Business Processes

Prepaid Lease

Credit Bureau Extract Metro 2 Format users.

When the client makes a single payment for the full lease amount or otherwise prepays the entire lease.

LeasePak Updates/Processes

• End of Day
• U0101 Book Lease
• U0101 Quick Book Lease
• U0101 Batch Applications
• U0102 Payments
• U0239 Credit Bureau Lease/API
• U0801 Application/API
• U0462 Credit Bureau Extract

Relevant LeasePak Interface Fields

• U0801 Application, U0101 Book Lease, or corresponding API
  • "Prepaid Lease"
• U0239 Credit Bureau Lease/API
  • "Prepaid Lease"
  • "Asset(s) Return Date"
  • "Special Comment Code"

Process Overview

When the User does one of the following:

• Checks (sets to 'Y') "Prepaid lease" when creating the application through U0801 Application/API or booking the lease directly through U0101 Book Lease
• Checks (sets to 'Y') "Prepaid lease" through U0239 Credit Bureau Lease immediately after booking

And:

• Makes the initial payment (either during booking or immediately after through U0102 Payments) covering the full payment schedule and placing the excess payment in a credit memo.

Either U0101 or U0239 will set SCC to BS, indicating a prepaid lease.

End of Day will apply the credit memo automatically to each payment as it comes due. U0462 Credit Bureau Extract will report Actual Payment Amount as the full amount in the month it was paid and SMPA each month as 0. The SMPA will continue to report as 0 until the assets are turned in and "Asset(s) Return Date" is entered through U0239 Credit Bureau Lease.

As long as the credit memo continues to cover the SMPA, U0462 Credit Bureau Extract will report Account Status as 11 and Current Balance as 0.

If any extra payments are made during the normal term of the lease, U0462 Credit Bureau Extract will report those as normal cash received.

If at any point during the lease the credit memo is exhausted, normal reporting will resume for Account Status, Current Balance, Amount Past Due, and other related fields, but not for SMPA.

LeasePak User Process

To set up an account as a prepaid lease during the application/booking process:

• Use interactive U0801 Application (and book the lease), interactive U0101 Book Lease, or third-party interface via API to check (set to 'Y') "Prepaid lease"
• Use desired booking method to make the initial payment covering the full payment schedule

To set an account as a prepaid lease immediately after booking:

• Use U0239 Credit Bureau Lease to set "Prepaid lease" to 'Y' (or check/select the box)
• Use U0102 Payments to make the initial payment covering the full payment schedule

If the lease was not set up as a prepaid lease prior to booking, the User must use U0239 (and U0102 if initial payment has not been made) before the end of the current reporting period or the lease will not be reported as a prepaid lease for that period.

To indicate that the prepaid lease has reached end of term and the final obligation is being determined:

• Use interactive U0239 Credit Bureau Lease or third-party interface via API to set SCC to BB

During termination, U0103 Payoff will default SCC to BC or BD, depending on whether or not there is open AR. The User can override this through U0239 Credit Bureau Lease/API.