1. Metro II Data Preparation & Reporting
  2. Appendix : Purchase From or Sold to information Derivation

I Appendix : Purchase From or Sold to information Derivation

Following are the steps involved in purchasing from or sold to information derivation on an account and reporting the same in Metro II reporting file.

K2 Segment is designed to accommodate the requirement, which contains the name of the company from which an account was purchased or the name of the company to which an account was sold. It should be reported only one time per record.

Only one occurrence of the K2 Segment can be appended to the Base Segment. If not applicable, do not report the K2 Segment.

Note the following while configuring K2 segment
  • This process has to be used by banks; if the company that purchased the accounts will not report the prior history, the seller must report the accounts as sold to reflect the final status.
  • If the company that purchased the accounts is converting the account history to their system, the seller should not report the accounts as sold.
  • If the lender who sold the accounts reported them as "purchased by another company" or the history cannot be verified for the account prior to purchasing, report the following Base and K2 Segment fields as specified.
  • Reporting Base segment
    • SOLD Case: If the account's Pool status is Sold, i.e., ACC_POOL_ACC_STATUS_CD = S, the system will start reporting the K2 Segment.

      Table I-1 Reporting Base segment - SOLD case

      Field BASE Segment Reporting Values If ACC_POOL_ACC_STATUS_CD = S
      Scheduled monthly payment amount Zero
      Metro II Account status code Reports current Account Status and freezes it i.e., continue to report the same status in the subsequent cycles until pool status is in 'Sold.'
      Payment rating

      If applicable to the account status code being reported and freezes it.

      i.e., continue to report the same payment rating in the subsequent cycles until pool status is in 'Sold.'
      Special comment AH (purchased by another company)
      Current balance Zero
      Amount past due Zero
      Date of account information Date the account was sold, i.e., ACC_POOL_SALE_DT
      FCRA Compliance/Date of First Delinquency

      <existing process>

      i.e., If the account is delinquent = report the date of the first 30-day delinquency that led to the status being reported. If the account being sold is current and included in bankruptcy = report the date of the bankruptcy petition or notification.
      Date Closed Least date of ACC_POOL_SALE_DT and ACC_CLOSE_DT
      Payment History Profile

      Freezes it

      i.e., continue to report the same status in the subsequent cycles until pool status is in 'Sold.'
    • Purchase Case: If the account has Purchased Date / Name != Null, then the system will start reporting the K2 Segment along with the following base fields.

      Table I-2 Reporting Base segment - Purchase case

      Field BASE segment Reporting Values
      If ACC_ORIG_SYS_XREF != ACC_APP_NBR If ACC_ORIG_SYS_XREF = ACC_APP_NBR
      Date Opened Least value of 'Purchase Date' and 'Effective Date' <existing process>
      Date of account information

      <existing process>

      Note: bank should make sure it was reported as sold by the seller

      		<existing process>
      Payment History Profile report character B for previous months <existing process>

      Note:

      Freeze information is applicable only for SOLD. If both pieces of information are present, then the system reports as per the SOLD.