<PAGE> 1
FORM 8-K
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
CURRENT REPORT
Pursuant to Section 13 or 15(d) of
the Securities Exchange Act of 1934
Date of Report: November 15, 1999
HOUSEHOLD CONSUMER LOAN TRUST 1997-2
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(Exact name of registrant as specified in its charter)
HOUSEHOLD FINANCE CORPORATION
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(Administrator of the Trust)
(Exact name as specified in Administrator's charter)
To be
Delaware 333-36405-02 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
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(Address of principal executive offices of (Zip Code)
Administrator)
Administrator's telephone number, including area code 847/564-5000
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Exhibit Index appears on page 3
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Item 7. FINANCIAL STATEMENTS AND EXHIBITS
(c) Exhibits
--------
99 Statement to Series 1997-2 Participants with respect to
the distribution on November 12, 1999 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
1997-2 Supplement to the Pooling and Servicing Agreement,
(b) Noteholders with respect to the Payment Date on
November 15, 1999 as provided for under Section 3.23 of
the Indenture dated as of November 1, 1997 between
Household Consumer Loan Trust 1997-2 and The Bank of New
York, as Indenture Trustee, and (c) Certificateholders
with respect to the Payment Date on Novemer 15, 1999 as
provided for under Section 5.04 of the Trust Agreement
dated as of November 1, 1997 between Household Consumer
Loan Corporation and The Chase Manhattan Bank Delaware,
as Owner Trustee.
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 1997-2
----------------------------------------
(Registrant)
By: /s/ J. W. Blenke
-----------------------------------
J. W. Blenke
Authorized Representative
Dated: November 23, 1999
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EXHIBIT INDEX
Exhibit
Number Exhibit Page
- ------- ------- ----
4
99 Statement to Series 1997-2 Participants with respect to
the distribution on November 12, 1999 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
1997-2 Supplement to the Pooling and Servicing Agreement,
(b) Noteholders with respect to the Payment Date on
November 15, 1999 as provided for under Section 3.23
of the Indenture dated as of November 1, 1997 between
Household Consumer Loan Trust 1997-2 and The Bank of
New York, as Indenture Trustee, and (c) Certificateholders
with respect to the Payment Date on November 15, 1999 as
provided for under Section 5.04 of the Trust Agreement
dated as of November 1, 1997 between Household Consumer Loan
Corporation and The Chase Manhattan Bank Delaware, as Owner
Trustee.
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<TABLE>
<CAPTION>
Household Consumer Loan Trust, Series 1997-2
Deposit Trust Calculations
Previous Due Period Ending Sep 30, 1999
Current Due Period Ending Oct 31, 1999
Prior Distribution Date Oct 14, 1999
Distribution Date Nov 12, 1999
<S> <C>
Beginning Trust Principal Receivables 3,995,587,708.41
Average Principal Receivables 3,995,351,713.30
FC&A Collections (Includes Recoveries) 64,171,880.49
Principal Collections 125,296,329.28
Additional Balances 53,039,737.28
Net Principal Collections 72,256,592.00
Defaulted Amount 30,002,479.06
Miscellaneous Payments 0.00
Principal Recoveries 1,884,610.00
Beginning Participation Invested Amount 659,876,210.01
Beginning Participation Unpaid Principal 659,876,210.00
Balance
Ending Participation Invested Amount 642,987,001.47
Ending Participation Unpaid Principal Balance 642,987,001.46
Accelerated Amortization Date Oct 31, 2002
Is it the Accelerated Amortization Period? 0
0=No
OC Balance as % of Ending Participation 10.065%
Invested Amount (3 month average)
Is it Early Amortization? (No, if 3 month OC 0
Average >or=4.25%) 0=NO, 1=YES
Investor Finance Charges and Administrative
Collections
Numerator for Floating Allocation 659,876,210.01
Numerator for Fixed Allocation 677,977,428.18
Denominator - Max(Sum of Numerators, Principal 3,995,351,713.30
Receivables)
Applicable Allocation Percentage 16.5161%
Investor FC&A Collections 10,598,690.76
Series Participation Interest Default Amount
Numerator for Floating Allocation 659,876,210.01
Denominator - Max(Sum of Numerators, Principal 3,995,351,713.30
Receivables)
Floating Allocation Percentage 16.5161%
Series Participation Interest Default Amount 4,955,238.89
Principal Allocation Components
Numerator for Floating Allocation 659,876,210.01
Numerator for Fixed Allocation 677,977,428.18
Denominator - Max(Sum of Numerators, Principal 3,995,351,713.30
Receivables)
Series Participation Interest Monthly Interest
(a) Series Participation Interest Pass Through 6.7500%
Rate, [Max(b,c)]
(b) Prime Rate minus 1.50% 6.7500%
(c) Rate Sufficient to Cover Interest, Yield 5.7506%
and Accelerated Principal Pmt Amount
(d) Series Participation Interest Unpaid 659,876,210.00
Principal Balance
(e) Actual days in the Interest Period 29
Series Participation Monthly Interest, [a*d*e] 3,588,076.89
Series Participation Interest Interest 0.00
Shortfall
Previous Series Participation Interest Interest 0.00
Shortfall
Additional Interest 0.00
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<PAGE> 2
Series Participation Interest Monthly Principal
Available Investor Principal Collections, 16,889,208.54
[a+m+n]
(a) Investor Principal Collections, [Max(b,h) 11,933,969.65
or e]
(b) prior to Accelerated Amort. Date or not 11,933,969.65
Early Amort. Period, [c*d]
(c) Floating Allocation Percentage 16.5161%
(d) Net Principal Collections 72,256,592.00
(e) after Accelerated Amort Date or Early Amort 21,261,728.42
Period, [f*g]
(f) Fixed Allocation Percentage 16.9692%
(g) Collections of Principal
125,296,329.28
(h) Minimum Principal Amount, [Min(i,l)] 9,562,037.73
(i) Floating Allocation Percentage of 20,694,064.71
Principal Collections
(j) 2.5% or 2.2% of the Series Participation 14,517,276.62
Interest Invested Amount
(k) Series Participation Interest Net Default 4,955,238.89
Payment Amount
(l) the excess of (j) over (k) 9,562,037.73
(m) Series Participation Interest Net Default 4,955,238.89
Payment Amount
(n) Optional Repurchase Amount (principal only) 0.00
at Sec. 9
Application of Investor Finance Charges and
Admin Collections
Investor Finance Charges and Admin. Collections 10,598,690.76
[Sec. 4.11(a)]
Series Servicing Fee paid if HFC is not the 0.00
Servicer [Sec. 4.11(a)(i)]
plus any unpaid Series Servicing Fee of other 0.00
than HFC
Series Participation Interest Monthly Interest 3,588,076.89
[Sec. 4.11(a)(ii)]
Series Participation Interest Interest Shorfall 0.00
[Sec. 4.11(a)(ii)]
Additional Interest [Sec. 4.11(a)(ii)] 0.00
Series Participation Interest Default Amount 4,955,238.89
[Sec. 4.11(a)(iii)]
Reimbursed Series Participation Interest Charge- 0.00
Offs [Sec. 4.11(a)(iv)]
Servicing Fee Paid [Sec. 4.11(a)(v)] 1,099,793.68
Excess [Sec. 4.11(a)(vi)] 955,581.30
Series Participation Investor Charge Off [Sec. 0.00
4.12(a)]
Seller's Interest
677,365,916.57
Seller's Interest Percentage 17.40%
</TABLE>
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<TABLE>
Series 1997-2
Owner Trust Calculations
Due Period Ending Oct 31, 1999
Ending Payment Date Nov 15, 1999
Calculation of Interest Expense
Index (LIBOR) 5.406250%
Accrual end date, Nov 15, 1999
accrual beginning date Oct 15, 1999
and days in Interest Period 31
<S> <C> <C> <C> <C> <C> <C>
Class A-1 Class A-2 Class A-3 Class B Certificate Overcoll
Amount
Beginning 354,432,474 48,000,000 90,000,000 57,000,000 42,000,000 68,443,736
Unpaid
Principal
Balance
Previously 0.00 0.00 0.00 0.00 0.00
unpaid
interest/yield
Spread to index 0.18% 0.29% 0.40% 0.65% 1.00%
Rate (capped at 5.586250% 5.696250% 5.806250% 6.056250% 6.406250%
12.5%, 14%,
14%, 14%, 15%)
Interest/Yield 1,704,956 235,445 449,984 297,261 231,693
Payable on the
Principal
Balance
Interest on 0.00 0.00 0.00 0.00 0.00
previously
unpaid
interest/yield
Interest/Yield 1,704,956 235,445 449,984 297,261 231,693
Due
Interest/Yield 1,704,956 235,445 449,984 297,261 231,693
Paid
Summary
Beginning 354,432,474 48,000,000 90,000,000 57,000,000 42,000,000 68,443,736
Security
Balance
Beginning 354,432,474 48,000,000 90,000,000 57,000,000 42,000,000
Adjusted
Balance
Principal Paid 17,026,683 0.00 0.00 0.00 0.00 0.00
Ending Security
Balance 337,405,792 48,000,000 90,000,000 57,000,000 42,000,000 68,581,210
Ending Adjusted
Balance 337,405,792 48,000,000 90,000,000 57,000,000 42,000,000
Ending
Certificate
Balance as %
Participation
Interest
Invested Amount 6.5320%
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Targeted
Balance 334,353,241 67,538,545 103,126,855 67,780,750 55,789,840
Minimum
Adjusted 16,000,000 30,000,000 19,000,000 14,000,000 17,000,000
Balance
Certificate
Minimum Balance 6,494,812
Ending OC
Amount as 51,000,000
Holdback Amount
Ending OC
Amount as 17,581,210
Accelerated
Prin Pmts
Beginning Net 0.00 0.00 0.00 0.00 0.00 0.00
Charge offs
Reversals 0.00 0.00 0.00 0.00 0.00 0.00
Charge offs 0.00 0.00 0.00 0.00 0.00 0.00
Ending Net 0.00 0.00 0.00 0.00 0.00 0.00
Charge Offs
Interest/Yield $1.8694688 $4.9051042 $4.9998264 $5.2151042 $5.5164931
Paid per $1000
Principal Paid $18.6696083 $0.0000000 $0.0000000 $0.0000000 $0.0000000
per $1000
</TABLE>
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<TABLE>
Series 1997-2 Owner Trust Calculations
Due Period October 1999
Payment Date Nov 15, 1999
Optimum Monthly Principal [a+b+c]
<S> <C>
(a) Available Investor Principal Collections 16,889,208.54
(b) Series Participation Interest Charge Offs 0.00
(c) Lesser of Excess Interest and Carryover 0.00
Charge offs
Accelerated Principal Payment 137,474.21
Series Participation Interest Monthly Interest 3,588,076.89
Allocation of Optimum Monthly Principal and
Series Part. Interest Monthly Interest
Interest and Yield
Pay Class A-1 Interest Distribution- Sec. 1,704,955.58
3.05(a)(i)(a)
Pay Class A-2 Interest Distribution- Sec. 235,445.00
3.05(a)(i)(b)
Pay Class A-3 Interest Distribution- Sec. 449,984.38
3.05(a)(i)(c)
Pay Class B Interest Distribution- Sec. 297,260.94
3.05(a)(i)(d)
Pay Certificates the Certificate Yield- Sec. 231,692.71
3.05(a)(i)(e)
Principal up to Optimum Monthly Principal
Balance
Pay Class A-1 to Targeted Principal Balance- 16,889,208.54
Sec. 3.05(a)(ii)(a)
Pay Class A-2 to Targeted Principal Balance 0.00
subject to Min Adj Bal- Sec. 3.05(a)(ii)(b)
Pay Class A-3 to Targeted Principal Balance 0.00
subject to Min Adj Bal- Sec. 3.05(a)(ii)(c)
Pay Class B to Targeted Principal Balance 0.00
subject to Min Adj Bal- Sec. 3.05(a)(ii)(d)
Pay Certificate Yield if not paid pursuant to 0.00
Sec. 3.05 (a)(i)(e)
Principal up to Optimal Monthly Principal
Pay Certificate to Targeted Principal Balance 0.00
subject to Min Adj Bal- Sec. 3.05(a)(iii)
Pay OC Remaining Optimal Monthly Prin Amt 0.00
subject to OC Min Bal- Sec. 3.05(a)(iv)
Principal up to Accelerated Principal Payment
Amout
Pay Class A-1 to Targeted Principal Balance 137,474.21
subject to Min Adj Bal- Sec. 3.05(a)(v)(a)
Pay Class A-2 to Targeted Principal Balance 0.00
subject to Min Adj Bal- Sec. 3.05(a)(v)(b)
Pay Class A-3 to Targeted Principal Balance 0.00
subject to Min Adj Bal- Sec. 3.05(a)(v)(c)
Pay Class B to Targeted Principal Balance 0.00
subject to Min Adj Bal- Sec. 3.05(a)(v)(d)
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
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 Minimum 0.00
Balance or zero- Sec. 3.05(a)(vi)(e)
Pay HCLC Optimum Monthly Principal provided 0.00
OC >0- Sec. 3.05(a)(vi)(f)
Remaining Amounts to Holder of Designated 531,264.07
Certificate - Sec. 3.05(a)(vii)
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Allocations of Distributions to
Overcollateralization Amount
Available Distributions
Pay OC Remaining Optimal Monthly Prin Amt 0.00
subject to OC Min Bal- Sec. 3.05(a)(iv)
Pay HCLC Optimum Monthly Principal 0.00
provided OC >0- Sec. 3.05(a)(vi)
To Designated Certificate Holder up to total 0.00
Accelerated Principal Payments
To Designated Certificate Holder up to Holdback 0.00
Amount
To HCLC any remaining amounts 0.00
Principal paid to the Designated Certificate 0.00
</TABLE>
