Decoding Loan status

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benaj
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Decoding Loan status Mar 29, 2019 10:28:52 GMT

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Post by benaj on Mar 29, 2019 10:28:52 GMT

I was a bit late to learn this, but this might be useful to others.

Live - Last scheduled payment received and awaiting next repayment
Processing - unsuccessful attempts?
Late - Borrower missed Last scheduled payment over 30 days??
Bad debt - Loan has been declared to defaulted status, overdue more than 60 days and handled by Collections & Recoveries team???

Stonk

Stonking

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Decoding Loan status Mar 29, 2019 12:11:26 GMT benaj and Ace like this

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Post by Stonk on Mar 29, 2019 12:11:26 GMT

Live - All payments are up to date.

Processing - A single payment is overdue, but so far only one attempt has been made to collect the Direct Debit. A second attempt at the DD is in progress, which will take up to 5 working days. If successful, the status goes back to Live. If the second attempt fails, then it becomes Late.

Note: Processing also occurs when there is anything remotely unusual with the calendar (e.g., a bank holiday or a short February). It's FC's way of saying "crikey, we didn't see that coming and we haven't requested the DD in time".

Late - One or more payments are overdue, despite making second attempts to collect them.

Bad debt - Defaulted. Usually this is because it is Late by >90 days, but there are other possible reasons.

Last Edit: Mar 29, 2019 12:13:30 GMT by Stonk

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