Loans > Loan Screens > Account Information Screen Group > Account Detail Screen > Late/NSF tab > Late Charges field group

There are three Notice Type fields: Notice 1 Type, Notice 2 Type, and Notice 3 Type. These fields relate to the corresponding Notice Days fields, which are Notice 1 Days, Notice 2 Days, and Notice 3 Days.

The notice type displayed in a Notice Type field will be sent on the number of days after the Due Date indicated in the corresponding Notice Days field. For example, the notice type displayed in Notice 1 Type will be sent to the borrower on the 10th day after the Due Date if "10" is displayed in Notice 1 Days. The notice type displayed in Notice 2 Type will be sent to the borrower on the 15th day after the Due Date if "15" is displayed in Notice 2 Days. The notice type displayed in Notice 3 Type will be sent to the borrower on the 25th day after the Due Date if "25" is displayed in Notice 3 Days.

Tip: You should take into account Grace Days and make sure the Notice Days field is after the number of Grace Days. The system does not take into account the Grace Days automatically when sending out late notices. The system creates the late notices according to the number entered in the Notice Days field and the Due Date on the loan. For example, if the loan's Due Date is 05/01, Grace Days is "15," and you want to send out late notices starting two days after Grace Days, you should enter "17" in the Notice Days field.

Notices are run on a daily basis to allow any number of days after the Due Date for the notice to be generated. Any number of days past the Due Date can be placed with any form. These fields are user-entered and can be file maintained.

All the notices set up will be generated for the month if the payment is missed for that month. If next month's payment is also missed, the late notices for that month will reflect the cumulative late charge amount for that month and the previous month.

For example, if the May payment is missed, the borrower will receive all three notices if they have been set up. Then, if the June payment is also late, the notices for the June payment will also be sent at the specified times, subject to Option A below.

Bi-weekly Loans

Bi-weekly loans have payments due every 14 days. You should set up late notices to print only within the first 14-day period. Generally, you should only set up one notice. This notice will repeat every 14 days if the loan is delinquent, but the total amount will include all payments. For example, if a loan is due on 6-1 with ten days grace, you would get a notice on 6-11, again on 6-25, and again on 7-9.

Institution Options

Several options pertaining to assessing late charges and creating past due notices are available. If you would like any of these options, please submit a work order.

•Option A NONO will keep an account from receiving the same notice again. This option is used if, for example, you have a late notice created 15 days after a loan is delinquent that you don't want generated again the next month if the loan has not come current since. If this option is not used and you have a notice sent after the account is 45 days late, both of these notices will be created for the account.

•Option A SLTG is an institution-wide option that stops late charges from assessing on single family, owner-occupied loans for which a payment has been made during the month but the loan is still delinquent. The loan must be Owner Occupied and single family (Collateral Code field on the Additional Loan Fields screen must be 1, 2, 3, or 4). This option will affect every loan in your portfolio. If you are servicing loans in several states and you only want loans in certain states to not assess late charges, do not use this option. Use the Payment Stops Notice field on this screen instead.

•Option C RDPP subtracts the Partial Payments field from the total due. However, for payment method 6 loans, the amount in the Applied to Payment field is always subtracted from the total due whether this option is on or not.

•Option N TLTC includes late charges with the payment due. The option is available only for payment method 0, 6, and 7 loans. You must contact GOLDPoint Systems to turn this option on.

•An option is available that will allow you to print the collector number on late notices. You must contact GOLDPoint Systems to turn this option on.

•Option OP01 LC82 allows late charges to be assessed on loans with a general category 82 (charge off non-real estate property), unless the loan has reached maturity.

•Option V SALT causes the system to assess late charges on Saturday, if the Grace Days + Due Date lands on a Saturday or Sunday.

•Option 12 SULT causes the system to assess late charges before Saturdays, Sundays, and holidays, should the Due Date + Grace Days land on a Saturday, Sunday, or holiday. See Institution Options SALT and SULT for more details.

•Option LTED: When this option is on, late charges are assessed everyday (including Sundays and holidays) and SULT and SALT are ignored. This is a new option as of 01/17/2021.

Hold Codes and Reversals

If any of the following Hold Codes are on the loan, the late notice record will not be created:

•1 (foreclosure completed)

•2 (charge-off)

•4 (bankruptcy Chapter 7, 11, or 12)

•5 (bankruptcy Chapter 13)

•6 (Deed in lieu of foreclosure)

•7 (legal hold), but only if accompanied by a charge-off

•9 (legal hold)

•27 (loan in default)

•90 (judgment awarded), but only if accompanied by a charge-off

•92 (voluntary surrender)

•93 (repossession by grantor)

Late charges are not assessed when reversals are done (e.g., returned checks) and must be done manually through the CIM GOLDTeller system using the Assess Late Charge transaction (tran code 560).

Notice Type Codes

The following is a list of the notice types currently available. Additional type codes will be added as needs are made known to GOLDPoint Systems.

Type	Description
1-3	No longer being used.
4	A 6" x 3 1/2" 1-up notice for past due notice.
5	An 8 1/2" x 3 1/2" 1-up notice for past due notice.
6	Same as type 4 but has a mailer envelope with it.
7	Bill and receipt. See Coupon/Bill Cycle on the Loans > Account Information > Additional Loan Fields screen for further explanation of this type.
8	8 3/4" x 3 1/2" 1 up FINAL NOTICE.
9	7 1/2" x 3 1/2" 1 up PAST DUE notice.
10	7" x 3 1/2" 1 up PAST DUE NOTICE.
*44	1st Late Notice through GOLD EventLetters
*45	2nd Late Notice through GOLD EventLetters
*46	3rd Late Notice through GOLD EventLetters

* See GOLD EventLetters on DocsOnWeb for setup instructions.

Late Charges/Notices and Holidays

Setting up a holiday on the Holiday Schedule screen (Loans > System Setup Screens > Holiday Schedule) for holidays not scheduled by GOLDPoint Systems will stop late charge assessments and the creation of past due notices until the day after the holiday. However, institution option SULT will cause the system to assess late charges before the holiday, and institution option SALT will cause the system to assess late charges after the holiday. A new option as of 01/17/2021, LTED, ignores both SULT and SALT and assesses late charges and creates late notices everyday of the year, including Sundays and holidays.

WARNING: Holidays that are not GOLDPoint Systems scheduled holidays will affect whether or not late charge assessments or past due/late notices are created. If a holiday is a GOLDPoint Systems holiday, late charge assessments do not process in the afterhours of the holiday. The following day's afterhours, the system will automatically assess late charges or create notices, which would have normally occurred the previous night. Note: Please see Institution Options SULT and SALT, which may cause the system to assess late charges before the holiday.

However, when a holiday is an institution-specific holiday, such as a state holiday, the late charge assessments will process unless you set up those holidays on the Holiday Schedule screen. In order for the system to know to bypass the late charge assessment and notice creation process, the holiday must be set up on the Holiday Schedule screen (under Loans > System Setup Screens).

GOLDPoint Systems holidays include New Year's Day, President's Day, Memorial Day, Fourth of July, Labor Day, Thanksgiving, and Christmas.