TCP 24011 – Credit Card Setup Guide

Cards Cards TCP 24011 - Credit Card Setup Guide

Summary

This guide provides a detailed overview of all basic configuration items required for Credit Card (CC) setup within the FLEX system. It is intended for technical users and administrators of the FLEX system.

Tools Checklist

To ensure a smooth credit card conversion and setup, the following tools and preliminary configurations are essential:

  • Access to the Client Solutions application.
  • A comprehensive Credit Card Configuration Checklist.

Pre-Configuration Verification

Before proceeding with the detailed setup, verify the following critical configurations within the FLEX system:

1. Security Code Verification

  • Purpose: Ensure appropriate security codes are set up for credit cards.
  • Navigation:
    • From the main FLEX menu, input GO LOANS.
    • Select option 9.
  • Verification Steps:
    • Use PgDn and PgUp to navigate between pages.
    • Use TAB to navigate between options.
    • Input S and press ENTER to select and view an option.
    • Verify the existence and correctness of the security codes.

2. Purpose Code Setup/Verification

  • Purpose: Confirm that an appropriate purpose code is set up for credit card conversion.
  • Navigation:
    • From the main FLEX menu, input GO LOANS.
    • Select option 10.
  • Verification Steps:
    • Use PgDn and PgUp to navigate between pages.
    • Use TAB to navigate between options.
    • Input S and press ENTER to select and view an option.
    • Verify the purpose code.

3. Late Charge Verification

  • Purpose: Verify any applicable late charges are configured for credit card conversion.
  • Navigation:
    • From the main FLEX menu, input GO CNFIG2.
    • Select option 2.
  • Verification Steps:
    • Use PgDn and PgUp to navigate between pages.
    • Use TAB to navigate between options.
    • Input S and press ENTER to select and view an option.
    • Verify the late charge configurations.

4. Loan Type Configuration Verification

  • Purpose: Confirm a loan code exists for the credit card product.
  • Navigation:
    • From the main FLEX menu, input GO CONFIG.
    • Select option 2.
  • Verification Steps:
    • Use PgDn and PgUp to navigate between pages.
    • Use TAB to navigate between options.
    • Input S and press ENTER to select and view an option.
    • Crucially, verify that the loan code has a V in the Group code field. This ensures automatic loading into the credit cards menu.

5. Suffix Range Verification

  • Purpose: Ensure a suffix range is defined for the new credit card loan type.
  • Navigation:
    • From the main FLEX menu, input GO CONFIG.
    • Select option 6.
  • Verification Steps:
    • Use PgDn and PgUp to navigate between pages.
    • Use TAB to navigate between options.
    • Input S and press ENTER to select and view an option.
    • Verify the suffix range.

6. Card Type Verification

  • Purpose: Verify card types are set up for new credit card BINs.
  • Navigation:
    • From the main FLEX menu, input GO CDCFG.
    • Select option 4.
  • Verification Steps:
    • Use PgDn and PgUp to navigate between pages.
    • Use TAB to navigate between options.
    • Input S and press ENTER to select and view an option.
    • Verify the card types.

7. Overlimit and Delinquency Notice Verification

  • Purpose: Confirm configurations for overlimit and delinquency notices.
  • Navigation:
    • From the main FLEX menu, input GO MANAGE.
  • Verification Steps:
    • Verify option 8 for Overlimit notices.
    • Verify option 9 for Delinquency notices.

8. Statement Groups for Corporate Cards

  • Purpose: Configure statement groups for corporate loans (if applicable).
  • Navigation:
    • From the main FLEX menu, input GO CCCFG.
  • Verification Steps:
    • Control Parameters (Option 13):
      • Use PgDn to navigate to the second page of configuration.
      • Verify that Activate Corporate Grouping is set to Y if corporate cards are in use.
    • Corporate Statement Groups (Option 16):
      • Verify the existence of the Group Number.
      • Ensure the Activity Flag is set to Y.

Detailed Configuration: Maintain Categories

This section details the configuration for various credit card categories. To access these screens, input GO CC from the main FLEX menu, then select option 13 and then option 1.

1. Maintain Categories: 01 – Purchases

  • Access: Input S and press ENTER on category 01 – Purchases.
  • Finance Charges:
    • Grace Days: Number of days following a payment’s due date before charges can accrue. Typically a minimum of 21 days.
  • Payments:
    • Payment Priority:
      • S: Statement balance is used.
      • P: Current payoff amount is used.
    • Exclude From Required Pmt: (Configuration details not provided in source, typically a Y/N field).
  • Advance Fee:
    • Fee Code:
      • N: No fee collected.
      • P: Fee based on the percentage entered below.
      • F: A fixed fee is assessed as set below.
      • C: The fee code from the category is used.
    • Fixed Amount: Only used if F is selected for Fee Code.
    • Fee Percentage: Only used if P is selected for Fee Code.
    • Minimum Fee: Set the minimum fee amount.
    • Maximum Fee: Set the maximum fee amount.
  • Credit Limit:
    • Exclude From Limit: Set to Y.
  • Defaults:
    • Category Interest Rate: Only one default can be entered. If multiple credit cards have different interest rates, these must be manually entered per credit card loan.
    • Bonus: (Configuration details not provided in source).
    • Advance Fee Code: Sets the default options for Fee Code as outlined above.
    • Variable Rate Group: Not applicable for fixed-rate products. Group codes are pulled from GO CNFIG2 option 6.
  • Expiration (For Promotional Rates):
    • Date/Calculation: Input the date of change or the method for calculating the change date.
    • Action: Always set to C (change category) due to regulatory changes.
    • New Category: Input the new category the card will be classified into when the promotional rate expires.
    • New Rate: Not used and should be left at zero/as is, due to regulatory changes.
  • Delinquency:
    • Maximum Days Delinquent: Input the maximum number of days a card can be delinquent before recategorization.
    • Action: Always set to C (change category) due to regulatory changes.
    • New Category: Input the new category the card will be classified into when it passes the delinquency period.
    • New Rate: Not used and should be left at zero/as is, due to regulatory changes.

2. Maintain Categories: 02 – Cash Advance

  • Access: Use TAB to navigate to category 02 – Cash Advance, input S and press ENTER.
  • Configuration: The fields and their definitions for “Cash Advance” are identical to those for “Purchases” (Category 01) as detailed above. Refer to the “Maintain Categories: 01 – Purchases” section for specific field configurations (Grace Days, Payment Priority, Fee Code, etc.).

3. Maintain Categories: 99 – Dispute

  • Access: Use TAB to navigate to category 99 – Dispute, input S and press ENTER.
  • Note: Much of the information in this category may not be directly applicable, as it exists for transactions under review to prevent them from impacting limits/payments until resolved.
  • Configuration: The fields and their definitions for “Dispute” are largely identical to those for “Purchases” (Category 01) as detailed above, with one key difference:
    • Category Interest Rate: This should likely be 0.00, as items in this category are under dispute.
  • Refer to the “Maintain Categories: 01 – Purchases” section for specific field configurations (Grace Days, Payment Priority, Fee Code, etc.), keeping the interest rate note in mind.

Note: The client may desire other categories besides Payments, Cash Advances, and Disputes. New categories can be added as desired (or repurposed if one of these is not needed), following the same steps as outlined above.

Detailed Configuration: Maintain Credit Card Loan Type

Credit Card loan codes must be pre-configured as per the “Loan Type Configuration Verification” section.

  • Access: To access the Maintain Credit Card Loan Types screens, input GO CC from the main FLEX menu, select option 13 and then option 2.
  • Selection: Use TAB to navigate to the desired loan type, input S and press ENTER to access loan type configuration.

Loan Type Configuration Fields:

  • Finance Charges:
    • Minimum Balance: The minimum balance above which finance charges can be assessed.
    • Minimum Charge: The minimum finance charge that can be assessed.
  • Late Charges:
    • Category: This is the late charge category code verified in “Late Charge Verification”.
    • Reduce Fee To Payment Amount: Can be set to Y. (Further details on its function are not provided in the source).
    • Repeated Violation Alternate Fee: (Configuration details not provided in source).
    • Violation Frequency and Term: The number of times a cardholder can make a late payment over a given term in months.
    • Alternate Late Charge Method: (Configuration details not provided in source).
  • Miscellaneous Control:
    • Payment Sequence Code: (Configuration details not provided in source).
    • Default Debit Category: (Configuration details not provided in source).
  • Annual Fee:
    • G.L.: The general ledger account where annual fees will be posted.
    • Category: (Configuration details not provided in source).
  • Overlimit Fee Control:
    • Fee Code:
      • F: Fixed amount.
      • P: Percentage of the overlimit amount.
      • N: No overlimit fee.
    • Fee Percentage: If Fee Code is P, use this to set the percentage amount for the fee.
    • Minimum Fee: If Fee Code is P, use this to set the minimum fee amount to charge.
    • Maximum Fee: If Fee Code is P, use this to set the maximum fee amount to charge.
    • Grace Amount: (Configuration details not provided in source).
    • Grace Percentage: (Configuration details not provided in source).
    • Adjust Payment: (Configuration details not provided in source).
    • Reduce Fee to Overage: (Configuration details not provided in source).
    • Category: (Configuration details not provided in source).
    • Repeated Violation Alternate Fee: (Configuration details not provided in source).
    • Violation Frequency and Term: The number of times a cardholder can make a late payment over a given term in months.
    • Fee Code (Repeated Violation):
      • F: Fixed amount.
      • P: Percentage of the overlimit amount.
      • N: No overlimit fee.
    • Fee Percentage (Repeated Violation): If Fee Code is P, use this to set the percentage amount for the fee.
    • Minimum Fee (Repeated Violation): If Fee Code is P, use this to set the minimum fee amount to charge.
    • Maximum Fee (Repeated Violation): If Fee Code is P, use this to set the maximum fee amount to charge.

Default Categories Setup

After selecting a loan code from the “Maintain Credit Card Loan Types” screen (as outlined above), press F9 to access the Credit Card Loan Category List.

  • Selection: Input I on the Opt column for desired categories.
  • Navigation: Use TAB to navigate between categories.
  • Confirmation: Press ENTER when finished.