Add Collateral – Symphonix

You may add collateral for its full or partial appraised value to a secured loan. In case the loan becomes delinquent, the pledged collateral may be sold or auctioned, and proceeds from it up to the pledged value would be retained by the lender, and the remaining amount would be returned to the borrowing entity that has pledged it. If the collateral is not yet appraised, the system informs you of the already pending appraisal status and pledges it with zero amount. Once the appraisal is complete, the collateral valuation amount is recorded in the system. If the appraisal is done outside of Q2 Originate, the collateral valuation information must be updated in order to pledge it.

The same collateral may be associated with multiple loan opportunities up to its appraised value. Similarly, multiple collaterals may be associated with a single application.

Prerequisites

Before you proceed to add collateral to an application, ensure that the following prerequisite is met:

Collateral types are set up.

Steps

To add collateral to an application:

Log in to your Salesforce account.
Go to (App Launcher) > Applications.
On the Applications tab, and from the list of applications, select the required application.
On the application details page, go to Collateral.

The Collateral Details page is displayed.
Select + to add collateral to the application.

The Add Collateral window is displayed, where the collateral wizard guides you in pledging new or existing collateral.
Select Create New Collateral or Add Existing Collateral to indicate whether you are adding new collateral or collateral that is already added in the system, maybe as part of another loan application.

If you don't want to add collateral for the application, select Cancel and then select Yes, Exit.

To add new collateral:

Search for and select the Collateral Type by selecting (Select Collateral Type) on the left of the collateral. For example, Land, Home, or Aircraft.

Based on the selected Collateral Type, Field Reference are provided to capture collateral details. For example, if the collateral type is Home, you may specify any Lien or Leasehold details. For a collateral type of Aircraft, you may specify the manufacturer and vehicle details.
Select Next.
In the Collateral Information section, specify the collateral details as described in the Field Reference table, and then select Next.
In the Collateral Owner(s)section, select (Add New Collateral Owner) on the left of the Account field.

You can add one or more accounts as owners to the collateral.
Note
- You can create 300 collateral ownership records for a few contracts.
- Owners are the parties added to the application.
Search and select the Account Name by selecting (Add New Account) on the left of the Account Name.
Specify Ownership.

The Ownership must not be greater than 100%.
Select Next.

In the Collateral Valuation section, specify the details as described in the following table:

Field Name	Action and Information
Valuation Type	Select a type from the list. the supported options are: Estimated Book Value Purchase Price Appraisal Tax Appraisal AVM Cash Value
Valuation Date	Specify the date on which the collateral is evaluated for its valuation.
Value	Specify the value of the collateral that is valid on the valuation date.
Advance Rate	This field displays the advance rate configured for the collateral type. User will be able to modify the advance rate
Advance Value	Advance Value is Advance rate * Collateral Value

Select Save.

If the collateral valuation is not specified, the collateral is pledged with no value. You can add these values once collateral is added or the appraisal is completed.

Based on the values specified while adding collateral, the Collateral Details, Collateral Owners, and Collateral Valuation sections are updated. You can edit these values and add more collateral owners in the Collateral Owners section if you want to.

To add existing collateral:

To add existing collateral:

Search for and select Collateral by selecting (Select Collateral) on the left of the collateral.

For example, any collateral that you have earlier added in Q2 Origination. Such collateral must have a collateral type defined for it.
Select Next.

The Collateral Information section is displayed.

Different fields and checkboxes are displayed based on the collateral type, for example, registration details for a vehicle vs. the number of dwellers for a property.
Review or modify any information if required. All mandatory information about the collateral must be available in order to pledge it. For example, if a collateral type is not associated with collateral, an error message is displayed asking you to add the collateral type. You can edit the collateral details and try to pledge the collateral again.
In the Collateral Information section, specify the collateral details as described in the Field Reference table, and then select Next.
In the Collateral Owner(s) section, add one or more parties as owners to this collateral.

Note

You can create 300 collateral ownership records for a few contracts.
Assign the ownership percentage for each owner. The total percentage must be 100%.
Select Save. If the collateral valuation is not specified, the collateral is added with no value.

You can add these values once collateral is added or the appraisal is completed.

Based on the values specified while adding collateral, the Collateral Details, Collateral Owners, and Collateral Valuation sections are updated. You can edit these values and add more collateral owners in the Collateral Owners section if you want to.

Field Reference

Collateral Type	Field Name	Description
Aircraft	Collateral Name	This field is to store the name of the collateral for a loan application and the name of the equipment for a lease application.
	Collateral Description	This field is to store a brief description of the collateral.
	Address	These fields are to store the complete address of the collateral where it is located.
	City
	State
	Postal Code
	Airport/Home Base	This field is to indicate where the aircraft is usually parked (airport/home base). This field is applicable only to the Aircraft collateral type.
	Insurance Company	This field is to store the insurance company information associated with the insurance linked to the collateral.
	Vehicle Identification Number
	Insurance Policy Number	This field is to store the insurance number under which the insurance is issued.
Receipts/Bills, Receivables	Collateral Name	This field is to store the name of the collateral for a loan application and the name of the equipment for a lease application.
	Collateral Description	This field is to store a brief description of the collateral.
	Address	These fields are to store the complete address of the collateral where it is located.
	City
	State
	Postal Code
All Business Assets	Collateral Name	This field is to store the name of the collateral for a loan application and the name of the equipment for a lease application.
	Collateral Description	This field is to store a brief description of the collateral.
	Address	These fields are to store the complete address of the collateral where it is located.
	City
	State
	Postal Code
	Insurance Company	This field is to store the insurance company information associated with the insurance linked to the collateral.
	Insurance Policy Number	This field is to store the insurance number under which the insurance is issued.
Savings/CD's, Other Possessory	Collateral Name	This field is to store the name of the collateral for a loan application and the name of the equipment for a lease application.
	Collateral Description	This field is to store a brief description of the collateral.
	Address	These fields are to store the complete address of the collateral where it is located.
	City
	State
	Postal Code
	Deposit Account Number	This field is to store the account number of the collateral owner.
	Deposit Amount
	Possessory Type
	Issued By
	Issuer	This field is to store the controlling institution of the collateral.
	Certificate Number	This field is to store the number assigned to the stock certificate. It appears on the front of the certificate and represents the ownership of any of the shares of stock.
	Certificated	This field indicates if the collateral is certificated or not.
Equipment	Collateral Name	This field is to store the name of the collateral for a loan application and the name of the equipment for a lease application.
	Collateral Description	This field is to store a brief description of the collateral.
	Address	These fields are to store the complete address of the collateral where it is located.
	City
	State
	Postal Code
	Description	This field is to store a brief description of the equipment.
	Purchase Money
	Insurance Company	This field is to store the insurance company information associated with the insurance linked to the collateral.
	Insurance Policy Number	This field is to store the insurance number under which the insurance is issued.
Inventory	Collateral Name	This field is to store the name of the collateral for a loan application and the name of the equipment for a lease application.
	Collateral Description	This field is to store a brief description of the collateral.
	Address	These fields are to store the complete address of the collateral where it is located.
	City
	State
	Postal Code
	Insurance Company	This field is to store the insurance company information associated with the insurance linked to the collateral.
	Insurance Policy Number	This field is to store the insurance number under which the insurance is issued.
Securities, Note/Instrument, Letter Of Credit	Collateral Name	This field is to store the name of the collateral for a loan application and the name of the equipment for a lease application.
	Collateral Description	This field is to store a brief description of the collateral.
	Address	These fields are to store the complete address of the collateral where it is located.
	City
	State
	Postal Code
	Investment Security Amount
	Stock Type	This field is to store the type of certificated stock, bond, or equity pledged by the borrower as collateral for the loan. These are identified on the irrevocable stock power.
	Certificated	This field indicates if the collateral is certificated or not.
	Issued By
	Issuer	This field is to store the controlling institution of the collateral.
	Certificate Number	This field is to store the number assigned to the stock certificate. It appears on the front of the certificate and represents the ownership of any of the shares of stock.
	Number of Securities
Fixtures	Collateral Name	This field is to store the name of the collateral for a loan application and the name of the equipment for a lease application.
	Collateral Description	This field is to store a brief description of the collateral.
	Address	These fields are to store the complete address of the collateral where it is located.
	City
	State
	Postal Code
	Purchase Money
	Insurance Company	This field is to store the insurance company information associated with the insurance linked to the collateral.
	Insurance Policy Number	This field is to store the insurance number under which the insurance is issued.
Life Insurance	Collateral Name	This field is to store the name of the collateral for a loan application and the name of the equipment for a lease application.
	Collateral Description	This field is to store a brief description of the collateral.
	Address	These fields are to store the complete address of the collateral where it is located.
	City
	State
	Postal Code
	Insurance Company Name	This field is to store the insurance company information associated with the insurance linked to the collateral.
	Insurance Policy Number	This field is to store the insurance number under which the insurance is issued.
	Insurance Amount
	Insured Party Of Life Insurance Policy	This field is to look up the insurance party of the life insurance policy.
	Life Insurance Verification Date	This field is to store the date of the contract.
	Life Insurance Effective Date
	Life Insurance Beneficiary	This field is to store the name of the beneficiary of the life insurance. This is an Account lookup.
Manufactured Housing	Collateral Name	This field is to store the name of the collateral for a loan application and the name of the equipment for a lease application.
	Collateral Description	This field is to store a brief description of the collateral.
	Address	These fields are to store the complete address of the collateral where it is located.
	City
	State
	Postal Code
	Purchase Money
	New Manufactured Home
	Manufacturer
	Model
	Dwelling	This field is to indicate whether the collateral is dwelling.
	Insurance Company	This field is to store the insurance company information associated with the insurance linked to the collateral.
	Insurance Policy Number	This field is to store the insurance number under which the insurance is issued.
Recreational Vehicle, Pleasure Boat	Collateral Name	This field is to store the name of the collateral for a loan application and the name of the equipment for a lease application.
	Collateral Description	This field is to store a brief description of the collateral.
	Address	These fields are to store the complete address of the collateral where it is located.
	City
	State
	Postal Code
	Purchase Money
	New or Used	This field indicates whether the vehicle is new or used.
	Vehicle Identification Number
	Insurance Company	This field indicates the insurance company information associated with the insurance linked to the collateral.
	Insurance Policy Number	This field indicates the insurance number under which the insurance is issued.
	Make	This field indicates the make of the vehicle.
	Model	This field indicates the model of the vehicle.
	Body/Style	This field is to store the style of the automobile type of collateral.
	Length in Feet
	Age in Years	This field represents the age of the vehicle in years.
	Year	This field represents the year of manufacturing of the vehicle.
Automobiles, Motorcycle, Mobile Home, Other Titled, Trailer	Collateral Name	This field is to store the name of the collateral for a loan application and the name of the equipment for a lease application.
	Collateral Description	This field is to store a brief description of the collateral.
	Address	These fields are to store the complete address of the collateral where it is located.
	City
	State
	Postal Code
	Purchase Money
	New or Used	This field indicates whether the vehicle is new or used.
	Vehicle Identification Number
	Insurance Company	This field is to store the insurance company information associated with the insurance linked to the collateral.
	Insurance Policy Number	This field is to store the insurance number under which the insurance is issued.
	Make	This field indicates the make of the vehicle.
	Model	This field indicates the model of the vehicle.
	Body/Style	This field is to store the style of the automobile type of collateral.
	Age in Years	This field represents the age of the vehicle in years.
	Year	This field represents the year of manufacturing of the vehicle.
Ship	Collateral Name	This field is to store the name of the collateral for a loan application and the name of the equipment for a lease application.
	Collateral Description	This field is to store a brief description of the collateral.
	Address	These fields are to store the complete address of the collateral where it is located.
	City
	State
	Postal Code
	Purchase Money
	New or Used	This field indicates whether the vehicle is new or used.
	Vehicle Identification Number
	Insurance Company	This field is to store the insurance company information associated with the insurance linked to the collateral.
	Insurance Policy Number	This field is to store the insurance number under which the insurance is issued.
	Make	This field indicates the make of the vehicle.
	Model	This field indicates the model of the vehicle.
	Name of Vessel
	Body/Style	This field is to store the style of the automobile type of collateral.
	Vehicle Colour
	Length in Feet
	Age in Years	This field represents the age of the vehicle in years.
	Year	This field represents the year of manufacturing of the vehicle.
	Weight in Lbs
	Serial Number
1-4 Family, Multi-Family, Construction, Lot, Land, Farm Land	Collateral Name	This field is to store the name of the collateral for a loan application and the name of the equipment for a lease application.
	Collateral Description	This field is to store a brief description of the collateral.
	Address	These fields are to store the complete address of the collateral where it is located.
	City
	State
	Postal Code
	Purchase Money
	Property Legal Description	This field is to store any other legal description for the real estate property.
	Property Type
	Insurance Company	This field is to store the insurance company information associated with the insurance linked to the collateral.
	Insurance Policy Number	This field is to store the insurance number under which the insurance is issued.
	Local Jurisdiction Type	This field is to store the local jurisdiction type where the recording of the real estate transaction happens. This is applicable only to real estate.
	Local Jurisdiction Name	This field is to store the local jurisdiction where the recording of the real estate transaction happens. This is applicable only to real estate.
	Property County	This field is to store the county name for the real estate property.
	Homestead Property
	Dwelling	This field is to indicate whether the collateral is dwelling.
	Property Unit Number	This field is to store the unit number for the real estate property.
	Property Deed Execution date	This field is to store the date the deed relating to the property involved in the transaction was executed (i.e., signed).
	Mortgage Deed Recording Page Number	This field is to store the mortgage deed recording page number.
	Mortgage Deed Recording Number	This field is to store the mortgage deed recording number.
Real Estate, Office, Warehouse, Retail, Other RE	Collateral Name	This field is to store the name of the collateral for a loan application and the name of the equipment for a lease application.
	Collateral Description	This field is to store a brief description of the collateral.
	Address	These fields are to store the complete address of the collateral where it is located.
	City
	State
	Postal Code
	Purchase Money
	Property Legal Description	This field is to store any other legal description for the real estate property.
	Property Type
	Insurance Company	This field is to store the insurance company information associated with the insurance linked to the collateral.
	Insurance Policy Number	This field is to store the insurance number under which the insurance is issued.
	Local Jurisdiction Type	This field is to store the local jurisdiction type where the recording of the real estate transaction happens. This is applicable only to real estate.
	Local Jurisdiction Name	This field is to store the local jurisdiction where the recording of the real estate transaction happens. This is applicable only to real estate.
	Property County	This field is to store the county name for the real estate property.
	Property Unit Number	This field is to store the unit number for the real estate property.
	Property Deed Execution date	This field is to store the date the deed relating to the property involved in the transaction was executed (i.e., signed).

To add new collateral:

Note

To add existing collateral:

To add existing collateral:

Note

Field Reference

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