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 May 14, 1997
HOUSEHOLD CONSUMER LOAN TRUST 1997-1
(Exact name of registrant as specified in its charter)
HOUSEHOLD FINANCE CORPORATION
(Administrator of the Trust)
(Exact name as specified in Administrator's charter)
To be
Delaware 333-20147 Applied For
(State or other juris- (Commission File Numbers) (IRS Employer
diction of incorpora- Identification
tion of Administrator) Number of
Registrant)
2700 Sanders Road, Prospect Heights, Illinois 60070
(Address of principal executive offices of (Zip Code)
Administrator)
Administrator's telephone number, including area code 847/564-5000
<PAGE>
Item 7. FINANCIAL STATEMENTS AND EXHIBITS
(c) Exhibits
99 Statement to Series 1997-1 Participants with respect to the
distribution on May 14, 1997 as provided for under Article V
of the Pooling and Servicing Agreement dated as of September
1, 1995 among Household Finance Corporation, as Servicer and
The Chase Manhattan Bank, N.A., as Deposit Trustee and Section
5 of the Series 1997-1 Supplement to the Pooling and Servicing
Agreement, (b) Noteholders with respect to the Payment Date on
May 15, 1997 as provided for under Section 3.23 of the
Indenture dated as of March 1, 1997 between Household Consumer
Loan Trust 1997-1 and The Bank of New York, as Indenture
Trustee, and (c) Certificateholders with respect to the
Payment Date on May 15, 1997 as provided for under Section
5.04 of the Trust Agreement dated as of March 1, 1997 between
Household Consumer Loan Corporation and The Chase Manhattan
Bank Delaware, as Owner Trustee.
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SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the
Administrator has duly caused this report to be signed on behalf of the
undersigned hereunto duly authorized.
HOUSEHOLD FINANCE CORPORATION,
as Administrator of and on behalf of the
HOUSEHOLD CONSUMER LOAN TRUST 1997-1
(Registrant)
By: /s/ J. W. Blenke
J. W. Blenke
Authorized Representative
Dated: May 28, 1997
-3-<PAGE>
EXHIBIT INDEX
Exhibit
Number Exhibit Page
5
99 Statement to Series 1997-1 Participants with respect to the
distribution on May 14, 1997 as provided for under Article V
of the Pooling and Servicing Agreement dated as of September
1, 1995 among Household Finance Corporation, as Servicer and
The Chase Manhattan Bank, N.A., as Deposit Trustee and Section
5 of the Series 1997-1 Supplement to the Pooling and Servicing
Agreement, (b) Noteholders with respect to the Payment Date on
May 15, 1997 as provided for under Section 3.23 of the
Indenture dated as of March 1, 1997 between Household Consumer
Loan Trust 1997-1 and The Bank of New York, as Indenture
Trustee, and (c) Certificateholders with respect to the
Payment Date on May 15, 1997 as provided for under Section
5.04 of the Trust Agreement dated as of March 1, 1997 between
Household Consumer Loan Corporation and The Chase Manhattan
Bank Delaware, as Owner Trustee.
U:\WP\HFS088\8K\HCLT97-1.8K
-4-
Household Finance Corporation
Household Consumer Loan Corporation
Household Consumer Loan Trust Series 1997-1
No. of PMTs Since Issuance: 2
Distribution Date: 14-May-97
Payment Date: 15-May-97
Collection Period Beginning: 01-Apr-97
Collection Period Ending: 30-Apr-97
Note and Certificate Accrual Beginning: 15-Apr-97
Note and Certificate Accrual Ending: 15-May-97
PAYMENT CALCULATIONS:
OC Balance as % of Beginning Participation Invested Amount 4.41%
OC Balance as % of Ending Participation Invested Amount 4.57%
OC Balance as % of Ending Participation Invested Amount (3 month avg) N/A
Does Early Amortization Start Based on OC/Part. Invstd. Amt. Test 0.00
Is the MAP Over? 0.00
Is this the Early Amortization Period? 0.00
Interest Allocation Percentage Calculation:
Numerator 938,880,000.00
Denominator-Component(x)-Aggregate Receivables & Partc. Inter 3,563,593,822.63
Denominator-Component(y)-Aggregate Numerators 3,213,602,699.27
Applicable Interest Allocation Percentage 26.35%
Principal Allocation Percentage Calculation:
Numerator 938,880,000.00
Denominator-Component(x)-Aggregate Receivables & Partc. Inter 3,563,593,822.63
Denominator-Component(y)-Aggregate Numerators 3,213,602,699.27
Applicable Principal Allocation Percentage 26.35%
Default Allocation Percentage Calculation:
Numerator 938,880,000.00
Denominator-Component(x)-Aggregate Receivables & Partc. Inter 3,563,593,822.63
Denominator-Component(y)-Aggregate Numerators 3,213,602,699.27
Default Allocation Percentage (Floating Allocation Percentage) 26.35%
Minimum Principal Amount Calculation:
2.2% of Participation Invested Amount 20,655,360.00
Series Participation Interest Default Amount (Sec.4.11(a)(iii)) 5,984,181.43
Excess of (i)2.2% of Part. Inv. Amt. over (ii)Series Part. Inte 14,671,178.57
Minimum Principal Amount 14,671,178.57
Investor Principal Collections 14,671,178.57
Investor Finance Charge and Admin. Collections (4.11a) 15,635,841.44
Investor Allocated Defaulted Amounts 5,984,181.43
DEPOSIT TRUST CALCULATIONS
Beginning Participation Unpaid Principal Balance 938,880,000.00
Beginning Participation Invested Amount 938,880,000.00
Ending Participation Unpaid Principal Balance 918,224,640.00
Ending Participation Invested Amount 918,224,640.00
Beginning Participation Unpaid Principal Balance x (PRIME-1.50%) 5,476,800.00
Note Interest & Cert Yield Amounts Due Pursuant to Sec. 3 4,408,318.75
Participation Invested Amount x 75bps per annum prior to 4/98, 25b 586,800.00
Participation Interest Distribution Amount 5,476,800.00
Application of Investor Finance Charges & Administrative Collections:
Investor Finance Charge and Admin. Collections (4.11a) 15,635,841.44
Servicing Fee if HFC is not the Servicer (Sec. 4.11 (a)(i) 0.00
Series Participation Interest Monthly Interest (Sec.4.11(a)(ii) 5,476,800.00
Series Participation Interest Default Amount (Sec.4.11(a)(iii)) 5,984,181.43
Reimbursed Series Particpation Interest Charge-Offs (Sec.4.11(a 0.00
Servicing Fee if HFC is the Servicer (Sec. 4.11 (a)(v)) 1,564,800.00
Excess (Sec. 4.11 (a)(vi)) 2,610,060.01
Reconciliation Check 0.00
Series Participation Interest Monthly Principal 20,655,360.00
Beginning Unreimbursed Participation Interest Charge-Offs 0.00
Series Participation Interest Charge-Offs (Sec. 4.12 (a)) 0.00
Reimbursed Series Particpation Interest Charge-Offs (Sec.4.11(a 0.00
Ending Unreimbursed Participation Interest Charge-Offs 0.00
Available Investor Principal Collections 20,655,360.00
Participation Interest Distribution Amount 5,476,800.00
Series Participation Interest Charge-Offs 0.00
OWNER TRUST CALCULATIONS
Note Interest & Cert Yield Amounts Due Pursuant to Sec. 3 4,408,318.75
Excess Interest 1,068,481.25
Beginning Net Charge-Offs 0.00
Reversals 0.00
+Available Investor Principal Collections 20,655,360.00
+Series Participation Interest Charge Offs 0.00
+ Lesser of Excess Interest and Carryover Charge Offs 0.00
Optimum Monthly Principal 20,655,360.00
Are the Notes Retired ? 0.00
Accelerated Principal Payment 586,800.00
Beginning Class A-1 Security Balance 707,880,000.00
Beginning Class A-2 Security Balance 48,000,000.00
Beginning Class A-3 Security Balance 62,400,000.00
Beginning Class B Security Balance 45,600,000.00
Beginning Certificate Security Balance 33,600,000.00
Beginning Overcollateralization Amount plus APP 41,986,800.00
Beginning Class A-1 Adjusted Balance 707,880,000.00
Beginning Class A-2 Adjusted Balance 48,000,000.00
Beginning Class A-3 Adjusted Balance 62,400,000.00
Beginning Class B Adjusted Balance 45,600,000.00
Beginning Certficate Adjusted Balance 33,600,000.00
Beginning Overcollateralization Amount plus APP 41,986,800.00
Class A-1 Bal After Payment pursuant to clause in Sec 3.05 (a) 687,224,640.00
Class A-2 Bal After Payment pursuant to clause in Sec 3.05 (a) 48,000,000.00
Class A-3 Bal After Payment pursuant to clause in Sec 3.05 (a) 62,400,000.00
Class B Bal After Payment pursuant to clause in Sec 3.05 (a)(i 45,600,000.00
Certificate Bal After Payment pursuant to clause in Sec. 3.05( 33,600,000.00
Class A-2 Minimum Adjusted Principal Balance 16,000,000.00
Class A-3 Minimum Adjusted Principal Balance 20,800,000.00
Class B Minimum Adjusted Principal Balance 15,200,000.00
Certificate Minimum Adjusted Principal Balance 11,200,000.00
Minimum Overcollateralization Amount 13,600,000.00
Certificate Minimum Balance Target 9,274,987.09
Scheduled Certificate Payment to Certificate Min Balance Targe 24,325,012.91
Class A-1 Targeted Balance 477,476,812.80
Class A-2 Targeted Balance (117,925,363.20)
Class A-3 Targeted Balance (46,556,160.00)
Class B Targeted Balance (21,724,819.20)
Certificate Targeted Balance (3,049,094.40)
Class A-1:Payment Required to get to Target 230,403,187.20
Class A-2:Payment Required to get to Target or Min Adjusted 32,000,000.00
Class A-3:Payment Required to get to Target or Min Adjusted 41,600,000.00
Class B:Payment Required to get to Target or Min Adjusted Bal 30,400,000.00
Certificate:Payment Required to get to Target or Min Adjusted 22,400,000.00
OC: Payment to get to Minimum Overcollateralization Amount 28,386,800.00
Section 3.05 Payment of Principal and Interest;Defaulted Interes 0.00
Pay Certificate Yield in step (ii) (1= Yes) 1.00
Remittances on the Participation 26,132,160.00
Interest and Yield
(i) Pay Class A-1 Interest Distribution - Sec. 3.05 (a)(i)(a) 3,428,793.75
Pay Class A-2 Interest Distribution - Sec. 3.05 (a)(i)(b) 237,500.00
Pay Class A-3 Interest Distribution - Sec. 3.05 (a)(i)(c) 313,950.00
Pay Class B Interest Distribution - Sec. 3.05 (a)(i)(d) 240,825.00
Pay Certificates the Certificate Yield - Sec. 3.05 (a)(i)( 187,250.00
Principal up to Optimum Monthly Principal
(ii) Pay Class A-1 to Targeted Principal Balance - Sec. 3.05 (a 20,655,360.00
Pay Class A-2 to Targeted Principal Balance - Sec. 3.05 (a 0.00
Pay Class A-3 to Targeted Principal Balance - Sec. 3.05 (a 0.00
Pay Class B to Targeted Principal Balance - Sec. 3.05 (a)( 0.00
ONLY Pay CertificateYield if not paid pursuant to Sec. 3.0 0.00
Principal up to Optimal Monthly Principal
(iii)Pay Certificate to Targeted Principal Balance - Sec. 3.05 0.00
(iv) Pay OC Remaining Optimal Monthly Principal Amount - Sec. 3.0 0.00
Principal up to the Accelerated Principal Payment Amount
(v) Pay Class A-1 to Targeted Principal Balance - Sec. 3.05 (a)( 586,800.00
Pay Class A-2 to Targeted Principal Balance - Sec. 3.05 (a 0.00
Pay Class A-3 to Targeted Principal Balance - Sec. 3.05 (a 0.00
Pay Class B to Targeted Principal Balance - Sec. 3.05 (a)( 0.00
Pay Class A-1 to zero - Sec. 3.05 (a)(v)(e) 0.00
Pay Class A-2 to zero - Sec. 3.05 (a)(v)(f) 0.00
Pay Class A-3 to zero - Sec. 3.05 (a)(v)(g) 0.00
Pay Class B to zero - Sec. 3.05 (a)(v)(h) 0.00
Principal up to Optimal Monthly Principal
(vi) Pay Class A-1 to zero - Sec. 3.05 (a)(vi)(a) 0.00
Pay Class A-2 to zero - Sec. 3.05 (a)(vi)(b) 0.00
Pay Class A-3 to zero - Sec. 3.05 (a)(vi)(c) 0.00
Pay Class B to zero - Sec. 3.05 (a)(vi)(d) 0.00
Pay Certificates up to Certificate Min. Bal. or zero - Sec 0.00
Pay HCLC Optimum Monthly Principal provided OC > zero - Se 0.00
(vii)Remaining Amounts to HCLC - Sec. 3.05 (a)(vii) 481,681.25
Total Reconciliation Check 0.00
Accelerated Principal Reconciliation 0.00
Optimum Monthly Principal Reconciliation 0.00
BOND SUMMARY:
Beginning Class A-1 Note Security Balance 707,880,000.00
Beginning Class A-2 Note Security Balance 48,000,000.00
Beginning Class A-3 Note Security Balance 62,400,000.00
Beginning Class B Note Security Balance 45,600,000.00
Beginning Certificate Security Balance 33,600,000.00
Beginning Overcollateralization Amount 41,400,000.00
Beginning Class A-1 Adjusted Balance 707,880,000.00
Beginning Class A-2 Adjusted Balance 48,000,000.00
Beginning Class A-3 Adjusted Balance 62,400,000.00
Beginning Class B Adjusted Balance 45,600,000.00
Beginning Certficate Adjusted Balance 33,600,000.00
Beginning Overcollateralization Amount 41,400,000.00
Ending Class A-1 Note Security Balance 686,637,840.00
Ending Class A-2 Note Security Balance 48,000,000.00
Ending Class A-3 Note Security Balance 62,400,000.00
Ending Class B Note Security Balance 45,600,000.00
Ending Certificate Security Balance 33,600,000.00
Ending Overcollateralization Amount 41,986,800.00
Ending Class A-1 Adjusted Balance 686,637,840.00
Ending Class A-2 Adjusted Balance 48,000,000.00
Ending Class A-3 Adjusted Balance 62,400,000.00
Ending Class B Adjusted Balance 45,600,000.00
Ending Certficate Adjusted Balance 33,600,000.00
Ending Overcollateralization Amount 41,986,800.00
Class A-1 Note Rate Capped at 12.5% 5.812500%
Class A-2 Note Rate Capped at 14.0% 5.937500%
Class A-3 Note Rate Capped at 14.0% 6.037500%
Class B Note Rate Capped at 14.0% 6.337500%
Certificate Rate Capped at 15.0% 6.687500%
Class A-1 Interest Due 3,428,793.75
Class A-2 Interest Due 237,500.00
Class A-3 Interest Due 313,950.00
Class B Interest Due 240,825.00
Certificate Yield Due 187,250.00
Class A-1 Interest Paid 3,428,793.75
Class A-2 Interest Paid 237,500.00
Class A-3 Interest Paid 313,950.00
Class B Interest Paid 240,825.00
Certificate Yield Paid 187,250.00
Class A-1 Unpaid Interest 0.00
Class A-2 Unpaid Interest 0.00
Class A-3 Unpaid Interest 0.00
Class B Unpaid Interest 0.00
Certificate Unpaid Yield 0.00
Class A-1 Principal Paid 21,242,160.00
Class A-2 Principal Paid 0.00
Class A-3 Principal Paid 0.00
Class B Principal Paid 0.00
Certificate Principal Paid 0.00
OC Principal Paid 0.00
Beginning Class A-1 Net Charge-Off 0.00
Beginning Class A-2 Net Charge-Off 0.00
Beginning Class A-3 Net Charge-Off 0.00
Beginning Class B Net Charge-Off 0.00
Beginning Certificate Net Charge-Off 0.00
Beginning OC Net Charge-Off 0.00
Reversals Allocated to Class A-1 0.00
Reversals Allocated to Class A-2 0.00
Reversals Allocated to Class A-3 0.00
Reversals Allocated to Class B 0.00
Reversals Allocated to Certificates 0.00
Reversals Allocated to OC plus Acclerated Principal Payments 586,800.00
Total Charge-Offs: 0.00
Charge-Offs Allocated to Class A-1 0.00
Charge-Offs Allocated to Class A-2 0.00
Charge-Offs Allocated to Class A-3 0.00
Charge-Offs Allocated to Class B 0.00
Charge-Offs Allocated to Certificates 0.00
Charge-Offs Allocated to OC 0.00
Ending Class A-1 Net Charge-Off 0.00
Ending Class A-2 Net Charge-Off 0.00
Ending Class A-3 Net Charge-Off 0.00
Ending Class B Net Charge-Off 0.00
Ending Certificate Net Charge-Off 0.00
Ending OC Net Charge-Off 0.00
Bond Balance Reconciliation (should equal $0.00) 0.00
Certificate Balance/Participation Invested Amount (Beginning of Mo 3.579%
Designated Certificate / Certificate Security (Balance Beginning o 1.000%
Designated Certificate - Beginning of Month 336,000.00
Principal Payments in Respect of Designated Certificate (Sec. 3.0 0.00
Designated Certificate - End of Month 336,000.00
Yield Payments in Respect of Designated Certificate (Sec. 3.05 (a) 1,872.50
Designated Certificateholder Accelerated Principal Payments - Begi 600,000.00
Accelerated Principal Payment (Sec. 3.05 (v)) 586,800.00
Payments to Holder of Designated Certificate in respect to Acc. Pr 0.00
Designated Certificateholder Accelerated Principal Payments-Endi 1,186,800.00
Designated Certificateholder Holdback Amount (BOM) 40,800,000.00
Payments to Designated Certificates in Reduction of Holdback Amoun 0.00
Designated Certificateholder Holdback Amount (End of Month) 40,800,000.00
Remaining Payments to Designated Certificates (Sec. 3.05 paragraph 0.00
Remaining Amounts to Issuer (Sec. 3.05 (vii)) 481,681.25
MONTHLY SECURITY REPORT
Household Consumer Loan Trust 1997-1
Distribution Date 14-May-97
Payment Date: 15-May-97
Collection Period Beginning 01-Apr-97
Collection Period Ending: 30-Apr-97
Note and Certificate Accrual Beginning: 15-Apr-97
Note and Certificate Accrual Ending: 15-May-97
Ending Pool Principal Balance $3,480,187,223.15
Series 1997-1 Participation Invested Amount 918,224,640.00
Seller Amount 333,066,,755.64
Remittances on the Participation 26,132,160.00
Optimum Monthly Principal 20,655,360.00
Accelerated Principal Payment 586,800.00
Beginning Class A-1 Note Security Balance 707,880,000.00
Beginning Class A-2 Note Security Balance 48,000,000.00
Beginning Class A-3 Note Security Balance 62,400,000.00
Beginning Class B Note Security Balance 45,600,000.00
Beginning Certificate Security Balance 33,600,000.00
Beginning Overcollateralization Amount 41,400,000.00
Beginning Class A-1 Adjusted Balance 707,880,000.00
Beginning Class A-2 Adjusted Balance 48,000,000.00
Beginning Class A-3 Adjusted Balance 62,400,000.00
Beginning Class B Adjusted Balance 45,600,000.00
Beginning Certificate Adjusted Balance 33,600,000.00
Beginning Overcollateralization Amount 41,400,000.00
Eding Class A-1 Note Security Balance 686,637,840.00
Ending Class A-2 Note Security Balance 48,000,000.00
Ending Class A-3 Note Security Balance 62,400,000.00
Ending Class B Note Security Balance 45,600,000.00
Ending Certificate Security Balance 33,600,000.00
Ending Overcollateralization Amount 41,986,800.00
Ending Class A-1 Adjusted Balance 686,637,840.00
Ending Class A-2 Adjusted Balance 48,000,000.00
Ending Class A-3 Adjusted Balance 62,400,000.00
Ending Class B Adjusted Balance 45,600,000.00
Ending Certificate Adjusted Balance 33,600,000.00
Ending Overcollateralization Amount 41,986,800.00
Class A-1 Note Rate Capped at 12.5% 5.812500%
Class A-2 Note Rate Capped at 14.0% 5.937500%
Class A-3 Note Rate Capped at 14.0% 6.037500%
Class B Note Rate Capped at 14.0% 6.337500%
Certificate Rate Capped at 15.0% 6.687500%
Class A-1 Interest Due 3,428,793.75
Class A-2 Interest Due 237,500.00
Class A-3 Interest Due 313,950.00
Class B Interest Due 240,825.00
Certificate Yield Due 187,250.00
Class A-1 Interest Paid 3,428,793.75
Class A-2 Interest Paid 237,500.00
Class A-3 Interest Paid 313,950.00
Class B Interest Paid 240,825.00
Certificate Yield Paid 187,250.00
Class A-1 Unpaid Interest 0.00
Class A-2 Unpaid Interest 0.00
Class A-3 Unpaid Interest 0.00
Class B Unpaid Interest 0.00
Cetificate Unpaid Yield 0.00
Class A-1 Principal Paid 21,242,160.00
Class A-2 Principal Paid 0.00
Class A-3 Principal Paid 0.00
Class B Principal Paid 0.00
Certificate Principal Paid 0.00
OC Principal Paid 0.00
Beginning Class A-1 Net Charge-Off 0.00
Beginning Class A-2 Net Charge-Off 0.00
Beginning Class A-3 Net Charge-Off 0.00
Beginning Class B Net Charge-Off 0.00
Beginning Certificate Net Charge-Off 0.00
Beginning OC Net Charge-Off 0.00
Reversals Allocated to Class A-1 0.00
Reversals Allocated to Class A-2 0.00
Reversals Allocated to Class A-3 0.00
Reversals Allocated to Class B 0.00
Reversals Allocated to Certificates 0.00
Reversals Allocated to OC plus Acclerated Principal Payments 586,800.00
Total Charge-Offs: 0.00
Charge-Offs Allocated to Class A-1 0.00
Charge-Offs Allocated to Class A-2 0.00
Charge-Offs Allocated to Class A-3 0.00
Charge-Offs Allocated to Class B 0.00
Charge-Offs Allocated to Certificates 0.00
Charge-Offs Allocated to OC 0.00
Ending Class A-1 Net Charge-Off 0.00
Ending Class A-2 Net Charge-Off 0.00
Ending Class A-3 Net Charge-Off 0.00
Ending Class B Net Charge-Off 0.00
Ending Certificate Net Charge-Off 0.00
Ending OC Net Charge-Off 0.00
Interest paid per $1,000 Class A-1 4.699553
Principal paid per $1,000 Class A-1 29.114803
Interest paid per $1,000 Class A-2 4.947917
Principal paid per $1,000 Class A-2 0.000000
Interest paid per $1,000 Class A-3 5.031250
Principal paid per $1,000 Class A-3 0.000000
Interest paid per $1,000 Class B 5.281250
Principal paid per $1,000 Class B 0.000000
Yield Paid per $1,000 Certificate 5.572917
Principal Paid per $1,000 Certificate 0.000000
