In-House Credit Cards – Maintenance

Lending Lending In-House Credit Cards - Maintenance

1. Introduction

This document provides technical guidance on performing maintenance tasks for In-House Credit Cards within the FLEX system. This includes managing category transfers, maintaining loan categories, increasing credit limits, configuring delinquent notices, and generating various credit card reports.

2. Category Transfer

Category Transfers allow credit unions to perform balance transfers or manually correct transactions that have been posted to the wrong category.

2.1. Initiating a Category Transfer

  1. In Transaction Entry/Inquiry, right-click on the credit card.
  2. Select Category Transfer.

2.2. Performing a Category Transfer

  1. On the “Category Transfer” screen, select the category to Transfer From and the category to Transfer To.
  2. Enter the Amount and a Description.
  3. For corrections, the Effective Date should be the same as the transaction date or the last billing cycle date. This date is crucial as it will affect interest calculations.

3. Loan Maintenance – Credit Card Info

Maintenance for credit card loans can also be performed directly through Loan Maintenance.

3.1. Accessing Credit Card Info in Loan Maintenance

  1. Navigate to Loan Maintenance.
  2. Select the relevant credit card loan.
  3. Navigate to the Credit Card Info tab.

3.2. Category Maintenance

Within the “Credit Card Info” tab, categories can be maintained, added, or deleted.

  • The screen displays a list of categories associated with the loan, including Account Number, Suffix, Category, Description, Current Balance, and Date Opened.
  • Add: Adds a new category.
  • Edit: Edits an existing category.
  • Delete: Deletes a category.

3.3. EOP Amounts

  • EOP Amounts (End of Period Amounts) may also be viewed and edited from this section.

4. Increase Credit Limit

This option is designed to periodically increase credit card limits for loans that meet specific criteria.

4.1. Accessing Increase Credit Limit

Increase Credit Limit is found under Cards and Credit Cards in the FLEX Main Menu:

  1. Navigate to Cards.
  2. Expand Credit Cards.
  3. Select Increase Credit Limit.

4.2. Credit Card Loan Limit Increase Parameters (FS30505)

This screen allows you to configure the parameters for automatic credit limit increases.

  • Update File Y/N?:
    • N: Prints a worksheet only for review. FLEX recommends running a worksheet first.
    • Y: Updates accounts with the credit limit increase.
  • Increase the (H)igher or (L)ower of the $ or %: Indicates whether to increase by the higher or lower of the amount or percentage entered.
  • Min/Max Increase Amount (If Percent Used): Enter the minimum and maximum amounts by which the credit limit can be increased if a percentage is used.
  • Round To Nearest (If Percent Used): Enter the amount to which the credit limit should be rounded if a percentage is used for the increase.
  • Maximum Credit Limit: Enter the absolute maximum amount the credit limit can be increased to.
  • Print Notices Y/N?: Indicates whether to print Credit Limit Increase notices.
  • Printer ID: (Field for printer selection, not detailed in provided document).

4.3. Bypass Loans With (Exclusion Criteria)

Users can bypass certain loans from receiving a credit limit increase based on the following criteria:

  • Late Fees This/Last Year Greater Than $: Enter the amount of late fees charged within the last year that will prevent an increase.
  • Existing Credit Limit Less Than/Greater Than $: Enter a specific amount. Loans with an existing credit limit less than or greater than this amount will be considered/bypassed.
  • Credit Limit Increase Within Last (XXX) Days: Enter the number of days that must have passed since the last credit limit increase.
  • No Activity Within Last (XXX) Days: Enter the number of days the credit card loan has been inactive.
  • Check Delinquent Counters: Indicate whether to consider delinquency counters when determining an increase.
  • Account Open Less than (XXX) Months: Enter the minimum number of months the account must be open.
  • Loan Open Less than (XXX) Months: Enter the minimum number of months the loan must be open.
  • Credit Scores Less than (XXXXX): Enter the minimum credit score required.
  • Members Less Than (XXX) Years Old: Enter the minimum age requirement for members.

4.4. Include Loans With (Inclusion Criteria)

  • New Card Issue Expected Within Next (XXX) Days: Enter the number of days before the next new card issue.
  • Category (XX) with Variable Rate Group (X): Enter a specific category and loan rate group to be included in the credit limit increase.

5. Credit Card Delinquent Notice Maintenance

This program defines system-generated delinquent notices for credit card loans.

5.1. Accessing Credit Card Delinquent Notice Maintenance

Credit Card Delinquent Notice Maintenance is found under Collections/Configuration in the FLEX Main Menu:

  1. Navigate to Collections.
  2. Expand Configuration.
  3. Select Credit Card Delinquent Notice Maintenance.

5.2. Functionality Overview

  • System-generated delinquent notices are produced as soon as a loan meets defined delinquent bracket parameters.
  • Up to 9 brackets can be defined, each with customizable verbiage.
  • The program is often set up to run daily, generating a notice as soon as a loan reaches the next bracket.
  • Once a notice for a bracket is generated, another notice will not be generated for that loan unless it reaches the next bracket level.
  • If a loan is paid current and then becomes delinquent again, the bracket count resets.

5.3. Bracket Parameters

  • Additional Notice Designation: Designates the title for any additional notices.
  • Bracket: Indicates the bracket level (1-9).
  • From Day/To Day: Defines the number of days delinquent a loan must be for a notice of that bracket to be generated.
  • Print: If checked, notices for that bracket will generate.
  • Repeat: If checked, the notice can be reprinted for that bracket.
  • Co-Maker: If checked and a co-maker is associated with the delinquent loan, an additional notice will generate for the co-maker (unless the individual co-maker flag for notices is unchecked).

5.4. Editing a Notice Bracket

Highlight a bracket and click Edit to view or modify its parameters.

  • Bracket: Displays the bracket level.
  • From Day/To Day: Displays the delinquency day range.
  • Print, Repeat, Co-Maker: Same functionality as above.
  • Notice Pointer:
    • The notice pointer indicates which notice was last sent to the member.
    • When changes are made to any brackets, the pointer is automatically reset, causing a new notice for that changed bracket to be generated.
    • Uncheck the “Update Notice Pointer” box if notices should not be regenerated for loans that have already received the notice.
  • Delinquency Message: Up to three lines (79 characters each) are available to input verbiage for the delinquent notice. The member’s name, address, and loan information will also appear.

6. Credit Card Reports

The FLEX system offers several Credit Card Reports, accessible on demand from the Credit Cards Report menu. Some reports are also automatically generated during the Credit Card Billing Cycle process.

  • Credit Card Loan Listing: Lists all credit card loans, including account numbers, suffixes, loan, interest, and category balances, and interest rates.
  • Credit Card Loans W/O Cards: Lists credit card loans without a card record, including loan types, balances, and information about blocked cards/reasons.
  • Delinquency Tracking Report: Creates a report of delinquency tracked loans, including the last delinquency date and number of days since.
  • Negative Balance Categories: Shows all credit card loan categories with a negative (credit) balance, listing account numbers, suffixes, category descriptions, and loan/category balances.
  • New Credit Card Loan Listing: Shows new credit card loans within a specific date range, listing account number, member name, credit limit, current balance, open date, loan officer, and loan type.
  • Unallocated Transactions: Shows credit card loans with unallocated transactions (posted but system is unsure which category to affect), listing account number, transaction reference number, amount, allocated/unallocated amount, and history sequence number.
  • Unbalanced Loans: Shows credit card loans with unbalanced transactions (posted to category side but not loan side, or vice versa), listing account numbers, loan balance, category balance, and the difference.

7. Confidentiality Notice

This document is published by Computer Marketing Corporation/FLEX and is intended solely for its contracted clients. It may contain information that is privileged, confidential, or otherwise protected from disclosure. Dissemination, distribution, or copying of this document and any accompanying attached information by someone other than the intended recipient(s), or an employee or agent acting on behalf of the intended recipient, is strictly prohibited.