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 February 20, 1997
REVOLVING HOME EQUITY LOAN TRUST 1996-2
(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)
Delaware 333-12483 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
February 20, 1997 pursuant to Section 3.04(b)
of the Pooling and Servicing Agreement dated
as of November 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 1996-2.
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 1996-2 by the
undersigned hereunto duly authorized.
HOUSEHOLD FINANCE CORPORATION,
as Servicer of and on behalf of the
REVOLVING HOME EQUITY LOAN TRUST 1996-2
(Registrant)
By: /s/ J. W. Blenke
J. W. Blenke
Authorized Representative
Dated: February 21, 1997
- 2 -<PAGE>
EXHIBIT INDEX
Exhibit
Number Exhibit Page
99(a) Monthly Servicing Report to Trustee dated February
20, 1997 pursuant to Section 3.04(b) of the
Pooling and Servicing Agreement dated as of
November 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 1996-2.
- 3 -
HE96-2.8k
Household Finance Corporation
Household Revolving Home Equity Loan Trust 1996-2
Revolving Home Equity Loan Asset Backed Certificates - Series 1996-2
P & S Agreement Date: November 1, 1996
Original Settlement Date: November 26, 1996
Series Number of Class A-1 Certificates: 441919AK3
Original Sale Balance: $776,373,000
Servicer Certificate (Page 1 of 3)
Distribution Date: 02/20/97
Investor Certificateholder Floating Allocation Perc 97.50%
Investor Certificateholder Fixed Allocation Percent 97.50%
Aggregate Amount of Collections 23,473,848.54
Aggregate Amount of Interest Collections 8,502,054.84
Aggregate Amount of Principal Collections 15,093,856.27
Class A Interest Collections 8,289,494.97
Class A Principal Collections 12,872,140.26
Seller Interest Collections 212,559.87
Seller Principal Collections 2,221,716.01
Weighted Average Loan Rate 13.65%
Net Loan Rate 12.65%
Weighted Average Maximum Loan Rate 18.55%
Class A-1 Certificate Rate 5.5853%
Maximum Investor Certificate Rate 12.6500%
Class A-1 Certificate Interest Distributed 3,595,038.75
Class A-1 Investor Certificate Interest Shortfall b 0.00
Unpaid Class A-1 Certificate Interest Shortfall Rec 0.00
Unpaid Class A-1 Certificate Interest Shortfall Rem 0.00
Unpaid Class A-1 Carryover Interest Amount 0.00
Maximum Principal Dist. Amount (MPDA) 14,716,509.86
Alternative Principal Dist. Amount (APDA) 12,872,140.26
Rapid Amortization Period? (Y=1, N=0) 0.00
Scheduled Principal Distribution Amount (SPDA) 12,872,140.26
Principal allocable to Class A-1 0.00
SPDA deposited to Funding Account 12,872,140.26
Subsequent Funding Mortgage Loans Purchased in Peri 0.00
Cumulative Subsequent Funding Mortgage Loans Purcha 0.00
Accelerated Principal Distribution Amount 0.00
APDA allocable to Class A-1 0.00
Reimbursement to Credit Enhancer 0.00
Spread Trigger hit? No
Loss Trigger hit? No
Reduction in Certificate Principal Balance
due to Current Class A-1 Liquidation Loss Amoun 3,943.87
Cumulative Investor Liquidation Loss Amount 3,943.87
Total Principal allocable to A-1 3,943.87
Beginning Class A-1 Certificate Principal Balance 772,391,596.00
Ending Class A-1 Certificate Principal Balance 772,387,652.13
Pool Factor (PF) 0.9948667
<PAGE>
Servicer Certificate (Page 2 of 3)
Distribution Date: 02/20/97
Retransfer Deposit Amount (non 2.07 transfers) 0.00
Servicing Fees Distributed 623,903.29
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 0
Cumulative Number of Mortgage Loans Retransferred p 0
Mortgage Loans Retransferred pursuant to 2.07 ($) 0.00
Cumulative Mortgage Loans Retransferred pursuant to 0.00
Aggregate Investor Liquidation Loss Amount 3,943.87
Investor Loss Reduction Amount 0.00
Beginning Pool Balance 768,591,518.81
Ending Pool Balance 755,714,720.17
Beginning Invested Amount 776,373,000.00
Ending Invested Amount 776,369,056.13
Beginning Seller Principal Balance 19,907,571.38
Ending Seller Principal Balance 19,906,856.87
Additional Balances 2,221,716.01
Beginning Funding Account Balance 27,689,052.57
Ending Funding Account Balance 40,561,192.83
Ending Funding Account Balance % (before any purcha
5.09%
Ending Funding Account Balance % (after purchase of
5.09%
Principal Balance of Subsequent Funding Loans Purch $0.00
Principal Collections to purchase Additional Balanc $0.00
Excess Funding Amount
Beginning Spread Account Balance 2,786,983.00
Ending Spread Account Balance 2,786,983.00
Beginning Seller Interest 2.59%
Ending Seller's Interest 2.63%
Delinquency & REO Status
30 - 59 days (Del Stat 1)
No. of Accounts
Trust Balance 1,288
60 - 89 days (Del Stat 2) 45,830,948.29
No. of Accounts 253
Trust Balance 9,702,079.51
90+ (Del Stat 3+)
No. of Accounts 161
Trust Balance 6,190,371.74
REO
No. of Accounts 0
Trust Balance 0.00
Rapid Amortization Event ? No
Failure to make payment within 5 Business Days oNo
Failure to perform covenant relating to Trust's No
Failure to perform other covenants as described No
Breach of Representation or Warranty ? No
Bankruptcy, Insolvency or Receivership relating No
Subject to Investment Company Act of 1940 RegulaNo
Servicing Termination ? No
Aggregate of Credit Enhancement Draw Amounts excNo<PAGE>
Servicer Certificate (Page 3 of 3)
Distribution Date: 02/20/97
Event of Default ? No
Failure by Servicer to make payment within 5 BusNo
Failure by Servicer to perform covenant relatingNo
Failure by Servicer to perform other covenants aNo
Bankruptcy, Insolvency or Receivership relating No
Trigger Event ? No
Policy Fee Distributed to Credit Enhancer (Paid dirN/A
Premium Distributed to Credit Enhancer 0.00
Amount Distributed to Seller 2,434,275.88
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 6.29%
Total Available Funds
Aggregate Amount of Collections 23,473,848.54
Deposit for principal not used to purchase sub 0.00
Interest Earnings on the Funding Account 122,062.57
Total 23,595,911.11
Application of Available Funds
Servicing Fee 623,903.29
Prinicpal and Interest to Class A-1 3,598,982.62
Seller's portion of Principal and Interest 2,434,275.88
Funds deposited into Funding Account (Net) 12,872,140.26
Funds deposited into Spread Account 0.00
Excess funds released to Seller 4,066,609.06
Total 23,595,911.11
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.
A Servicing Officer
<PAGE>
Statement to Certificateholders (Page 1 of 2)
Distribution Date: 02/20/97
INVESTOR CERTIFICATES DISTRIBUTION SUMMARY (PER $1000)
Class A Certificateholder Floating Allocation Perce 97.4999%
Class A Certificateholder Fixed Allocation Percenta 97.5000%
Beginning Class A-1 Certificate Balance 772,391,596.00
Class A-1 Certificate Rate 5.585310%
Class A-1 Certificate Interest Distributed 4.630556
Class A-1 Certificate Interest Shortfall Distribute 0.000000
Remaining Unpaid Class A-1 Certificate Interest Sho 0.000000
Rapid Amortization Event ? No
Class A-1 Certificate Principal Distributed 0.005080
Maximum Principal Distribution Amount 18.955463
Scheduled Principal Distribution Amount (SPDA) 16.579840
Accelerated Principal Distribution Amount 0.000000
Aggregate Investor Liquidation Loss Amount Distr 0.005080
Total Amount Distributed to Certificateholders 4.630556
Principal Collections deposited into Funding Accoun 12,872,140.26
Ending Funding Account Balance 40,561,192.83
Ending Class A-1 Certificate Balance 772,387,652.13
Class A-1 Factor 0.9948667
Pool Factor (PF) 0.9948667
Unreimbursed Liquidation Loss Amount $0
Accrued Interest on Unreimbursed Liquidation Loss A $0
Accrued & Unpaid Interest on Unreimbursed Liquidati $0
Class A Servicing Fee 623,903.29
Beginning Invested Amount 776,373,000.00
Ending Invested Amount 776,369,056.13
Beginning Pool Balance 768,591,518.81
Ending Pool Balance 755,714,720.17
Spread Account Draw Amount 0.00
Credit Enhancement Draw Amount 0.00
<PAGE>
Statement to Certificateholders (Page 2 of 2)
Distribution Date: 02/20/97
DELINQUENCY & REO STATUS
30 - 59 days (Del Stat 1)
No. of Accounts 1,288
Trust Balance 45,830,948.29
60 - 89 days (Del Stat 2)
No. of Accounts 253
Trust Balance 9,702,079.51
90+ (Del Stat 3+)
No. of Accounts 161
Trust Balance 6,190,371.74
REO
No. of Accounts 0
Trust Balance 0.00
Aggregate Liquidation Loss Amount for Liquidated Lo 0.00
Class A-1 Certificate Rate for Next Distribution DaTo 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 0
Cumulative Number of Mortgage Loans Retransferr 0
Mortgage Loans Retransferred pursuant to 2.07 ( 0.00
Cumulative Mortgage Loans Retransferred pursuan 0.00
