Suspended Earnings [R0609]

 

The Suspended Earnings report [R0609] provides a suspended income listing of all leases whose earnings have been suspended.

Additionally, the Suspended Earning report can be selected to process End of Month detail in the End of Period Customization [U0212] option of the Portfolio update. The EOP process will update and display EOM detail information if selected interactively after EOM has been run.

Suspended status codes are set through the Suspended Earnings update [U0115]. This update is used to place a lease on a suspended earnings status as of the current accrued to date or a date in the past, change the status of a lease from one suspended status to another, or to remove a lease from a suspended earnings status.

When income earnings are suspended, all outstanding lease payment receivables due on or after the effective date of the earnings suspension and unbilled interest as of the effective date are transferred to suspended General Ledger accounts. Receivables due before the effective date of the earnings suspension are unaffected.

The accrual process sets up receivables in the suspended receivables G/L account (separated into principal and income portions) and income in the Suspended Income Accrued G/L account. Invoicing continues as normal. If a payment is received, the payment is allocated against principal and income in the usual manner. The amount of income paid is accumulated in a suspended income collected Master Financial (RLS) file field.

If earnings are reinstated for the account, the Suspended Income Accrued is transferred to the normal income G/L account, and the Suspended IDC Accrued is transferred to the normal expense account. If the account is charged off, the Suspended Income Collected is re-applied against the remaining principal balance or contract receivable (before the loss/amount to charge against bad debt reserve is calculated).

These are leases with the following suspended activity statuses:

NHLD Hold
NINS Non-insurance
NREC Rescission
NREP Involuntary repossession
NSET Insurance settlement
NSKP Skip
NVOL Voluntary repossession

These leases are in some transitional stage and are not currently earning income, but rather accumulating suspended income in suspended income G/ L accounts. Use the Suspended Leases report [R0602] to view additional information on suspended leases.

If a lease is removed from a suspended status using the Suspended Earnings update [U0115], the suspended earnings are automatically reinstated.

This report may also be used to view the income accumulated for discounted leases (leases in NDSC status) if the accounting unit or the lease entered for reporting is in a Lease Discounting portfolio. Refer to the Lease Discounting update [U0123] for more information.

The report may be accessed through the Collection/Tracking report menu [R06].The report is organized by Portfolio, Company, Region, Office, or by Customer, Group and may be selected interactively for: All leases

Suspended Earnings Selection

 

Suspended Earnings Report



The Suspended Earnings report [R0609] reports at the lease level and provides the following information:

 

LeasePak  Reference Guide

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