Event Number

Subsidy Constant Change

Next Accrual Rate Change

Next P/I Payment Change

Periodic Rate Cap Used

Lifetime Rate Cap Used

1

no

up

no

yes

no

2

no

down

no

yes

no

3

no

up

yes

yes

no

4

no

down

yes

yes

no

6

no

down

no

no

no

7

no

down

yes

no

no

10

no

up

no

no

no

11

no

up

yes

no

no

17

no

up

yes

yes

yes

18

no

down

yes

yes

yes

19

no

up

yes

no

yes

20

no

down

yes

no

yes

34

no

no

yes

no

no

37

no

up/down

no

yes

yes (min/max)

38

no

up/down

no

no

yes (min/max)

40

no

up/down

yes

yes/no

yes/no

53

no

up/down

yes/no

yes/no

yes/no

Event Code #

Event Description

5

Rate Sensitive Event

This event automatically produces an event letter when the loan rate changes on a payment method 5 or a payment method 6 (non-ARM loan).

13

Escrow Tax Payment Letter

This event record is generated when the system encounters tran codes 440 (escrow disbursement), 448 (escrow disbursement correction), 640 (reserve disbursement), and 648 (reserve disbursement correction) for a single family owner-occupied loan (collateral code 1-4 and LNOWNR is equal to "Yes") for any of the following Disbursement Type codes:

An event letter will be generated for each separate disbursement type code processed on the account. If multiple disbursements are performed for the same disbursement type code, only one event letter will be generated for the combined amount.

This event letter is automatically generated; it cannot be manually ordered.

14

Loan Payoff Event

This event record is not generated automatically. It must be requested. This letter can also be requested by using the Event Date and Event Number fields on the Loans > Account Information > Payoff screen, Letters & Actions tab. Only event letter number 14 can be requested from that screen.

15

LIP Billing Event

This event record is automatically generated when the Prior Unpaid Charges field on the Loans > Construction > Account Construction  Detail screen, Balances, Rates & Billing tab, is changed.

16

LIP Reminder Event

This event record is not generated automatically. It must be requested.

21

New Loan Event

This event record is generated when the system encounters tran code 680 (new loan). The origination officer's name and number are available for this letter.

22

Closed Loan Event

This event record is generated when the system encounters tran code 580 (close loan).

23

Delinquency Event

This event record is not generated automatically. It must be requested. The loan must be delinquent when this event is ordered or the letters will not generate. Date and time of appointment can be set up in action code 210 and 211. See the action code help.

24

Specialty Request Letter

This is reserved for letters that are a special request of the institution. This is the same as 23, except the loan does not have to be delinquent.

25

Prenotification of Loan Maturity Letter

This letter can be generated any number of days before the maturity date. You must inform FPS GOLD of the number of days prior to maturity the letters should be generated. The system defaults to 120 days. FPS GOLD Only: Set OPT7-MDYS to the desired number of days.

26

Loan Maturity Event Letter

This letter will be generated on the maturity date.

27

Loan Balloon Payment Letter

This letter will print when there is a "1" in the Action Code field, and the date of the action code is today's date. Action code 1 stops all activity on the loan. To set the letter to print 30 days in advance, you can put the advanced date in the Action Date field. This date will then need to be changed to the final balloon date after the letter is generated.

28

Beneficiary Statement

This letter is generated upon request from this screen, however, if no payoff record exists it will not be created. If you attempt to set up this letter, the system will first check to see if a payoff record exists. If it doesn't, you will receive the message "MUST CREATE PAYOFF RECORD FIRST." If it does, the letter will be created. You must lock in payoff, then unlock it (that creates the payoff record), then order event letter 28. Use the same date you used in the Event Date field on the Payoff screen.

29

Loan Sold Letter

This letter is generated when a loan is sold, to allow you to inform all associated with the loan that it was sold. All information found on the Loans > Account Information > Escrow/Reserve > Escrow & Reserve Detail screen may be utilized with this event letter. This event can be created with information regarding the company that /escrow/reserve disbursements are sent to. This event creates multiple letters; i.e., if you have three insurance companies set up, you will receive three separate letters. Institution option T EV29 will stop letters from being created for disbursement types 10 thru 19 (taxes). If you would like this option, submit a work order. This event must be requested through a work order. Order manually.

30

Buydown Payment Change Letter

This letter is generated one month prior to the new subsidy effective date.

31

Buydown Expiration Letter

This letter is generated one month prior to the subsidy expiration date.

32

Insurance Letter (before expiration date)

This event will automatically generate letters for disbursement types 20-28 and 40-49 that will expire within 75 days. A separate letter is created for each disbursement item. Note: This event can also be manually requested within 75 days prior to the expiration date or any time after the expiration date.

This event will generate a letter to inform the customer that a disbursement item is about to expire. The letter will generate a specific number of days before the expiration date.

Options:

•A report option is available which indicates how many days prior to the expiration date a letter will be automatically generated; if this option is not set the letter will generate on the expiration date.

➢ FPS GOLD Only: Miscellaneous Parameters 3-4 stores the number of days prior to the expiration date to create the letter.    

•Institution options RDEX and RDE2 are available to store the disbursement types for which the bank would like letters to be automatically generated. For example, if you only want letters for disbursement types 20-25 or 40-45.

Information used in the letters is pulled from Loans > Account Information > Escrow/Reserve > Escrow & Reserve Detail screen. This event must be requested through a work order.  

Also see events 39, 51, and 52.

33

Over Credit Limit Notification for Line-of-Credit Loans

This letter is generated when the credit limit for line-of-credit (payment method 5) loans has been exceeded. The letter will automatically be created when the date of the last transaction is today and the principal balance exceeds the credit limit. Note: A letter will be created each time the date of the last transaction changes; this may result in more than one letter being created within several days. (The date of the last tran is for monetary activity only.) The letter can also be ordered manually. If the loan is a non-revolving line-of-credit, this letter is not available.

34

P/I Payment Changes Only Letter

All P/I change fields are checked for a change, and any change is reported on the letter. No rate changes are included in this letter.

35

FHA Loan Payoff Letter (Insured Prior to August 2, 1985)

This letter is sent once a year as required by the National Affordable Housing Act, section 329 and follows the format defined by HUD. In the afterhours on the date requested by the institution, the system automatically selects letter 35 or 36 using the Open field. The letter prints the payoff amount, the fees pertaining to the payoff either as part of the total payoff amount or as a separate amount, and any requirements the borrower must fulfill to prevent accrual of interest on the mortgage loan after the pre-payment date. To request this letter, submit a work order to FPS GOLD indicating the telephone number of your Loan Service Department for the borrower to call, the name and title of the employee who signs the letter, and how the payoff fees are disclosed. To manually generate this letter, set up the event. The payoff is calculated to the end of the month following the date that the event letter is requested.

The payoff is calculated as follows: Principal balance on the date the letter is created multiplied by the Interest Rate, then divided by 12 (months). The system then adjusts the interest amount for prepaid or delinquent loans. The interest is always calculated through the end of the month following the month the letter was created. Example: If the letter was created in December, the calculation is through January 31. Escrow/reserves are not subtracted from the payoff amount. For ease in your being able to tie to our figures, the escrow/reserves are not subtracted from the payoff amount (you don't have to worry about interest on escrow or reserves). The event will only generate on loans with an insurer code of 1 (FHA).

See the FPS GOLD Only section below.

36

FHA Loan Payoff Letter (Insured On or After August 2, 1985)

This letter is generated and calculated the same as event 35 with the following exceptions:

1. This letter is for FHA loans insured on or after August 2, 1985.

2. One of the following sentences can be printed on the letter specified by your institution:

•Option 1: "Otherwise, your prepayment will be refused until the next installment due date and interest will be charged to that date."

•Option 2: "Otherwise, you may be required to pay interest on the amount prepaid through the end of the month."

Event Code #

Event Description

39

Insurance Letter (on expiration date)

This event will automatically generate letters on the expiration date for disbursement types 20-28 and 40-49. A separate letter is created for each disbursement item. Note: This event cannot be manually requested.

Options:

•There is not an option that controls when the letter is automatically generated; it will always generate on the expiration date.

•Institution options RDEX and RDE2 are available to store the disbursement types for which the bank would like letters to be automatically generated. For example, if you only want letters for disbursement types 20-25 or 40-45.

Information used in the letters is pulled from Loans > Account Information > Escrow/Reserve > Escrow & Reserve Detail screen. This event must be requested through a work order.

Also see events 32, 51, and 52.

40

P/I Payment Change Different than Rate Changes Letter (CNE040)

All P/I change fields are checked for a change, and any change is reported on the letter. The letter includes a summary of interest rate changes that have occurred since the last P/I change. This letter can only be generated if the Use Event Letter 40 field on the Loans > Account Information > ARM Information screen, Rate Caps & Negative Amortization tab displays a checkmark, the rate change frequency is not the same as the P/I constant change frequency, and you have requested the event letter by work order.

For example, if the next P/I change is on April 1, the last P/I change was April 1, and the interest rate does not change on April 1, the event letter will generate showing the next P/I change date and amount and all the rate changes since April 1.

41

Payment Change when LIP

Event 41 calculates the new P/I while the loan is still in the construction process. If the LIP method code is 1 or 101 and the loan fields call for a P/I change, the system will calculate the new loan accrual rate and P/I payment.

WARNING: While the loan is in the construction process and payments are posted, the installment number does not increase (it remains zero). Depending on the number of remaining months to be used in the P/I calculation, you may have to manually enter the installment number either from the pattern or prior to the system calculation. Example: you have a construction/permanent loan with a term of 360 months. The first 9 months is the construction period. The mortgage payments on the permanent loan are to amortize over 351 months. In order for the new P/I to be calculated correctly, the installment number should be 9.

42

LIP Rate Change

Event 42 will generate an LIP rate change letter if the LIP rate changes are either based on a rate change date or for rate sensitive loans. This letter will only create if the LIP method code is 1 or 101.

43

Charge Interest on Negative Escrow/Reserves Billing

Event 43 will generate a billing letter for charging interest on negative escrow or reserves.

44

First Late Notice

Event 44 generates a letter for the first late notice. In order to generate late notices through the event letter system, the event number (44, 45, or 46) must be entered in the Notice 1 Type, Notice 2 Type, and Notice 3 Type fields on Loans > Account Information > Fees & Late Charges & Penalties screen, as well as the desired number of days.

45

Second Late Notice

Event 45 will generate a second late notice. In order to generate late notices through the event letter system, the event number (44, 45, or 46) must be entered in the Notice 1 Type, Notice 2 Type, and Notice 3 Type fields on Loans > Account Information > Fees & Late Charges & Penalties screen, as well as the desired number of days.

46

Third Late Notice

Event 46 will generate a third late notice. In order to generate late notices through the event letter system, the event number (44, 45, or 46) must be entered in the Notice 1 Type, Notice 2 Type, and Notice 3 Type fields on Loans > Account Information > Fees & Late Charges & Penalties screen, as well as the desired number of days.

47

Force-Place Insurance Event

Event 47 will generate a letter anytime an insurance policy expires or a Force-Place Insurance transaction (tran code 2870) is run.

48

Fee Assessment Notice

This event generates if a Miscellaneous Fee transaction or corresponding correction is processed on an account.

Valid transaction codes are:

Assess Misc. Fee—tran code 660/668

Waive Misc. Fee—tran code 670/678

Pay Misc. Fee—tran code 850/858

49

Fee Reminder Notice

This letter must be requested manually.

50

PMI Notice

This letter must be requested manually.

51

Insurance Letter (before expiration date)

This event will automatically generate letters for disbursement types 20-28 and 40-49 that will expire within 75 days. A separate letter is created for each disbursement item. Note: This event can also be manually requested within 75 days prior to the expiration date or any time after the expiration date.

This event will generate a letter to inform the customer that a disbursement item is about to expire. The letter will generate a specific number of days before the expiration date.

Options:

•A report option is available which indicates how many days prior to the expiration date a letter will be automatically generated; if this option is not set the letter will generate on the expiration date.

➢ FPS GOLD Only: Miscellaneous Parameters 5-6 stores the number of days prior to the expiration date to create the letter.    

•Institution options RDEX and RDE2 are available to store the disbursement types for which the bank would like letters to be automatically generated. For example, if you only want letters for disbursement types 20-25 or 40-45.

Information used in the letters is pulled from Loans > Account Information > Escrow/Reserve > Escrow & Reserve Detail screen. This event must be requested through a work order.  

Also see events 32, 39, and 52.

52

Insurance Letter (after expiration date)

This event will automatically generate letters after the expiration date for disbursement types 20-28 and 40-49. A separate letter is created for each disbursement item. Note: This event can also be manually requested within 75 days prior to the expiration date or any time after the expiration date.  

Options:

•A report option is available which indicates how many days after the expiration date a letter will be automatically generated. If this option is not set, the letter will generate on the expiration date.  

➢ FPS GOLD Only: Miscellaneous Parameters 7-8 stores the number of days prior to the expiration date to create the letter.    

•Institution options RDEX and RDE2 are available to store the disbursement types for which the bank would like letters to be automatically generated. For example, if you only want letters for disbursement types 20-25 or 40-45.

Information used in the letters is pulled from Loans > Account Information > Escrow/Reserve > Escrow & Reserve Detail screen. This event must be requested through a work order.  

Also see events 32, 39, and 51.

53

ARM Loans Using the Base Index Rate

ARM event letter 53 will automatically generate for loans that have the Use this Base Index Rate option (LNBSIN) checked and that have an event that would trigger any of the following ARM event letters: 1, 2, 3, 4, 6, 7, 10, 11, 17, 18, 19, 20, 37, and 38. Instead of the normal event letter generating, it is switched to event 53. The triggering events need to be set up to be used in the institution’s options. Only letter 0 is available for use.

2040

Change of Address

It is important to note that the change of address event letter for loan accounts is generated in the Deposit Events system. All 2040 address change event letters, regardless of whether they are for deposits or loans, will be generated in the Deposit Events system. If a loan event letter is ordered, it will show on the history for the loan.

This event will generate a letter any time any part of the address mailing lines change for an open or closed deposit or loan account. If multiple accounts are tied to the same address, an event record will generate for the IRS owner tied to each account with that mailing address. One letter per IRS owner will be created. Letters should be sent to the "old" address (remember this when creating your mail merge document in Microsoft Word). The merge fields are as follows:

OLD_MAILING_LINE_1

OLD_MAILING_LINE_2

OLD_MAILING_LINE_3

The "new" address should be indicated in the body of the letter using the new mailing line merge fields. The merge fields are as follows:

NEW_MAILING_LINE_1

NEW_MAILING_LINE_2

NEW_MAILING_LINE_3

Only one account number for each IRS owner per address change will be available for the event, and all mailing address changes tied to deposit and loan accounts will be included.

For CIS clients, a letter will be created for the regular account address or the alternate address, whichever one is in effect at the time of the change.

In order for this event to generate for a loan account, you must checkmark the Address Change checkbox field on the Deposits > Definitions > Event Setup screen.

If you are already using the address change event letter, but want to add loan accounts, please send in a work order and the minimum one-time fee will be assessed. If you want to begin using the address event letter for the first time, send in a work order and a $450.00 one-time fee will be assessed for the use of this event. Be sure to indicate if you want loan accounts included.

FPS GOLD Only: Institution options OP15-ADEV (deposits) and OP16-ALEV (loans) must both be turned on to process the address change event for both deposit and loans.