquent, even if the member makes a few “catch up” payments but does not actually bring the loan up to date.

Check this checkbox to prevent delinquency notices from being generated for this account. Uncheck the checkbox for normal delinquency notices as appropriate.

Use one of the freeze codes to define transaction restrictions for this account. The system indicates whether or not an account is frozen in the teller posting system.

Click here for a list of freeze codes.

• If this freeze code is not what is indicated by delinquency monitoring, it may be due to the fact that the monitoring is no longer controlling the freeze code.  Learn more about this feature.

Not currently used.

This field indicates whether or not the account is a Passbook printer account (0=No, 1=Yes).

This code indicates whether or not the loan has been written off (0=No, 1=Yes). When checked, the system will ignore this loan from delinquency monitoring and from notice generation.

• BE CAREFUL: This does not write off the loan. The written off loan process must still be taken from Tool #1006: Write Off / Charge Off Loans. (This tool will move the funds an change the category.) Using this field only indicates that the loan may have been written off previously.

(Appears only if this category is set up to allow stock-type collateral.) If this loan is secured by a stock-type collateral record, and the loan should be updated when the associated stock price is changed, enter S here. If not, leave the field blank.

This field is used by the automated stock adjustment feature to control whether this loan's disbursement limit and collateral pledged amount should be updated when a stock price change is entered. SEE ALSO: Using Stock as Collateral for LOC Loans

Description

Use this to view and/or update information unique to lease and balloon loans, including Residual value (for lease loans) and Amortization term and Estimated final payment (for balloon loans).

• This will appear highlighted for loans that are marked as a balloon or lease loan.

Use this to display the a window allowing you to select to add payment protection or insurance to this loan.

Use this to view a history of payment changes made to this loan.

Use this to view a history of payment changes made to this loan.

(Appears only for credit card loans.) To view/modify account flags such as delinquency fines and overlimit counts.

Refer to the Credit Cards User Guidefor moredetails.

(Appears only for credit card loans.) To view/modify rates for this individual credit card account.

Refer to the Credit Cards User Guidefor moredetails.

Use this to display a screen containing all credit bureau-related codes. Use this to view/modify all credit bureau reporting flags on this account, including Report to credit bureau, Credit Bureau Comments, Status, and Consumer Information Indicator.

(Appears only for credit card loans.) To perform rate maintenance on credit card with no card attached.  Requires Tier 2 security access.

Refer to the Credit Cards User Guidefor moredetails.

(Appears only for credit card loans.) Use this function to change the loan category on a credit card loan, in order to apply new configurations (ie, a new rate) to a credit card loan.

Refer to the Credit Cards User Guidefor moredetails.

(Appears only for credit card loans) Use this function to maintain a member's YTD and LTD reward dollar totals for display on the member's statement and secondary transaction description. Note that this option does not perform a member account adjustment for the actual debit/credit of reward dollars, and must be performed separately.

Refer to the Credit Card Promotion Guide for more details.

Using custom fields your credit union can create and maintain unlimited custom fields that are unique to your credit union. You define the field name as well as the rules that control what data can be entered:  dollar amounts, quantity, percentage, text, yes/no checkbox, date, or a defined list (the selections of which you will also define) on the configuration screen, then input the data on this screen and view it in the Account Inquiry screens.  Use the "Custom Fields" button to access a screen to input or view custom field data.  Learn more about Custom Data Fields.

• An exclamation point indicates that custom data has already been input for this membership.  Click the button to access a screen and view the data or input additional data.