9. Collateral Management

Centralized Asset Management or Collateral Management System (CMS) enables the user to record a new collateral, evaluate it, and re-evaluate the existing collateral.

A Collateral Management System is used to minimize the frauds which involve the same collateral being pledged for different Lease and re-evaluating existing collateral manually or connecting to the VIN Interface.

The Collateral Details screen is opened from the Servicing > Servicing > Collateral Management and contains the following tab:

• Collateral
• Search

9.1 Collateral Tab

Using the Collateral screen, you can record a new collateral, view the valuation of collateral, and re-evaluate the existing collateral.

The collateral details can also be defined in the collateral screen of Application Entry screen.

The system assigns collateral statuses and the following are the statuses:

• Undefined- When the collateral is created for the first time.
• New- When an undefined collateral/ asset gets validated, its status is changed to New. This collateral can only be used for Substitution in Servicing.
• Inactive- When an application from released, sold or inventory status is attached to application it becomes Inactive.
• Active- When the application gets funded, inactive collateral gets associated with the account in Servicing and gets activated. The status of the collateral then becomes 'Active'.
• Released- The Lease collateral can move to "Released" when the collateral is no more attached to any account.
• Substituted- When collateral with the status active is replaced with different collateral, the active status is changed to substituted.

To enter the Collateral Details

1. On the application master screen, click Servicing > Servicing > Collateral Management > Collateral Details.

   

2. In this section, you can perform any of the Basic Operations mentioned in Navigation chapter.

A brief description of the fields is given below:

Field:	Do this:
Type and Description section
Collateral Type	Select the collateral type.
Primary	Select the check box if this property is the primary collateral.
Asset ID	View the asset identification number.
Asset #	View the asset number which is automatically generated.
Asset Class	Select the asset Class.
Asset Type	Select the asset type.
Sub Type	Select the asset sub type.
Registration #	Enter the vehicle registration number.
Status	View the vehicle status.
Select Make and Model	Select the Make and Model number of asset from the drop down list. You can use the search option to select the details.
Year	Specify the year of the vehicle.
Make	Specify the make of the vehicle.
Model	Specify the model of the vehicle.
Identification #	Specify the vehicle identification number.
Body	Specify the body of the vehicle.
Description	Specify the description of the asset.
Condition	Select the condition of the asset from drop-down list.
Lien Details
Lien Status	Select the type of Lien action.
Lien Event Dt	Select the lien event date from the calendar.
Second Lien Holder	Specify the name of second lien holder.
Comments	Specify additional details if any.
Lien Release Entity	Select the lien release entity from the drop-down list. The list displays the following values: - Customer - Producer - Others
Entity Name	If you have selected the lien release entity as ‘Customer’ or ‘Producer’, system automatically filters entity name list with corresponding customer accounts or producers. Select the required entity name from the drop-down list. If you have selected the lien release entity as ‘Others’ specify the entity name.
Usage Details
Start	Enter the Initial kilometers of vehicle Usage.
Base	Enter the Base kilometers of vehicle Usage.
Extra	Enter the Extra kilometers of Usage Purchased.
Total	Enter the Total kilometers of vehicle Usage.
Address section
Country	Select the country.
County	Select the county.
Address #	Specify the address number.
Address Line 1	Specify the first address line.
Address Line 2	Specify the second address line.
Zip	Select the zip code.
Zip Extn	Specify the zip extension.
City	Specify the city.
State	Select the state.

3. Perform any of the Basic Actions mentioned in Navigation chapter.
4. Click Submit.

9.1.1 Valuations Sub Tab

The Valuation sub section contains information about the value of the asset. The Values section enables you enter the value of the asset. The Addons sub tab records information about any add ons associated with the collateral.

To complete the Valuations section

1. Click Valuations section.
2. In this section, you can perform any of the Basic Operations mentioned in Navigation chapter.

A brief description of the fields is given below:

Field:	Do this:
Valuations section
Current	Select if this is the current valuation.
Valuation Dt	Specify the valuation date.
Source	Select the valuation source.
Edition	Specify the valuation edition.
Supplement	Specify the valuation supplement.
Total Value =	View the total value.
Wholesale Base	Specify the wholesale value.
Usage	Specify the usage value; that is, the monetary effect that cur­rent mileage has on the value of vehicle.
Retail Base	Specify the retail value.
Addons +	View the add-ons value.
Usage Value +	Specify the usage. This pertains to Lease and usually is entered as the current mileage on vehicle.

3. Perform any of the Basic Actions mentioned in Navigation chapter.
4. In the Addons section, you can perform any of the Basic Operations mentioned in Navigation chapter. You need to specify all the field values for every asset’s add-ons and attributes on the application.
5. A brief description of the fields is given below::

   Field:	Do this:
   Addons/Attributes	Select the add-on/attribute.
   Value	Specify the value of the attribute.
   Amt	Specify the add-on amount.

6. Perform any of the Basic Actions mentioned in Navigation chapter.

9.1.2 Tracking Sub Tab

The Tracking sub screen enables you to record further information associated with the collateral. What items you choose to track are setup during implementation.

To track attributes for the collateral

1. Click the Tracking sub tab.
2. In the Tracking Items section, click Load Details.
3. In the Tracking Items section, you can perform any of the Basic Operations mentioned in Navigation chapter.

A brief description of the fields is given below:

Field:	Do this:
Tracking Item	View the tracking type
Disposition	Select the disposition.
Start Dt	Specify the tracking start date.
End Dt	Specify the tracking end date.
Followup Dt	Specify the next follow-up date.
Enabled	Select to track the information from start date in the Start Dt field.
Comment	Specify any comments regarding the tracking item.

4. Complete the Tracking Item Details section by entering information about a parameter in the corresponding the Value field.
5. Perform any of the Basic Actions mentioned in Navigation chapter.

9.1.3 Status History Sub Tab

The Status History sub tab enables you to view the asset history of association with accounts.

To view the Status History

1. Click the Status History sub tab.
2. In the Status History section, view the following information:

   Field:	Do this:
   Account #	View the account number.
   Status	View the status of asset.
   Lien Status	View lien status of the asset.
   Line Event Date	View lien event date of the asset.
   Data Change Sta­tus	View the data change status of the asset.
   Data Change Date	View the data change date of the asset.
   Comments	View comments of the asset if any.

9.1.4 Asset Relation Sub Tab

The Asset Relation sub tab enables you to view the asset relationship.

To view the Asset Relation

1. Click the Asset Relation sub tab.
2. In the Asset Relation section, view the following information:

   Field:	Do this:
   Account #	View the account number.
   Asset #	View the asset number.
   Status	View the asset relation status.
   Current Ind	Indicates that this is the current asset.
   Primary Ind	Indicates that this asset is the primary.

9.1.5 Audit Sub Tab

The Audit sub tab enables you to view the asset relationship.

To view the Audit

1. Click the Audit sub tab
2. In the Audit section, view the following information:

   Field:	Do this:
   Account Id	View the account identification number.
   Asset Id	View the asset identification number.
   Column Name	View the column name.
   New Value	View the new value.
   Old Value	View the old value.
   Changed By	View the person name who changed the details.
   Changed Date	View the date on when the details are changed.

9.2 Search Tab

A Search screen is available on the Collateral Management System to help locate information such as an asset type, asset number, identification number, asset status, make, model, and year. This is the information that is used on the Collateral screen.

To search for a Collateral details

1. On the Oracle Financial Services Lending and Leasing Application home screen, click Servicing > Servicing > Collateral Management > Search.
2. The Collateral Management screen’s Search screen appears.

   

3. In the Search Criteria section, use the Comparison Operator and Value columns to enter the search criteria you want to use to locate a collateral.
4. Click Search. The system displays result of the search in Results screen.
5. On the Results screen, select the collateral you want to load and click Submit. The system loads the collateral details on the Collateral Details screen.