<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: May 12, 2000
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
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(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
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99 Statement to Series 1997-2 Participants with respect to
the distribution on May 12, 2000 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 May 15,
2000 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 May 15, 2000 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: May 24, 2000
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EXHIBIT INDEX
Exhibit
Number Exhibit
- ------- -------
99 Statement to Series 1997-2 Participants with respect to
the distribution on May 12, 2000 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
May 15, 2000 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 May 15, 2000 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 Mar 31, 2000
Current Due Period Ending Apr 30, 2000
Prior Distribution Date Apr 14, 2000
Distribution Date May 12, 2000
<S> <C>
Beginning Trust Principal Receivables 3,685,550,926.18
Average Principal Receivables 3,685,447,607.61
FC&A Collections (Includes Recoveries) 59,836,905.01
Principal Collections 117,469,064.43
Additional Balances 43,755,280.88
Net Principal Collections 73,713,783.55
Defaulted Amount 26,397,362.00
Miscellaneous Payments 0.00
Principal Recoveries 1,592,643.00
Beginning Participation Invested Amount 567,201,663.91
Beginning Participation Unpaid Principal 567,201,663.90
Balance
Ending Participation Invested Amount 551,794,252.27
Ending Participation Unpaid Principal Balance 551,794,252.26
Accelerated Amortization Date Oct 31, 2002
Is it the Accelerated Amortization Period? 0
0=No
OC Balance as % of Ending Participation 8.521%
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 567,201,663.91
Numerator for Fixed Allocation 582,661,431.58
Denominator - Max(Sum of Numerators, Principal 3,685,447,607.61
Receivables)
Applicable Allocation Percentage 15.3903%
Investor FC&A Collections 9,209,082.78
Series Participation Interest Default Amount
Numerator for Floating Allocation 567,201,663.91
Denominator - Max(Sum of Numerators, Principal 3,685,447,607.61
Receivables)
Floating Allocation Percentage 15.3903%
Series Participation Interest Default Amount 4,062,634.79
Principal Allocation Components
Numerator for Floating Allocation 567,201,663.91
Numerator for Fixed Allocation 582,661,431.58
Denominator - Max(Sum of Numerators, Principal 3,685,447,607.61
Receivables)
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<PAGE> 2
Series Participation Interest Monthly Interest
(a) Series Participation Interest Pass Through 7.5000%
Rate, [Max(b,c)]
(b) Prime Rate minus 1.50% 7.5000%
(c) Rate Sufficient to Cover Interest, Yield 6.1810%
and Accelerated Principal Pmt Amount
(d) Series Participation Interest Unpaid 567,201,663.90
Principal Balance
(e) Actual days in the Interest Period 28
Series Participation Monthly Interest, [a*d*e] 3,308,676.37
Series Participation Interest Interest 0.00
Shortfall
Previous Series Participation Interest Interest 0.00
Shortfall
Additional Interest 0.00
Series Participation Interest Monthly Principal
Available Investor Principal Collections, 15,407,411.64
[a+m+n]
(a) Investor Principal Collections, [Max(b,h) 11,344,776.85
or e]
(b) prior to Accelerated Amort. Date or not 11,344,776.85
Early Amort. Period, [c*d]
(c) Floating Allocation Percentage 15.3903%
(d) Net Principal Collections 73,713,783.55
(e) after Accelerated Amort Date or Early Amort 18,571,609.35
Period, [f*g]
(f) Fixed Allocation Percentage 15.8098%
(g) Collections of Principal
117,469,064.43
(h) Minimum Principal Amount, [Min(i,l)] 8,415,801.82
(i) Floating Allocation Percentage of 18,078,848.46
Principal Collections
(j) 2.5% or 2.2% of the Series Participation 12,478,436.61
Interest Invested Amount
(k) Series Participation Interest Net Default 4,062,634.79
Payment Amount
(l) the excess of (j) over (k) 8,415,801.82
(m) Series Participation Interest Net Default 4,062,634.79
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 9,209,082.78
[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 3,308,676.37
[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 4,062,634.79
[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)] 945,336.11
Excess [Sec. 4.11(a)(vi)] 892,435.51
Series Participation Investor Charge Off [Sec. 0.00
4.12(a)]
Seller's Interest
854,551,681.27
</TABLE>
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<TABLE>
Series 1997-2 Owner Trust Calculations
Due Period Ending Apr 30, 2000
Payment Date May 15, 2000
Calculation of Interest Expense
Index (LIBOR) 6.130000%
Accrual end date May 15, 2000
accrual beginning date Apr 17, 2000
and days in Interest Period 28
<S> <C> <C> <C> <C> <C> <C>
Class A-1 Class A-2 Class A-3 Class B Certificates Overcoll
Amount
Beginning 294,823,477 48,000,000 88,128,399 48,212,141 39,704,116 48,333,529
Unpaid
Principal
Balance
Previously 0.00 0.00 0.00 0.00 0.00
unpaid
interest/yield
Spread to 0.18% 0.29% 0.40% 0.65% 1.00%
index
Rate (capped 6.310000% 6.420000% 6.530000% 6.780000% 7.130000%
at 12.5%,
14%, 14%,
14%, 15%)
Interest/Yield 1,446,928 239,680 447,594 254,239 220,181
Payable on the
Principal
Balance
Interest on 0.00 0.00 0.00 0.00 0.00
previously
unpaid
interest/yield
Interest/Yield 1,446,928 239,680 447,594 254,239 220,181
Due
Interest/Yield 1,446,928 239,680 447,594 254,239 220,181
Paid
Summary
Beginning
Security 294,823,477 48,000,000 88,128,399 48,212,141 39,704,116 48,333,529
Balance
Beginning
Adjusted 294,823,477 48,000,000 88,128,399 48,212,141 39,704,116
Balance
Principal 8,008,633 0.00 3,697,779 1,309,630 1,078,519 1,431,018
Paid
Ending
Security 286,814,844 48,000,000 84,430,621 46,902,511 38,625,598 47,020,678
Balance
Ending
Adjusted 286,814,844 48,000,000 84,430,621 46,902,511 38,625,598
Balance
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Ending 7.0000%
Certificate
Balance as %
Participation
Interest
Invested
Amount
Targeted
Balance 286,933,011 60,697,368 84,430,621 46,902,511 38,625,598
Minimum
Adjusted 16,000,000 30,000,000 19,000,000 14,000,000 17,000,000
Balance
Certificate
Minimum 5,573,674
Balance
Ending OC
Amount as 29,439,469
Holdback
Amount
Ending OC
Amount as 17,581,210
Accelerated
Prin Pmts
Beginning 0.00 0.00 0.00 0.00 0.00 0.00
Net 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/Yie $1.5865440 $4.9933333 $4.9732706 $4.4603279 $5.2424138
ld Paid per
$1000
Principal $8.7813961 $0.0000000 $41.0864309 $22.9759649 $25.6790193
Paid per
$1000
</TABLE>
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<TABLE>
Series 1997-2 Owner Trust Calculations
Due Period April 2000
Payment Date May 15, 2000
<S> <C>
Optimum Monthly Principal [a+b+c]
(a) Available Investor Principal Collections 15,407,411.64
(b) Series Participation Interest Charge Offs 0.00
(c) Lesser of Excess Interest and Carryover 0.00
Charge offs
Accelerated Principal Payment 118,167.01
Series Participation Interest Monthly Interest 3,308,676.37
Allocation of Optimum Monthly Principal and
Series Part. Interest Monthly Interest
Interest and Yield
Pay Class A-1 Interest Distribution- Sec. 1,446,928.11
3.05(a)(i)(a)
Pay Class A-2 Interest Distribution- Sec. 239,680.00
3.05(a)(i)(b)
Pay Class A-3 Interest Distribution- Sec. 447,594.35
3.05(a)(i)(c)
Pay Class B Interest Distribution- Sec. 254,238.69
3.05(a)(i)(d)
Pay Certificates the Certificate Yield- Sec. 220,181.38
3.05(a)(i)(e)
Principal up to Optimum Monthly Principal
Balance
Pay Class A-1 to Targeted Principal Balance- 7,890,466.26
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 3,697,778.78
subject to Min Adj Bal- Sec. 3.05(a)(ii)(c)
Pay Class B to Targeted Principal Balance 1,309,630.00
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 1,078,518.81
subject to Min Adj Bal- Sec. 3.05(a)(iii)
Pay OC Remaining Optimal Monthly Prin Amt 1,431,017.79
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 0.00
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) 118,167.01
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 581,886.83
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 1,431,017.79
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 118,167.01
Accelerated Principal Payments
To Designated Certificate Holder up to Holdback 1,312,850.78
Amount
To HCLC any remaining amounts 0.00
Principal paid to the Designated Certificate 10,785.19
</TABLE>
