Reporting Scenarios
Question: When and how should Debit Cards be reported?
Answer: Debit Cards should be reported only when backed by a line of credit or overdraft protection.
Report the following Base Segment fields as specified:
Account Type Code = 43 (Debit Card)
Portfolio Type = C (Line of Credit), O (Open) or R (Revolving) depending on the terms
Highest Credit or Original Loan Amount = highest balance ever attained when the overdraft protection was used
Question: Is there a preferred method of reporting when accounts are completely or partially reaffirmed in bankruptcy?
Answer: For accounts that are completely reaffirmed in bankruptcy, report the appropriate Account Status (Field 17A) and the Consumer Information Indicator R, which states “Reaffirmation of Debt”. The Consumer Information Indicator (Base Segment Field 38 and J1/J2 Segment Field 11) should be reported for each consumer who was involved in the bankruptcy.
For accounts that are partially reaffirmed in bankruptcy, report a separate tradeline with a new Account Number for the portion of the account that is in repayment. For this new tradeline, report the Consumer Information Indicator R for each affected consumer, which states “Reaffirmation of Debt”, plus the appropriate Account Status. For that portion of the original tradeline which is still included in bankruptcy, report the appropriate Account Status (Field 17A), the appropriate Consumer Information Indicator (Base Segment Field 38 and J1/J2 Segment Field 11), and adjust the Current Balance (Field 21) accordingly.
Question: What Account Status Code should be reported with the Bankruptcy Consumer Information Indicators?
Answer: For accounts where all associated borrowers are reported with a Bankruptcy Consumer Information Indicator, report the Account Status Code that represents the status of the account just prior to notification of the bankruptcy.
For joint accounts where only one borrower files bankruptcy, report the Consumer Information Indicator (CII) set to the appropriate bankruptcy code for the borrower who filed bankruptcy. The CII for the other borrower should be blank. Continue to report the Account Status, Current Balance and all applicable fields for the account for the borrower who did not file bankruptcy.
Note: The critical piece of displayable information for the bankrupt borrower is the Consumer Information Indicator.
Question: How should a joint account be reported when one borrower filed Bankruptcy Chapter 13 and the other borrower did not?
Answer: There are two methods that are recommended when reporting joint accounts where one borrower filed Bankruptcy Chapter 13 and the other borrower did not.
If both borrowers are held to the same terms based on the Bankruptcy Chapter 13 plan, report one account. If the Terms Duration, Terms Frequency and Scheduled Monthly Payment Amount have changed, report the new values. Continue reporting the account each month with the appropriate Account Status Code.
For the borrower who filed the Bankruptcy, report Consumer Information Indicator D (Chapter 13 Petition) or H (Chapter 13 Completed). The Consumer Information Indicator for the non-filing borrower should be blank.
If the borrowers are given different terms, report two accounts. The Account Numbers must be different for the two borrowers for reporting purposes. Therefore, one of the borrowers must be terminated from the original account number. The Terms Duration, Terms Frequency and Scheduled Monthly Payment Amounts can then be different on the two accounts.
Borrower A – Report the existing account number with adjusted terms and amounts, as necessary. Continue reporting the account each month with the Account Status Code that applies to this borrower.
Borrower B – Under the original account number, report ECOA Code T to terminate this borrower from this account number. Report a second account with a different account number with the appropriate terms, amounts and Account Status that applies to this borrower.>
For the borrower who filed the Bankruptcy, report Consumer Information Indicator D (Chapter 13 Petition) or H (Chapter 13 Completed). The Consumer Information Indicator for the non-filing borrower should be blank.
Question: How should an account included in bankruptcy be reported if a “Relief from Stay” is granted to the creditor?
Answer: Report the appropriate Consumer Information Indicator for the borrower who included the account in bankruptcy (filer).
Note: Even though the creditor can pursue collection of collateral, the account is still included in bankruptcy. The reporting of the Consumer Information Indicator has no impact on the creditor's ability to collect.
Question: How should bankruptcies be reported when the consumer voluntarily surrenders the merchandise or redeems the merchandise?
Answer: When a bankruptcy is filed, the consumer can voluntarily surrender the merchandise to the creditor. In this situation, report Account Status Code 95 (Voluntary Surrender) and the appropriate Consumer Information Indicator.
The consumer also has the option to pay fair market value, thereby redeeming the merchandise. In this situation, report Account Status Code 13 (Paid/closed account), Special Comment Code AU (Account paid in full for less than the full balance), and the appropriate Consumer Information Indicator.
Question: Is there a preferred method of reporting when an account is partially charged off?
Answer: Report the original account with the appropriate Account Status for that month (e.g., Current, 30 days delinquent, 60 days delinquent) with a balance that does not include the amount charged to loss.
The charged off portion of the balance should be reported as a separate account with a new Account Number. Other pertinent fields should be reported as follows:
Date Opened = original date opened
Original Charge-off Amount = amount charged to loss
FCRA Compliance/Date of First Delinquency = date of the first delinquency in the series of delinquencies that led up to the charge-off
If the new account is subsequently charged off, both accounts would be reported as Account Status Code 97 (Charge-off), but would have different Original Charge-off Amounts.
Question: If a credit card is temporarily unavailable for use because the credit grantor is conducting an investigation, how should the account be reported?
Answer: Continue to report the account as usual.
When the investigation is complete, if it is discovered that the account was opened or used fraudulently, report Account Status Code DF to delete the account.
Otherwise, continue to report the account as usual.
Question: How should an account be reported when an auto lease is paid in full, yet there are over mileage charges, excess wear & tear charges, or other outstanding charges on the account?
Answer: When there are outstanding charges, continue to report the account with Special Comment Code BD (Full Termination, Balance Owing) and Account Status Code 11, 71, 78, 80, 82, 83, 84 or 93. Do not change the Original Loan Amount, but add the outstanding charges to the Current Balance and Amount Past Due, if appropriate. When all outstanding charges have been paid in full, report Account Status Code 13 or 62, as applicable.
Even though the lease contract is terminated and all regular payments have been made in full, the account should not be reported as paid (Account Status Code 13) because there are other outstanding charges and the Current Balance is not yet zero. The fact that the lease is terminated is reported through the Special Comment BD.
If the fees are not paid and the outstanding amount is charged off, report Account Status Code 97 (Unpaid balance reported as a loss – charge-off).
Question: How should settled accounts be reported?
Answer: Report the following Base Segment fields as specified:
Account Status Code = 13 or 61-65, as applicable
Payment Rating = required when the Account Status Code is 13 or 65. Blank fill for Account Status Codes 61-64
Special Comment = AU (Account paid in full for less than the full balance)
Current Balance and Amount Past Due = zero
Question: How should a paid in full, closed account be reported?
Answer: Report the following Base Segment fields as specified:
Account Status Code = 13 or 61-65, as applicable
Payment Rating = required when the Account Status Code is 13 or 65. Blank fill for Account Status Codes 61-64
Current Balance and Amount Past Due = zero
Date Closed = the date the account was paid in full
Question: How should a closed account be reported that has an outstanding balance?
Answer: For Revolving, Open and Line of Credit accounts only, report the following Base Segment fields as specified:
Portfolio Type = R (Revolving), O (Open) or C (Line of Credit) depending on the terms
Account Status Code = 11, 71, 78, 80, 82-84, as applicable
Compliance Condition Code = if account closed at consumer’s request, report the appropriate code XA, XD, XE or XJ,
OR
Special Comment Code = M, if account closed by credit grantor
Current Balance = the outstanding balance amount as of the Date of Account Information
Amount Past Due = required when the Account Status Code is 71, 78, 80, 82-84
Date Closed = the date the account was closed Note: Do not report an account as closed by credit grantor and closed at consumer’s request. Only one closed code can apply.
Question: How long should paid accounts (Account Status Codes 13, 61-65) continue to be reported?
Answer: Use the following guidelines if paid accounts are re-reported:
Freeze the Payment History Profile and Date of Account Information as of the date the account was paid
Do not re-report paid accounts for more than three months.
Question: How should a refinanced/renewed loan be reported?
Answer: There are three options for reporting:
If the original Account Number and Date Opened are retained, modify the amounts and terms as per the refinanced agreement. Fields that may be changed include Original Loan Amount, Terms Duration, Terms Frequency, Scheduled Monthly Payment Amount and Current Balance. A notation that the loan has been refinanced/renewed is not needed.
If the original Account Number changes and the Date Opened remains the same, follow the above reporting guideline, and include an L1 Segment with the new Account Number. Refer to the L1 Segment specifications within the Field Definitions for reporting guidelines.
If the Date Opened changes, report the old loan as specified:
Account Status Code = 13 (Paid)
Payment Rating = the appropriate code that identifies the status of the account within the activity period being reported
Special Comment = AS (Account closed due to refinance)
Current Balance and Amount Past Due = zero
Report the newly refinanced/renewed loan with the new Date Opened and all other applicable fields. Payment history that occurred prior to the new Date Opened should not be reported with this account.
Question: How should lost or stolen credit cards be reported?
Answer: There are two options for reporting:
Preferred Option: Report the L1 Segment to change the Account Number. Use of the L1 Segment allows the consumer reporting agencies to retain all prior account history.
If the payment history is invalid due to the credit card being lost or stolen, use the Payment History Profile (Field 18) to correct the history. If accurate payment history is not known during the time frame when the credit card was lost or stolen, report value D for months that are unknown in the Payment History Profile. For example:
Date of Account Information = 09/15/2006
Account History = Always current
Unknown Months of History = July and August 2006
Payment History Profile = DD0000000000000000000000
Report Special Comment Code BL (Credit card lost or stolen) and the appropriate Account Status Code. Do not report this account on subsequent updates.
If the payment history is invalid due to the credit card being lost or stolen, use the Payment History Profile (Field 18) to correct the history. If accurate payment history is not known during the time frame when the credit card was lost or stolen, report value D for months that are unknown in the Payment History Profile. For example:
Date of Account Information = 09/15/2006
Account History = Always current
Unknown Months of History = July and August 2006
Payment History Profile = DD0000000000000000000000
If opening another account, report the new credit card as a separate account with a new Account Number, the same Date Opened as the lost/stolen account, and the appropriate Account Status Code and Current Balance.
Question: How should deferred loans be reported?
Answer: Report the following Base Segment fields as specified:
Terms Duration = blank
Terms Frequency = D (Deferred)
Account Status Code = 11 (Current account)
Highest Credit or Original Loan Amount = the total amount borrowed
Current Balance = the total amount borrowed minus any payments which have been made
Scheduled Monthly Payment Amount = zero
Amount Past Due = zero
Payment History Profile = Use Character B to indicate accounts which have never been in repayment. Use Character D to indicate accounts that were previously in repayment but are now deferred.
In the K4 Segment, report the Specialized Payment Indicator 02 for Deferred Payment. Also, report the Deferred Payment Start Date as the date the first payment will be due.
Question: How should accounts that have been sold to another lender be reported?
Answer: Report the following Base and K2 Segment fields as specified:
Account Status Code = 05 (Transferred account) or the appropriate code that specifies the status of the account prior to the sale
Payment Rating = if applicable to the Account Status Code being reported
Special Comment = AH (Purchased by another lender)
Current Balance and Amount Past Due = zero
FCRA Compliance/Date of First Delinquency = if the account is delinquent at the time of sale, report the date of the first delinquency
Date Closed = date the account was sold to the other lender
K2 Segment Portfolio Indicator = 2 and Sold To Name = name of company to which the account was sold
Additionally, if the account is delinquent or derogatory, it is imperative that you provide the date of the first delinquency that led to the account being sold to the debt purchaser.
Question: How are “payment reversal” transactions handled when reporting Date of Last Payment, Date of First Delinquency, Payment History Profile and Actual Payment Amount?
Answer: A “payment reversal” transaction usually occurs when a check is returned for non-payment to the credit grantor. If the change is made in the following month’s reporting cycle, the following adjustments should be made:
The Date of Last Payment should be adjusted to indicate the date of the last payment made that was not reversed
The FCRA Compliance/Date of First Delinquency (DOFD) should reflect the first time the consumer was 30 days past the due date that led to the status being reported. The DOFD would change to the month of the returned check if that had been the first time the consumer was 30 days past the due date
The Payment History Profile should reflect the appropriate delinquency in the first position, which reflects the previous month’s payment activity (e.g., 1 if the returned check resulted in the account being 30-59 days past the due date that month)
The Actual Payment Amount reflects the payment received for this reporting period. If no payment was received for this reporting period, this amount should be zero
Question: Consumer loans may have multiple payment schedules, which may each have different payment frequencies (e.g., principal amount due annually and interest amount due monthly). How should these loans be reported?
Answer: Report only one tradeline.
The Terms Frequency should reflect the most frequent payment schedule. For example, if the principal is due annually and the interest amount is due monthly, report Terms Frequency M (Monthly)
The Scheduled Monthly Payment Amount should reflect the minimum amount due each month and may change when the principal amount is also due.
In months where only the interest payment is due, report Special Comment Code BT (Principal deferred/interest payment only). In months where both principal and interest payments are due, the Special Comment Code BT should not be reported.
Question: How should credit cards that have both revolving and open terms be reported?
Answer: Report the following Base Segment fields as specified:
Account Type Code = 0G (Flexible Spending Credit Card)
Portfolio Type = R (Revolving)
Credit Limit = the valid credit limit for the revolving portion of the account
Highest Credit or Original Loan Amount = the highest balance ever attained
Terms Duration = REV
Scheduled Monthly Payment Amount = the minimum amount due based on the revolving balance, plus the total flexible amount
Current Balance = the sum of total dollars owed, including revolving and flexible amounts
Amount Past Due = the portion of the Scheduled Monthly Payment Amount based on the revolving and flexible amounts that is past the due date. (Do not include the current month’s amount due in this field.)
Example: A consumer has a credit card on which a $10,000 credit limit is considered revolving, with a minimum due calculated as a small percentage of the revolving balance. Additionally, the consumer has no preset spending limit and the balance amount over $10,000 must be paid in full each month. The current balance is $12,000. The minimum due is 3% of $10,000 plus the balance over the revolving amount ($2,000). The Scheduled Monthly Payment Amount is $2,300.
Question: How should the different stages of foreclosure be reported?
Answer: Use the following guidelines:
Potential Foreclosure – No specific code is available with this designation. Continue reporting the correct Account Status Code that defines the current condition of the account. For example, status 82 represents 120 days delinquent or status 84 represents 180 days delinquent.
Foreclosure Started – Special Comment Code BO can be used, which specifically says “Foreclosure proceedings started”. This special comment should be reported each month as long as the comment applies. The appropriate Account Status Code should be reported in conjunction with this special comment, such as status 82 for 120 days delinquent.
Foreclosure Completed – Account Status Code 94 should be reported, which specifies “Foreclosure completed/collateral sold to settle defaulted mortgage”. The appropriate Payment Rating should be reported in conjunction with this Account Status.
Foreclosure Cancelled – No specific code is available for this situation. Therefore, if Special Comment Code BO had been reported, stop reporting the comment (i.e., blank out the Special Comment Code field) and the comment will be deleted from the consumer reporting agencies’ files.
Deed in Lieu – Account Status Code 89 should be reported, which specifies ‘Deed received in lieu of foreclosure on a defaulted mortgage”. The appropriate Payment Rating should be reported in conjunction with this Account Status.
Answer: Debit Cards should be reported only when backed by a line of credit or overdraft protection.
Report the following Base Segment fields as specified:
Account Type Code = 43 (Debit Card)
Portfolio Type = C (Line of Credit), O (Open) or R (Revolving) depending on the terms
Highest Credit or Original Loan Amount = highest balance ever attained when the overdraft protection was used
Question: Is there a preferred method of reporting when accounts are completely or partially reaffirmed in bankruptcy?
Answer: For accounts that are completely reaffirmed in bankruptcy, report the appropriate Account Status (Field 17A) and the Consumer Information Indicator R, which states “Reaffirmation of Debt”. The Consumer Information Indicator (Base Segment Field 38 and J1/J2 Segment Field 11) should be reported for each consumer who was involved in the bankruptcy.
For accounts that are partially reaffirmed in bankruptcy, report a separate tradeline with a new Account Number for the portion of the account that is in repayment. For this new tradeline, report the Consumer Information Indicator R for each affected consumer, which states “Reaffirmation of Debt”, plus the appropriate Account Status. For that portion of the original tradeline which is still included in bankruptcy, report the appropriate Account Status (Field 17A), the appropriate Consumer Information Indicator (Base Segment Field 38 and J1/J2 Segment Field 11), and adjust the Current Balance (Field 21) accordingly.
Question: What Account Status Code should be reported with the Bankruptcy Consumer Information Indicators?
Answer: For accounts where all associated borrowers are reported with a Bankruptcy Consumer Information Indicator, report the Account Status Code that represents the status of the account just prior to notification of the bankruptcy.
For joint accounts where only one borrower files bankruptcy, report the Consumer Information Indicator (CII) set to the appropriate bankruptcy code for the borrower who filed bankruptcy. The CII for the other borrower should be blank. Continue to report the Account Status, Current Balance and all applicable fields for the account for the borrower who did not file bankruptcy.
Note: The critical piece of displayable information for the bankrupt borrower is the Consumer Information Indicator.
Question: How should a joint account be reported when one borrower filed Bankruptcy Chapter 13 and the other borrower did not?
Answer: There are two methods that are recommended when reporting joint accounts where one borrower filed Bankruptcy Chapter 13 and the other borrower did not.
If both borrowers are held to the same terms based on the Bankruptcy Chapter 13 plan, report one account. If the Terms Duration, Terms Frequency and Scheduled Monthly Payment Amount have changed, report the new values. Continue reporting the account each month with the appropriate Account Status Code.
For the borrower who filed the Bankruptcy, report Consumer Information Indicator D (Chapter 13 Petition) or H (Chapter 13 Completed). The Consumer Information Indicator for the non-filing borrower should be blank.
If the borrowers are given different terms, report two accounts. The Account Numbers must be different for the two borrowers for reporting purposes. Therefore, one of the borrowers must be terminated from the original account number. The Terms Duration, Terms Frequency and Scheduled Monthly Payment Amounts can then be different on the two accounts.
Borrower A – Report the existing account number with adjusted terms and amounts, as necessary. Continue reporting the account each month with the Account Status Code that applies to this borrower.
Borrower B – Under the original account number, report ECOA Code T to terminate this borrower from this account number. Report a second account with a different account number with the appropriate terms, amounts and Account Status that applies to this borrower.>
For the borrower who filed the Bankruptcy, report Consumer Information Indicator D (Chapter 13 Petition) or H (Chapter 13 Completed). The Consumer Information Indicator for the non-filing borrower should be blank.
Question: How should an account included in bankruptcy be reported if a “Relief from Stay” is granted to the creditor?
Answer: Report the appropriate Consumer Information Indicator for the borrower who included the account in bankruptcy (filer).
Note: Even though the creditor can pursue collection of collateral, the account is still included in bankruptcy. The reporting of the Consumer Information Indicator has no impact on the creditor's ability to collect.
Question: How should bankruptcies be reported when the consumer voluntarily surrenders the merchandise or redeems the merchandise?
Answer: When a bankruptcy is filed, the consumer can voluntarily surrender the merchandise to the creditor. In this situation, report Account Status Code 95 (Voluntary Surrender) and the appropriate Consumer Information Indicator.
The consumer also has the option to pay fair market value, thereby redeeming the merchandise. In this situation, report Account Status Code 13 (Paid/closed account), Special Comment Code AU (Account paid in full for less than the full balance), and the appropriate Consumer Information Indicator.
Question: Is there a preferred method of reporting when an account is partially charged off?
Answer: Report the original account with the appropriate Account Status for that month (e.g., Current, 30 days delinquent, 60 days delinquent) with a balance that does not include the amount charged to loss.
The charged off portion of the balance should be reported as a separate account with a new Account Number. Other pertinent fields should be reported as follows:
Date Opened = original date opened
Original Charge-off Amount = amount charged to loss
FCRA Compliance/Date of First Delinquency = date of the first delinquency in the series of delinquencies that led up to the charge-off
If the new account is subsequently charged off, both accounts would be reported as Account Status Code 97 (Charge-off), but would have different Original Charge-off Amounts.
Question: If a credit card is temporarily unavailable for use because the credit grantor is conducting an investigation, how should the account be reported?
Answer: Continue to report the account as usual.
When the investigation is complete, if it is discovered that the account was opened or used fraudulently, report Account Status Code DF to delete the account.
Otherwise, continue to report the account as usual.
Question: How should an account be reported when an auto lease is paid in full, yet there are over mileage charges, excess wear & tear charges, or other outstanding charges on the account?
Answer: When there are outstanding charges, continue to report the account with Special Comment Code BD (Full Termination, Balance Owing) and Account Status Code 11, 71, 78, 80, 82, 83, 84 or 93. Do not change the Original Loan Amount, but add the outstanding charges to the Current Balance and Amount Past Due, if appropriate. When all outstanding charges have been paid in full, report Account Status Code 13 or 62, as applicable.
Even though the lease contract is terminated and all regular payments have been made in full, the account should not be reported as paid (Account Status Code 13) because there are other outstanding charges and the Current Balance is not yet zero. The fact that the lease is terminated is reported through the Special Comment BD.
If the fees are not paid and the outstanding amount is charged off, report Account Status Code 97 (Unpaid balance reported as a loss – charge-off).
Question: How should settled accounts be reported?
Answer: Report the following Base Segment fields as specified:
Account Status Code = 13 or 61-65, as applicable
Payment Rating = required when the Account Status Code is 13 or 65. Blank fill for Account Status Codes 61-64
Special Comment = AU (Account paid in full for less than the full balance)
Current Balance and Amount Past Due = zero
Question: How should a paid in full, closed account be reported?
Answer: Report the following Base Segment fields as specified:
Account Status Code = 13 or 61-65, as applicable
Payment Rating = required when the Account Status Code is 13 or 65. Blank fill for Account Status Codes 61-64
Current Balance and Amount Past Due = zero
Date Closed = the date the account was paid in full
Question: How should a closed account be reported that has an outstanding balance?
Answer: For Revolving, Open and Line of Credit accounts only, report the following Base Segment fields as specified:
Portfolio Type = R (Revolving), O (Open) or C (Line of Credit) depending on the terms
Account Status Code = 11, 71, 78, 80, 82-84, as applicable
Compliance Condition Code = if account closed at consumer’s request, report the appropriate code XA, XD, XE or XJ,
OR
Special Comment Code = M, if account closed by credit grantor
Current Balance = the outstanding balance amount as of the Date of Account Information
Amount Past Due = required when the Account Status Code is 71, 78, 80, 82-84
Date Closed = the date the account was closed Note: Do not report an account as closed by credit grantor and closed at consumer’s request. Only one closed code can apply.
Question: How long should paid accounts (Account Status Codes 13, 61-65) continue to be reported?
Answer: Use the following guidelines if paid accounts are re-reported:
Freeze the Payment History Profile and Date of Account Information as of the date the account was paid
Do not re-report paid accounts for more than three months.
Question: How should a refinanced/renewed loan be reported?
Answer: There are three options for reporting:
If the original Account Number and Date Opened are retained, modify the amounts and terms as per the refinanced agreement. Fields that may be changed include Original Loan Amount, Terms Duration, Terms Frequency, Scheduled Monthly Payment Amount and Current Balance. A notation that the loan has been refinanced/renewed is not needed.
If the original Account Number changes and the Date Opened remains the same, follow the above reporting guideline, and include an L1 Segment with the new Account Number. Refer to the L1 Segment specifications within the Field Definitions for reporting guidelines.
If the Date Opened changes, report the old loan as specified:
Account Status Code = 13 (Paid)
Payment Rating = the appropriate code that identifies the status of the account within the activity period being reported
Special Comment = AS (Account closed due to refinance)
Current Balance and Amount Past Due = zero
Report the newly refinanced/renewed loan with the new Date Opened and all other applicable fields. Payment history that occurred prior to the new Date Opened should not be reported with this account.
Question: How should lost or stolen credit cards be reported?
Answer: There are two options for reporting:
Preferred Option: Report the L1 Segment to change the Account Number. Use of the L1 Segment allows the consumer reporting agencies to retain all prior account history.
If the payment history is invalid due to the credit card being lost or stolen, use the Payment History Profile (Field 18) to correct the history. If accurate payment history is not known during the time frame when the credit card was lost or stolen, report value D for months that are unknown in the Payment History Profile. For example:
Date of Account Information = 09/15/2006
Account History = Always current
Unknown Months of History = July and August 2006
Payment History Profile = DD0000000000000000000000
Report Special Comment Code BL (Credit card lost or stolen) and the appropriate Account Status Code. Do not report this account on subsequent updates.
If the payment history is invalid due to the credit card being lost or stolen, use the Payment History Profile (Field 18) to correct the history. If accurate payment history is not known during the time frame when the credit card was lost or stolen, report value D for months that are unknown in the Payment History Profile. For example:
Date of Account Information = 09/15/2006
Account History = Always current
Unknown Months of History = July and August 2006
Payment History Profile = DD0000000000000000000000
If opening another account, report the new credit card as a separate account with a new Account Number, the same Date Opened as the lost/stolen account, and the appropriate Account Status Code and Current Balance.
Question: How should deferred loans be reported?
Answer: Report the following Base Segment fields as specified:
Terms Duration = blank
Terms Frequency = D (Deferred)
Account Status Code = 11 (Current account)
Highest Credit or Original Loan Amount = the total amount borrowed
Current Balance = the total amount borrowed minus any payments which have been made
Scheduled Monthly Payment Amount = zero
Amount Past Due = zero
Payment History Profile = Use Character B to indicate accounts which have never been in repayment. Use Character D to indicate accounts that were previously in repayment but are now deferred.
In the K4 Segment, report the Specialized Payment Indicator 02 for Deferred Payment. Also, report the Deferred Payment Start Date as the date the first payment will be due.
Question: How should accounts that have been sold to another lender be reported?
Answer: Report the following Base and K2 Segment fields as specified:
Account Status Code = 05 (Transferred account) or the appropriate code that specifies the status of the account prior to the sale
Payment Rating = if applicable to the Account Status Code being reported
Special Comment = AH (Purchased by another lender)
Current Balance and Amount Past Due = zero
FCRA Compliance/Date of First Delinquency = if the account is delinquent at the time of sale, report the date of the first delinquency
Date Closed = date the account was sold to the other lender
K2 Segment Portfolio Indicator = 2 and Sold To Name = name of company to which the account was sold
Additionally, if the account is delinquent or derogatory, it is imperative that you provide the date of the first delinquency that led to the account being sold to the debt purchaser.
Question: How are “payment reversal” transactions handled when reporting Date of Last Payment, Date of First Delinquency, Payment History Profile and Actual Payment Amount?
Answer: A “payment reversal” transaction usually occurs when a check is returned for non-payment to the credit grantor. If the change is made in the following month’s reporting cycle, the following adjustments should be made:
The Date of Last Payment should be adjusted to indicate the date of the last payment made that was not reversed
The FCRA Compliance/Date of First Delinquency (DOFD) should reflect the first time the consumer was 30 days past the due date that led to the status being reported. The DOFD would change to the month of the returned check if that had been the first time the consumer was 30 days past the due date
The Payment History Profile should reflect the appropriate delinquency in the first position, which reflects the previous month’s payment activity (e.g., 1 if the returned check resulted in the account being 30-59 days past the due date that month)
The Actual Payment Amount reflects the payment received for this reporting period. If no payment was received for this reporting period, this amount should be zero
Question: Consumer loans may have multiple payment schedules, which may each have different payment frequencies (e.g., principal amount due annually and interest amount due monthly). How should these loans be reported?
Answer: Report only one tradeline.
The Terms Frequency should reflect the most frequent payment schedule. For example, if the principal is due annually and the interest amount is due monthly, report Terms Frequency M (Monthly)
The Scheduled Monthly Payment Amount should reflect the minimum amount due each month and may change when the principal amount is also due.
In months where only the interest payment is due, report Special Comment Code BT (Principal deferred/interest payment only). In months where both principal and interest payments are due, the Special Comment Code BT should not be reported.
Question: How should credit cards that have both revolving and open terms be reported?
Answer: Report the following Base Segment fields as specified:
Account Type Code = 0G (Flexible Spending Credit Card)
Portfolio Type = R (Revolving)
Credit Limit = the valid credit limit for the revolving portion of the account
Highest Credit or Original Loan Amount = the highest balance ever attained
Terms Duration = REV
Scheduled Monthly Payment Amount = the minimum amount due based on the revolving balance, plus the total flexible amount
Current Balance = the sum of total dollars owed, including revolving and flexible amounts
Amount Past Due = the portion of the Scheduled Monthly Payment Amount based on the revolving and flexible amounts that is past the due date. (Do not include the current month’s amount due in this field.)
Example: A consumer has a credit card on which a $10,000 credit limit is considered revolving, with a minimum due calculated as a small percentage of the revolving balance. Additionally, the consumer has no preset spending limit and the balance amount over $10,000 must be paid in full each month. The current balance is $12,000. The minimum due is 3% of $10,000 plus the balance over the revolving amount ($2,000). The Scheduled Monthly Payment Amount is $2,300.
Question: How should the different stages of foreclosure be reported?
Answer: Use the following guidelines:
Potential Foreclosure – No specific code is available with this designation. Continue reporting the correct Account Status Code that defines the current condition of the account. For example, status 82 represents 120 days delinquent or status 84 represents 180 days delinquent.
Foreclosure Started – Special Comment Code BO can be used, which specifically says “Foreclosure proceedings started”. This special comment should be reported each month as long as the comment applies. The appropriate Account Status Code should be reported in conjunction with this special comment, such as status 82 for 120 days delinquent.
Foreclosure Completed – Account Status Code 94 should be reported, which specifies “Foreclosure completed/collateral sold to settle defaulted mortgage”. The appropriate Payment Rating should be reported in conjunction with this Account Status.
Foreclosure Cancelled – No specific code is available for this situation. Therefore, if Special Comment Code BO had been reported, stop reporting the comment (i.e., blank out the Special Comment Code field) and the comment will be deleted from the consumer reporting agencies’ files.
Deed in Lieu – Account Status Code 89 should be reported, which specifies ‘Deed received in lieu of foreclosure on a defaulted mortgage”. The appropriate Payment Rating should be reported in conjunction with this Account Status.