SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of
the Securities Exchange Act of 1934
Date of Report July 22, 1996
REVOLVING HOME EQUITY LOAN TRUST 1996-1
(Exact name of registrant as specified in Department of the
Treasury, Internal Revenue Service Form SS-4)
HOUSEHOLD FINANCE CORPORATION
(Servicer of the Trust)
(Exact name as specified in Servicer's charter)
333-3626
Delaware 333-3626-01 Not Applicable
(State or other juris- (Commission File Number (IRS Employer
diction of incorporation of Registrant) Identification
of Master Servicer) Number of
Registrant)
2700 Sanders Road, Prospect Heights, Illinois 60070
(Address of principal executive offices of (Zip Code)
Master Servicer)
Servicer's telephone number, including area code 847/564-5000
Exhibit Index appears on page 3 <PAGE>
Item 7. FINANCIAL STATEMENTS AND EXHIBITS
(c) Exhibits
99(a) Monthly Servicing Report to Trustee dated
July 22, 1996 pursuant to Section 3.04(b) of
the Pooling and Servicing Agreement dated as
of May 1, 1996 (the "Pooling and Servicing
Agreement") among HFC Revolving Corporation,
as Seller, Household Finance Corporation, as
Servicer, and First National Bank of Chicago,
as Trustee, with respect to the Class A
Certificates, Series 1996-1.
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act
of 1934, the Servicer has duly caused this report to be signed on
behalf of the Revolving Home Equity Loan Trust 1996-1 by the
undersigned hereunto duly authorized.
HOUSEHOLD FINANCE CORPORATION,
as Servicer of and on behalf of the
REVOLVING HOME EQUITY LOAN TRUST 1996-1
(Registrant)
By: /s/ S. E. Casey
S. E. Casey
Assistant Secretary
Dated: July 25, 1996
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EXHIBIT INDEX
Exhibit
Number Exhibit Page
99(a) Monthly Servicing Report to Trustee dated July 22,
1996 pursuant to Section 3.04(b) of the Pooling
and Servicing Agreement dated as of May 1, 1996
(the "Pooling and Servicing Agreement") among HFC
Revolving Corporation, as Seller, Household
Finance Corporation, as Servicer, and First
National Bank of Chicago, as Trustee, with respect
to the Class A Certificates, Series 1996-1.
- 3 -
HE96-1.8k
Household Finance Corporation
Household Revolving Home Equity Loan
Revolving Home Equity Loan Asset Backed Certificates - Series 1996-1
P & S Agreement Date: May 1, 1996
Original Settlement Date: May 23, 1996
Series Number of Class A-1 Certificates: 441919AJ6
Series Number of Class A-2 Certificates: N/A
Original Sale Balance: $819,278,000
Servicer Certificate (Page 1 of 3)
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Distribution Date: 07/22/96
Investor Certificateholder Floating Allocation Percentage 97.50%
Investor Certificateholder Fixed Allocation Percentage 97.50%
Aggregate Amount of Collections 27,259,742.58
Aggregate Amount of Interest Collections 9,275,456.25
Aggregate Amount of Principal Collections 17,984,286.33
Class A Interest Collections 9,043,569.84
Class A Principal Collections 15,734,579.51
Seller Interest Collections 231,886.41
Seller Principal Collections 2,249,706.82
Weighted Average Loan Rate 13.55%
Net Loan Rate 12.55%
Weighted Average Maximum Loan Rate 18.61%
Class A-1 Certificate Rate 5.6492%
Maximum Investor Certificate Rate 12.5500%
Class A-1 Certificate Interest Distributed 4,093,294.21
Class A-1 Investor Certificate Interest Shortfall before Draw 0.00
Unpaid Class A-1 Certificate Interest Shortfall Received 0.00
Unpaid Class A-1 Certificate Interest Shortfall Remaining 0.00
Unpaid Class A-1 Carryover Interest Amount 0.00
Maximum Principal Dist. Amount (MPDA) 17,534,679.17
Alternative Principal Dist. Amount (APDA) 15,734,579.51
Rapid Amortization Period? (Y=1, N=0) 0.00
Scheduled Principal Distribution Amount (SPDA) 15,734,579.51
Principal allocable to Class A-1 0.00
SPDA deposited to Funding Account 15,734,579.51
Subsequent Funding Mortgage Loans Purchased in Period 0.00
Cumulative Subsequent Funding Mortgage Loans Purchased 0.00
Accelerated Principal Distribution Amount 75,500.42
APDA allocable to Class A-1 75,500.42
Reimbursement to Credit Enhancer 0.00
Spread Trigger hit? No
Reduction in Certificate Principal Balance
due to Current Class A-1 Liquidation Loss Amount 19,201.51
Cumulative Investor Liquidation Loss Amount 19,201.51
Total Principal allocable to A-1 94,701.93
Beginning Class A-1 Certificate Principal Balance 815,148,991.98
Ending Class A-1 Certificate Principal Balance 815,054,290.05
Pool Factor (PF) 0.9948446
Servicer Certificate (Page 2 of 3)
Distribution Date: 07/22/96
Retransfer Deposit Amount (non 2.07 transfers) 0.00
Servicing Fees Distributed 671,658.79
Beg. Accrued and Unpaid Inv. Servicing Fees 0.00
Accrued and Unpaid Inv. Servicing Fees Recv'd 0.00
End. Accrued and Unpaid Inv. Servicing Fees 0.00
Number of Mortgage Loans Retransferred pursuant to 2.07 0
Cumulative Number of Mortgage Loans Retransferred pursuant to 2.07 0
Mortgage Loans Retransferred pursuant to 2.07 ($) 0.00
Cumulative Mortgage Loans Retransferred pursuant to 2.07 ($) 0.00
Aggregate Investor Liquidation Loss Amount 19,201.51
Investor Loss Reduction Amount 0.00
Beginning Pool Balance 826,997,939.55
Ending Pool Balance 811,242,094.53
Beginning Invested Amount 819,274,918.56
Ending Invested Amount 819,255,717.05
Beginning Seller Principal Balance 21,007,394.90
Ending Seller Principal Balance 21,005,330.90
Additional Balances 2,249,706.82
Beginning Funding Account Balance 13,284,373.91
Ending Funding Account Balance 29,018,953.42
Ending Funding Account Balance % (before any purchase of
Subs
Subsequent Loans or release to Certs.) 3.45%
Ending Funding Account Balance % (after purchase of
Subsequent Loans or release to Certs.) 3.45%
Principal Balance of Subsequent Funding Loans Purchased in Period $0.00
Principal Collections to purchase Additional Balances
and/or paid to Cert. $0.00
Excess Funding Amount
Beginning Spread Account Balance 0.00
Ending Spread Account Balance 2,100,714.00
Beginning Seller Interest 2.54%
Ending Seller's Interest 2.59%
Delinquency & REO Status
Delinquent 30-59 days
No. of Accounts
Trust Balance 1,060
Delinquent 60-89 days 38,857,483.68
No. of Accounts 192
Trust Balance 7,332,586.96
Delinquent 90+ days
No. of Accounts 92
Trust Balance 3,089,697.27
REO
No. of Accounts 0
Trust Balance 0.00
Rapid Amortization Event ? No
Failure to make payment within 5 Business Days of Required Date ? No
Failure to perform covenant relating to Trust's Security Interest ? No
Failure to perform other covenants as described in the Agreement ? No
Breach of Representation or Warranty ? No
Bankruptcy, Insolvency or Receivership relating to Seller ? No
Subject to Investment Company Act of 1940 Regulation ? No
Servicing Termination ? No
Aggregate of Credit Enhancement Draw Amounts exceed
1% of the Cut-off Balance and Pre-Funded Amount No
Servicer Certificate (Page 3 of 3)
Distribution Date: 07/22/96
Event of Default ? No
Failure by Servicer to make payment within
5 Bus. Days of Required Date ? No
Failure by Servicer to perform covenant
relating to Trust's Security Interest ? No
Failure by Servicer to perform other
covenants as described in the Agreement? No
Bankruptcy, Insolvency or Receivership
relating to Master Servicer ? No
Trigger Event ? No
Policy Fee Distributed to Credit Enhancer (Paid directly from HFC) N/A
Premium Distributed to Credit Enhancer 0.00
Amount Distributed to Seller 2,481,593.23
Master Servicer Credit Facility Amount 0.00
Guaranteed Principal Distribution Amount 0.00
Credit Enhancement Draw Amount 0.00
Spread Account Draw Amount 0.00
Capitalized Interest Account Draw 0.00
Amount re-imbursed to Credit Enhancer (5.01(a)(vi)) 0.00
Amount paid to Trustee 0.00
Cumulative Draw under Policy 0.00
Net Yield 6.24%
Total Available Funds
Aggregate Amount of Collections 27,259,742.58
Deposit for principal not used to purchase subsequent loans 0.00
Interest Earnings on the Pre-Funding Account 0.00
Deposit from Capitalized Interest Account 0.00
Total 27,259,742.58
Application of Available Funds
Servicing Fee 671,658.79
Prinicpal and Interest to Class A-1 4,187,996.14
Seller's portion of Principal and Interest 2,481,593.23
Funds deposited into Funding Account (Net) 15,734,579.51
Funds deposited into Spread Account 2,100,714.00
Excess funds released to Seller 2,083,200.91
Total 27,259,742.58
OFFICERS'S CERTIFICATE
All computations reflected in this Servicer Certificate were
made in conformity with the Pooling and Servicing Agreement.
The attached Servicing Certificate is true and correct in all
material respects.
Attached as Exhibit A hereto is a list of all Mortgage Loans with
respect to which the Trust Balances have been paid in full and
all amounts received in connections with the payment of such
Trust Balances which are required to be deposited in the
Certificate Account or credited to the Mortgage Loan Payment
Record pursuant to Section 3.02 of the Agreement have been
so deposited.
A Servicing Officer
Statement to Certificateholders (Page 1 of 2)
Distribution Date: 07/22/96
INVESTOR CERTIFICATES DISTRIBUTION SUMMARY (PER $1000)
Class A Certificateholder Floating Allocation Percentage 97.5000%
Class A Certificateholder Fixed Allocation Percentage 97.5000%
Beginning Class A-1 Certificate Balance 815,148,991.98
Class A-1 Certificate Rate 5.649220%
Class A-1 Certificate Interest Distributed 4.996221
Class A-1 Certificate Interest Shortfall Distributed 0.000000
Remaining Unpaid Class A-1 Certificate Interest Shortfall 0.000000
Rapid Amortization Event ? No
Class A-1 Certificate Principal Distributed 0.115592
Maximum Principal Distribution Amount 21.402600
Scheduled Principal Distribution Amount (SPDA) 19.205422
Accelerated Principal Distribution Amount 0.092155
Aggregate Investor Liquidation Loss Amount Distributed 0.023437
Total Amount Distributed to Certificateholders 5.088376
Principal Collections deposited into Funding Account 15,734,579.51
Ending Funding Account Balance 29,018,953.42
Ending Class A-1 Certificate Balance 815,054,290.05
Class A-1 Factor 0.9948446
Pool Factor (PF) 0.9948446
Unreimbursed Liquidation Loss Amount $0
Accrued Interest on Unreimbursed Liquidation Loss Amount $0
Accrued & Unpaid Interest on Unreimbursed Liquidation Loss Amount $0
Class A Servicing Fee 671,658.79
Beginning Invested Amount 819,274,918.56
Ending Invested Amount 819,255,717.05
Beginning Pool Balance 826,997,939.55
Ending Pool Balance 811,242,094.53
Spread Account Draw Amount 0.00
Credit Enhancement Draw Amount 0.00
Statement to Certificateholders (Page 2 of 2)
Distribution Date: 07/22/96
DELINQUENCY & REO STATUS
Delinquent 30-59 days
No. of Accounts 1,060
Trust Balance 38,857,483.68
Delinquent 60-89 days
No. of Accounts 192
Trust Balance 7,332,586.96
Delinquent 90+ days
No. of Accounts 92
Trust Balance 3,089,697.27
REO
No. of Accounts 0
Trust Balance 0.00
Aggregate Liquidation Loss Amount for Liquidated Loans 19,693.86
Class A-1 Certificate Rate for Next Distribution Date To be updated
Amount of any Draws on the Policy 0.00
Subsequent Mortgage Loans
No. of Accounts 0.00
Trust Balance 0.00
Cumulative No. of Accounts 0.00
Cumulative Trust Balance 0.00
Retransferred Mortgage Loans pursuant to 2.07
Number of Mortgage Loans Retransferred pursuant to 2.07 0
Cumulative Number of Mortgage Loans Retransferred
pursuant to 2.07 0
Mortgage Loans Retransferred pursuant to 2.07 ($) 0.00
Cumulative Mortgage Loans Retransferred pursuant to 2.07 ($) 0.00
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