Voluntary Surrender
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Voluntary Surrender

Business Processes

Voluntary Surrender

Credit Bureau Reporting symbol Credit Bureau Extract Metro 2 Format users.

When the client voluntarily surrenders to the creditor the vehicle on a lease.

LeasePak Updates/Processes

  • U0102 Payments
  • U0103 Payoff
  • U0105 Assessment
  • U0115 Suspended Earnings
  • U0239 Credit Bureau Lease/API
  • U0709 Activity Status/Substatus
  • U0462 Credit Bureau Extract

Relevant LeasePak Interface Fields

  • U0115 Suspended Earnings
    • "Activity Status"
    • "Effective Date"
  • U0239 Credit Bureau Lease/API
    • "Special Comment Code"
  • U0709 Activity Status/Substatus
    • "Activity Status"
    • "Activity Substatus"
    • "Processing task"
Metro 2 Impacted Fields Relevant Code Values
Account Status – LP will report 95 per U0709 Activity Status/Substatus rules, or U0462 Credit Bureau Extract will use 61 for 'NCVL' leases if no open AR 95 – Voluntary Surrender; may be balance due
61 – Account paid in full, was voluntary surrender
Date of First Delinquency – LP will check for existing DOFD and use if it exists. If DOFD blank, LP will check for days delinquent > 29. If so, LP will calculate the DOFD as Today - rls.days_delq_l + 30. Else LP will use date of last activity status change (rls.d_act_s). If DOFD is frozen, the frozen value will override the calculation and LP will use the frozen DOFD as long as it is not blank N/A
Payment History Profile – LP will report J J – Voluntary Surrender
Special Comment Code – User sets to AU or AO AU – Account paid in full for less than the full balance
AO – Redeemed or reinstated voluntary surrender

Process Overview

When the User:

  • Creates rules in U0709 Activity Status/Substatus for Activity Statuses 'HVOL', 'NVOL', and 'NCVL' to reflect reporting requirements for voluntary surrender
  • Uses U0115 Suspended Earnings to move a lease to status 'HVOL' or 'NVOL' and enters an Effective Date

LP will set Account Status to 95. U0115 will also compare any existing frozen DOFD to the status change Effective Date, use the earlier of the two, and freeze.

If the user subsequently changes the Activity Status through U0115 to anything other than 'HVOL', 'NVOL', or 'NCVL', LP will check the U0709 Activity Status/Substatus settings (and any other conditions that might require DOFD to remain frozen) before clearing DOFD.

Before reporting Account Status 95 for a lease with Activity Status 'NCVL', U0462 Credit Bureau Extract will check to see if there is open AR for the lease. If not, U0462 will instead report Account Status 61.

For settled accounts, the User is responsible for paying or waiving any open AR and setting SCC to AU through U0239 Credit Bureau Lease/API.

LeasePak User Process

To set up reporting for voluntary surrender:

  • Use U0709 Activity Status/Substatus to create a combination of "Activity Status" 'HVOL' and empty "Activity Substatus". For this combination, set:
    • "Account Status" = 95
  • And the following "Processing task":
    • Freeze CB Date of First Delinquency
  • Repeat these steps for "Activity Status" 'NVOL' and "Activity Status" 'NCVL'

To indicate that a lease is a voluntary surrender:

  • Obtain a return/grounding date for the vehicle or repossessed equipment
  • Use U0115 Suspended Earnings to set "Activity Status" to 'HVOL' or 'NVOL' and enter an Effective Date (return/grounding or other applicable date)

To redeem or reinstate a lease in voluntary surrender:

  • Use U0115 Suspended Earnings to set "Activity Status" to an 'A***' active status
  • Use interactive U0239 Credit Bureau Lease or third-party interface via API to set SCC to AO

To settle a voluntary surrender lease:

  • Use U0103 Payoff to terminate lease (this will change Activity Status to 'NCVL')
  • Use U0102 Payments to pay or U0105 Assessment to waive any open AR
  • Use interactive U0239 Credit Bureau Lease or third-party interface via API to set SCC to AU