SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 of the
Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): November 16,1998
Sears Credit Account Master Trust II
(Exact name of registrant as specified in charter)
Illinois 0-24776 Not Applicable
(State of (Commission (IRS Employer
Organization) File Number) Identification No.)
c/o SRFG, Inc.
3711 Kennett Pike
Greenville, Delaware 19807
(Address of principal executive offices) (Zip Code)
Registrant's Telephone Number, including area code: (302) 888-3176
Former name, former address and former fiscal year, if changed since last
report: Not Applicable
Item 5. Other Events
On November 16, 1998, Registrant made available the Monthly Investor
Certificateholders' Statements set forth as Exhibits 20(a)through 20(k).
Item 7. Financial Statements and Exhibits
20(a). Series 1994-1 Monthly Investor Certificateholders' Statement
related to the distribution of November 16,1998 and reflecting
the performance of the Trust during the Due Period ended in
October 1998, which will accompany the distribution on November
16, 1998.
20(b). Series 1995-2 Monthly Investor Certificateholders'Statement
related to the distribution of November 16,1998 and reflecting
the performance of the Trust during the Due Period ended in
October 1998, which will accompany the distribution on November
16, 1998.
20(c). Series 1995-3 Monthly Investor Certificateholders'Statement
related to the distribution of November 16,1998 and reflecting
the performance of the Trust during the Due Period ended in
October 1998, which will accompany the distribution on November
16, 1998.
20(d). Series 1995-4 Monthly Investor Certificateholders'Statement
related to the distribution of November 16,1998 and reflecting
the performance of the Trust during the Due Period ended in
October 1998, which will accompany the distribution on November
16, 1998.
20(e). Series 1995-5 Monthly Investor Certificateholders' Statement
related to the distribution of November 16, 1998 and reflecting to
the performance of the Trust during the Due Period ended in
October 1998, which will accompany the distribution on November
16, 1998.
20(f). Series 1996-1 Monthly Investor Certificateholders'Statement
related to the distribution of November 16,1998 and reflecting to
the performance of the Trust during the Due Period ended in
October 1998, which will accompany the distribution on November
16, 1998.
20(g). Series 1996-2 Monthly Investor Certificateholders'Statement
related to the distribution of November 16,1998 and reflecting
the performance of the Trust during the Due Period ended in
October 1998, which will accompany the distribution on November
16, 1998.
20(h). Series 1996-3 Monthly Investor Certificateholders'Statement
related to the distribution of November 16,1998 and reflecting
the performance of the Trust during the Due Period ended in
October 1998, which will accompany the distribution on November
16, 1998.
20(i). Series 1996-4 Monthly Investor Certificateholders'Statement
related to the distribution of November 16,1998 and reflecting
the performance of the Trust during the Due Period ended in
October 1998, which will accompany the distribution on November
16, 1998.
20(j). Series 1997-1 Monthly Investor Certificateholders'Statement
related to the distribution of November 16,1998 and reflecting
the performance of the Trust during the Due Period ended in
October 1998, which will accompany the distribution on November
16, 1998.
20(k). Series 1998-1 Monthly Investor Certificateholders'Statement
related to the distribution of November 16,1998 and reflecting
the performance of the Trust during the Due Period ended in
October 1998, which will accompany the distribution on November
16, 1998.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of
1934, the Registrant has duly caused this report to be signed onits behalf by
the undersigned thereunto duly authorized.
Sears Credit Account Master Trust II
(Registrant)
By: SRFG, Inc.
(Originator of the Trust)
By: /s/ Donald J. Woytek
Donald J. Woytek
Vice President, Administration
Date: November 16, 1998
EXHIBIT INDEX
Exhibit No.
20(a). Series 1994-1 Monthly Investor Certificateholders'Statement
(November 16, 1998)
20(b). Series 1995-2 Monthly Investor Certificateholders'Statement
(November 16, 1998)
20(c). Series 1995-3 Monthly Investor Certificateholders'Statement
(November 16, 1998)
20(d). Series 1995-4 Monthly Investor Certificateholders'Statement
(November 16, 1998)
20(e). Series 1995-5 Monthly Investor Certificateholders'Statement
(November 16, 1998)
20(f). Series 1996-1 Monthly Investor Certificateholders'Statement
(November 16, 1998)
20(g). Series 1996-2 Monthly Investor Certificateholders'Statement
(November 16, 1998)
20(h). Series 1996-3 Monthly Investor Certificateholders'Statement
(November 16, 1998)
20(i). Series 1996-4 Monthly Investor Certificateholders'Statement
(November 16, 1998)
20(j). Series 1997-1 Monthly Investor Certificateholders'Statement
(November 16, 1998)
20(k). Series 1998-1 Monthly Investor Certificateholders'Statement
(November 16, 1998)
Exhibit 20(a)
Monthly Certificateholders' Statement
Sears Credit Account Master Trust II
Series 1994-1 Monthly Statement
Distribution Date: November 16, 1998 Due Period Ending: October, 1998
Under the Series Supplements relating to the Pooling and Servicing Agreement
dated as of July 31, 1994, as amended, by and among Sears, Roebuck and Co.,
SRFG, Inc. (formerly Sears Receivables Financing Group, Inc.) and The First
National Bank of Chicago as Trustee, the Trustee is required to prepare
certain information each month regarding current distributions to
Certificateholders and the performance of the Trust. The information for the
Due Period and the Distribution Date listed above is set forth below:
1.Payments or Allocations to Series 1994-1 Investors this Due Period
Total Interest Principal
Series 1994-1
Class A $35,260,416.67 $4,010,416.67 $31,250,000.00
Class B $202,395.83 $202,395.83 $0.00
Class C $3,942,924.38 $0.00 $3,942,924.38
2.Principal Receivables at the end of the Due Period
(a)TOTAL PRINCIPAL RECEIVABLES IN THE TRUST $10,927,695,934.56
Aggregate Investor Interest $7,240,255,201.61
Seller Interest $3,687,440,732.95
(b)INVESTOR INTEREST BY GROUPS
Group One Investor Interest $7,240,255,201.61
(c)INVESTOR INTEREST BY SERIES
Series 1994-1 Investor Interest $776,778,226.86
Series 1995-1 Investor Interest $235,295,000.00
Series 1995-2 Investor Interest $705,883,000.00
Series 1995-3 Investor Interest $588,240,000.00
Series 1995-4 Investor Interest $187,427,974.74
Series 1995-5 Investor Interest $588,250,000.00
Series 1996-1 Investor Interest $588,240,000.00
Series 1996-2 Investor Interest $588,240,000.00
Series 1996-3 Investor Interest $588,240,000.00
Series 1996-4 Investor Interest $588,240,000.00
Series 1996-5 Investor Interest $628,931,000.00
Series 1997-1 Investor Interest $588,240,000.00
Series 1998-1 Investor Interest $588,250,000.00
(d)INVESTOR INTEREST BY CLASS (SERIES 1994-1)
Class A Investor Interest $656,250,000.00
Class B Investor Interest $33,500,000.00
Class C Investor Interest $87,028,226.86
TOTAL CLASS INVESTOR INTEREST $776,778,226.86
3.Allocation of Collections During the Due Period
(a)TOTAL COLLECTIONS $739,119,137.79
Principal Receivables Collected $552,547,843.45
Finance Charge Receivables Collected $186,571,294.34
Recovered Amounts added as Additional Funds $14,484,440.04
<TABLE>
<CAPTION>
Additional
Finance Charge Principal Allocable
Collections Collections Amounts
<S> <C> <C> <C>
(b)ALLOCATION OF COLLECTIONS
WITH RESPECT TO THE INVESTOR
INTEREST AND THE SELLER INTEREST
Aggregate Investor Allocation
(Aggregate Investor Percentage
multiplied by total Collections
received during the Due Period) $123,775,371.66 $366,572,011.71 $14,484,440.04
Seller Allocation (Seller Percentage
multiplied by total Collections
received during the Due Period) $62,795,922.66 $185,975,831.74 $0.00
(c)Group One Allocation $123,775,371.66 $366,572,011.71 $14,484,440.04
(d)Series 1994-1 Allocation $13,731,248.90 $40,666,341.50 $1,606,858.04
(e)Reallocations of Collections to
Series 1994-1 from other series in
Group One and application of Charge-
Off reimbursements to Principal
payments. $0.00 $0.00 $0.00
</TABLE>
4.Information Concerning Controlled Amortization Amount
Amount Distributed Total Distributions
this Due Period through this Due Period
SERIES 1994-1 BY CLASS:
Class A $31,250,000.00 $93,750,000.00
Class B $0.00 $0.00
Class C $3,942,924.38 $11,828,773.14
5.Investor Charged-Off Amounts
This Due Period
(a)Group One (the sum of the Series Investor
Charged-Off Amounts for all Series in Group One) $48,081,378.90
(b)Series 1994-1 (the sum of the Class Investor
Charged-Off Amounts for all Classes in Series 1994-1) $5,333,996.35
(c)Series 1994-1 By Class:
Class A (Class A Percentage multiplied
by the Charged-Off Amount) $4,516,321.16
Class B (Class B Percentage multiplied
by the Charged-Off Amount) $220,068.01
Class C (Class C Percentage multiplied
by the Charged-Off Amount) $597,607.18
6.Investor Losses Total
(a)Group One $0.00
(b)Series 1994-1 0.00
(c)Series 1994-1 By Class:
Class A $0.00
Class B $0.00
Class C $0.00
7.Monthly Servicing Fee Payable This Due Period
SELLER SERVICING FEE $6,188,861.38
INVESTOR SERVICING FEE
(a)Group One $12,198,699.93
(b)Series 1994-1 $1,353,285.25
8.Performance Analysis
(a)Portfolio Yield (Finance Charge Collections
during the Due Period divided by Principal
Receivables in the Trust as of the first
day of the Due Period) 20.29%
(b)Charge-Offs (Charged-Off Amounts during
the Due Period divided by Principal
Receivables in the Trust as of the
first day of the Due Period) 7.88%
(c)Recoveries (Recovered Amounts added as
Additional Funds on the Distribution Date
divided by Aggregate Investor Interest in the
Trust as of the first day of the Due Period) 2.37%
(d)Investor Servicing Fee Percentage
(weighted average of Investor Servicing
Fees for Series 1994-1) 2.00%
(e)Weighted Average Certificate Rate
(weighted average certificate rates for all
classes of Series 1994-1) 6.23%
(f)Series Excess Servicing Percentage (the sum of
Portfolio Yield and Recoveries minus the sum of
Charge-Offs, the Investor Servicing Fee Percentage
and the Weighted Average Certificate Rate) 6.55%
(g)Total Payment Rate (Aggregate Collections
during the Due Period divided by the aggregate
amount of Receivables in the Trust as of
the first day of the Due Period) 6.59%
9.Summary Delinquency Aging Information
The Accounts in the Trust had the following delinquency profiles (1):
October, 1998
Delinquencies as a % of balances
60 - 89 days past due............................ 1.80%
90 - 119 days past due.......................... 1.34%
120 days or more past due.................... 2.75%
Total Delinquencies 5.89%
(1) In general, an account is considered delinquent when its cumulative
past due balance is three or more times the scheduled minimum monthly
payment.The delinquencies as of the end of each month are divided by balances
atthe beginning of each such month. The data in this le (i) reflect the
percentage of account balances for which the cumulative past due amount is
three, four, and five or more times, respectively, the scheduled minimum
monthly payment and (ii) exclude approximately 5% of the receivables in the
Trust, which were converted to the Total Systems Services, Inc. ("TSYS")
account processing system. For a discussion of Sears change to a new aging
methodology in connection with the conversion of its receivables processing
system to the TSYS account processing system, which will have an effect on
reported delinquency levels, see the Trust's Current Report on Form 8-K filed
on May 14, 1998.
THE FIRST NATIONAL BANK OF CHICAGO,
as Trustee
By:/s/Diane Swanson
Diane Swanson
Assistant Vice President
Exhibit 20(b)
Monthly Certificateholders' Statement
Sears Credit Account Master Trust II
Series 1995-2 Monthly Statement
Distribution Date: November 16, 1998 Due Period Ending: October, 1998
Under the Series Supplements relating to the Pooling and Servicing Agreement
dated as of July 31, 1994, as amended, by and among Sears, Roebuck and Co.,
SRFG, Inc. (formerly Sears Receivables Financing Group, Inc.) and The First
National Bank of Chicago as Trustee, the Trustee is required to prepare
certain information each month regarding current distributions to
Certificateholders and the performance of the Trust. The information for the
Due Period and the Distribution Date listed above is set forth below:
1.Payments or Allocations to Series 1995-2 Investors this Due Period
Total Interest Principal
Series 1995-2
Class A $4,050,000.00 $4,050,000.00 $0.00
Class B $186,514.83 $186,514.83 $0.00
Class C $0.00 $0.00 $0.00
2.Principal Receivables at the end of the Due Period
(a)TOTAL PRINCIPAL RECEIVABLES IN THE TRUST $10,927,695,934.56
Aggregate Investor Interest $7,240,255,201.61
Seller Interest $3,687,440,732.95
(b)INVESTOR INTEREST BY GROUPS
Group One Investor Interest $7,240,255,201.61
(c)INVESTOR INTEREST BY SERIES
Series 1994-1 Investor Interest $776,778,226.86
Series 1995-1 Investor Interest $235,295,000.00
Series 1995-2 Investor Interest $705,883,000.00
Series 1995-3 Investor Interest $588,240,000.00
Series 1995-4 Investor Interest $187,427,974.74
Series 1995-5 Investor Interest $588,250,000.00
Series 1996-1 Investor Interest $588,240,000.00
Series 1996-2 Investor Interest $588,240,000.00
Series 1996-3 Investor Interest $588,240,000.00
Series 1996-4 Investor Interest $588,240,000.00
Series 1996-5 Investor Interest $628,931,000.00
Series 1997-1 Investor Interest $588,240,000.00
Series 1998-1 Investor Interest $588,250,000.00
(d)INVESTOR INTEREST BY CLASS (SERIES 1995-2)
Class A Investor Interest $600,000,000.00
Class B Investor Interest $26,966,000.00
Class C Investor Interest $78,917,000.00
TOTAL CLASS INVESTOR INTEREST $705,883,000.00
3.Allocation of Collections During the Due Period
(a)TOTAL COLLECTIONS $739,119,137.79
Principal Receivables Collected $552,547,843.45
Finance Charge Receivables Collected $186,571,294.34
Recovered Amounts added as Additional Funds $14,484,440.04
<TABLE>
<CAPTION>
Additional
Finance Charge Principal Allocable
Collections Collections Amounts
<S> <C> <C> <C>
(b)ALLOCATION OF COLLECTIONS
WITH RESPECT TO THE INVESTOR
INTEREST AND THE SELLER INTEREST
Aggregate Investor Allocation
(Aggregate Investor Percentage
multiplied by total Collections
received during the Due Period) $123,775,371.66 $366,572,011.71 $14,484,440.04
Seller Allocation (Seller Percentage
multiplied by total Collections
received during the Due Period) $62,795,922.66 $185,975,831.74 $0.00
(c)Group One Allocation $123,775,371.66 $366,572,011.71 $14,484,440.04
(d)Series 1995-2 Allocation $11,937,191.56 $35,353,077.62 $1,396,913.89
(e)Reallocations of Collections to
Series 1995-2 from other series in
Group One and application of Charge-
Off reimbursements to Principal
payments. $0.00 $0.00 $0.00
</TABLE>
4.Information Concerning Controlled Amortization Amount
Amount Distributed Total Distributions
this Due Period through this Due Period
SERIES 1995-2 BY CLASS:
Class A $0.00 $0.00
Class B $0.00 $0.00
Class C $0.00 $0.00
5.Investor Charged-Off Amounts This Due Period
(a)Group One (the sum of the Series Investor Charged-
Off Amounts for all Series in Group One) $48,081,378.90
(b)Series 1995-2 (the sum of the Class Investor Charged-
Off Amounts for all Classes in Series 1995-2) $4,637,082.66
(c)Series 1995-2 By Class:
Class A (Class A Percentage multiplied
by the Charged-Off Amount) $3,941,516.65
Class B (Class B Percentage multiplied
by the Charged-Off Amount) $177,144.90
Class C (Class C Percentage multiplied
by the Charged-Off Amount) $518,421.12
6.Investor Losses
Total
(a)Group One $0.00
(b)Series 1995-2 $0.00
(c)Series 1995-2 By Class:
Class A $0.00
Class B $0.00
Class C $0.00
7.Monthly Servicing Fee Payable This Due Period
SELLER SERVICING FEE $6,188,861.38
INVESTOR SERVICING FEE
(a)Group One $12,198,699.93
(b)Series 1995-2 $1,176,471.67
8.Performance Analysis
(a)Portfolio Yield (Finance Charge Collections
during the Due Period divided by Principal
Receivables in the Trust as of the first
day of the Due Period) 20.29%
(b)Charge-Offs (Charged-Off Amounts during
the Due Period divided by Principal
Receivables in the Trust as of the
first day of the Due Period) 7.88%
(c)Recoveries (Recovered Amounts added as
Additional Funds on the Distribution Date
divided by Aggregate Investor Interest in the
Trust as of the first day of the Due Period) 2.37%
(d)Investor Servicing Fee Percentage
(weighted average of Investor Servicing
Fees for Series 1995-2) 2.00%
(e)Weighted Average Certificate Rate
(weighted average certificate rates for all
classes of Series 1995-2) 7.20%
(f)Series Excess Servicing Percentage (the sum of
Portfolio Yield and Recoveries minus the sum of
Charge-Offs, the Investor Servicing Fee Percentage
and the Weighted Average Certificate Rate) 5.58%
(g)Total Payment Rate (Aggregate Collections
during the Due Period divided by the aggregate
amount of Receivables in the Trust as of
the first day of the Due Period) 6.59%
9.Summary Delinquency Aging Information
The Accounts in the Trust had the following delinquency profiles (1):
October, 1998
Delinquencies as a % of balances
60 - 89 days past due..........................1.80%
90 - 119 days past due.........................1.34%
120 days or more past due......................2.75%
Total Delinquencies 5.89%
(1) In general, an account is considered delinquent when its cumulative past
due balance is three or more times the scheduled minimum monthly payment.
The delinquencies as of the end of each month are divided by balances at
the beginning of each such month. The data in this table (i) reflect the
percentage of account balances for which the cumulative past due amount is
three, four, and five or more times, respectively, the scheduled minimum
monthly payment and (ii) exclude approximately 5% of the receivables in the
Trust, which were converted to the Total Systems Services, Inc. ("TSYS")
account processing system. For a discussion of Sears change to a new aging
methodology in connection with the conversion of its receivables processing
system to the TSYS account processing system, which will have an effect on
reported delinquency levels, see the Trust's Current Report on Form 8-K filed
on May 14, 1998.
THE FIRST NATIONAL BANK OF CHICAGO,
as Trustee
By:/s/Diane Swanson
Diane Swanson
Assistant Vice President
Exhibit 20(c)
Monthly Certificateholders' Statement
Sears Credit Account Master Trust II
Series 1995-3 Monthly Statement
Distribution Date: November 16, 1998 Due Period Ending:
October, 1998
Under the Series Supplements relating to the Pooling and Servicing
Agreement dated as of July 31, 1994, as amended, by and among
Sears, Roebuck and Co., SRFG, Inc. (formerly Sears Receivables
Financing Group, Inc.) and The First National Bank of Chicago as
Trustee, the Trustee is required to prepare certain information
each month regarding current distributions to Certificateholders
and the performance of the Trust. The information for the Due
Period and the Distribution Date listed above is set forth below:
1.Payments or Allocations to Series 1995-3 Investors this Due
Period
Total Interest
Principal Series 1995-3
Class A $2,916,666.67 $2,916,666.67
$0.00
Class B $135,937.50 $135,937.50
$0.00
Class C $0.00 $0.00
$0.00
2.Principal Receivables at the end of the Due Period
(a)TOTAL PRINCIPAL RECEIVABLES IN THE TRUST $10,927,695,934.56
Aggregate Investor Interest $7,240,255,201.61
Seller Interest $3,687,440,732.95
(b)INVESTOR INTEREST BY GROUPS
Group One Investor Interest $7,240,255,201.61
(c)INVESTOR INTEREST BY SERIES
Series 1994-1 Investor Interest $776,778,226.86
Series 1995-1 Investor Interest $235,295,000.00
Series 1995-2 Investor Interest $705,883,000.00
Series 1995-3 Investor Interest $588,240,000.00
Series 1995-4 Investor Interest $187,427,974.74
Series 1995-5 Investor Interest $588,250,000.00
Series 1996-1 Investor Interest $588,240,000.00
Series 1996-2 Investor Interest $588,240,000.00
Series 1996-3 Investor Interest $588,240,000.00
Series 1996-4 Investor Interest $588,240,000.00
Series 1996-5 Investor Interest $628,931,000.00
Series 1997-1 Investor Interest $588,240,000.00
Series 1998-1 Investor Interest $588,250,000.00
(d)INVESTOR INTEREST BY CLASS (SERIES 1995-3)
Class A Investor Interest $500,000,000.00
Class B Investor Interest $22,500,000.00
Class C Investor Interest $65,740,000.00
TOTAL CLASS INVESTOR INTEREST $588,240,000.00
3.Allocation of Collections During the Due Period
(a)TOTAL COLLECTIONS $739,119,137.79
Principal Receivables Collected $552,547,843.45
Finance Charge Receivables Collected $186,571,294.34
Recovered Amounts added as Additional Funds $14,484,440.04
<TABLE>
<CAPTION>
Additional
Finance Charge Principal Allocable
Collections Collections Amounts
<S> <C> <C> <C>
(b)ALLOCATION OF COLLECTIONS
WITH RESPECT TO THE INVESTOR
INTEREST AND THE SELLER INTEREST
Aggregate Investor Allocation
(Aggregate Investor Percentage
multiplied by total Collections
received during the Due Period) $123,775,371.66 $366,572,011.71 $14,484,440.04
Seller Allocation (Seller Percentage
multiplied by total Collections
received during the Due Period) $62,795,922.66 $185,975,831.74 $0.00
(c)Group One Allocation $123,775,371.66 $366,572,011.71 $14,484,440.04
(d)Series 1995-3 Allocation $9,947,730.09 $29,461,106.70 $1,164,103.15
(e)Reallocations of Collections to
Series 1995-3 from other series in
Group One and application of Charge-
Off reimbursements to Principal
payments. $0.00 $0.00 $0.00
</TABLE>
4.Information Concerning Controlled
Amortization Amount
Amount Distributed Total Distributions
this Due Period through this Due Period
SERIES 1995-3 BY CLASS:
Class A $0.00 $0.00
Class B $0.00 $0.00
Class C $0.00 $0.00
5.Investor Charged-Off Amounts
This Due Period
(a)Group One (the sum of the Series Investor
Charged-Off Amounts for all Series in Group One) $48,081,378.90
(b)Series 1995-3 (the sum of the Class
Investor Charged-off Amounts for all Classes
in Series 1995-3) $3,864,262.92
(c)Series 1995-3 By Class:
Class A (Class A Percentage multiplied
by the Charged-Off Amount)
$3,284,597.21
Class B (Class B Percentage multiplied
by the Charged-Off Amount) $147,806.87
Class C (Class C Percentage multiplied
by the Charged-Off Amount) $431,858.84
6.Investor Losses
Total
(a)Group One $0.00
(b)Series 1995-3 $0.00
(c)Series 1995-3 By Class:
Class A $0.00
Class B $0.00
Class C $0.00
7.Monthly Servicing Fee Payable This Due
Period
SELLER SERVICING FEE $6,188,861.38
INVESTOR SERVICING FEE
(a)Group One $12,198,699.93
(b)Series 1995-3 $980,400.00
8.Performance Analysis
(a)Portfolio Yield (Finance Charge Collections
during the Due Period divided by Principal
Receivables in the Trust as of the first
day of the Due Period 20.29%
(b)Charge-Offs (Charged-Off Amounts during
the Due Period divided by Principal
Receivables in the Trust as of the
first day of the Due Period) 7.88%
(c)Recoveries (Recovered Amounts added as
Additional Funds on the Distribution Date
divided by Aggregate Investor Interest in the
Trust as of the first day of the Due Period) 2.37%
(d)Investor Servicing Fee Percentage
(weighted average of Investor Servicing
Fees for Series 1995-3) 2.00%
(e)Weighted Average Certificate Rate
(weighted average certificate rates for all
classes of Series 1995-3) 6.23%
(f)Series Excess Servicing Percentage (the sum
of Portfolio Yield and Recoveries minus the sum
of Charge-Offs, the Investor Servicing Fee
Percentage and the Weighted Average Certificate Rate) 6.55%
(g)Total Payment Rate (Aggregate Collections
during the Due Period divided by the aggregate
amount of Receivables in the Trust as of
the first day of the Due Period) 6.59%
9.Summary Delinquency Aging Information
The Accounts in the Trust had the following
delinquency profiles (1):
October, 1998
Delinquencies as a % of balances
60 - 89 days past due...........................1.80%
90 - 119 days past due..........................1.34%
120 days or more past due.......................2.75%
Total Delinquencies 5.89%
(1) In general, an account is considered delinquent when its cumulative past
due balance is three or more times the scheduled minimum monthly payment. The
delinquencies as of the end of each month are divided by balances at the
beginning of each such month. The data in this table (i) reflect the percentage
of account balances for which the cumulative past due amount is three, four, and
five or more times, respectively, the scheduled minimum monthly payment and (ii)
exclude approximately 5% of the receivables in the Trust, which were
converted to the Total Systems Services, Inc. ("TSYS") account processing
system. For a discussion of Sears change to a new aging methodology in
connection with the conversion of its receivables processing system to the TSYS
account processing system, which will have an effect on reported delinquency
levels, see the Trust's Current Report on Form 8-K filed on May 14, 1998.
THE FIRST NATIONAL BANK OF CHICAGO,
as Trustee
By:/s/Diane Swanson
Diane Swanson
Assistant Vice President
Exhibit 20(d)
Monthly Certificateholders' Statement
Sears Credit Account Master Trust II
Series 1995-4 Monthly Statement
Distribution Date: November 16, 1998 Due Period Ending: October, 1998
Under the Series Supplements relating to the Pooling and Servicing Agreement
dated as of July 31, 1994, as amended, by and among Sears, Roebuck and Co.,
SRFG, Inc. (formerly Sears Receivables Financing Group, Inc.) and The First
National Bank of Chicago as Trustee, the Trustee is required to prepare
certain information each month regarding current distributions to
Certificateholders and the performance of the Trust. The information for the
Due Period and the Distribution Date listed above is set forth below:
1.Payments or Allocations to Series 1995-4 Investors this Due Period
Total Interest Principal
Series 1995-4
Class A $42,534,722.23 $868,055.56 $41,666,666.67
Class B $119,062.50 $119,062.50 $0.00
Class C $2,105,166.00 $0.00 $2,105,166.00
2.Principal Receivables at the end of the Due Period
(a)TOTAL PRINCIPAL RECEIVABLES IN THE TRUST $10,927,695,934.56
Aggregate Investor Interest $7,240,255,201.61
Seller Interest $3,687,440,732.95
(b)INVESTOR INTEREST BY GROUPS
Group One Investor Interest $7,240,255,201.61
(c)INVESTOR INTEREST BY SERIES
Series 1994-1 Investor Interest $776,778,226.86
Series 1995-1 Investor Interest $235,295,000.00
Series 1995-2 Investor Interest $705,883,000.00
Series 1995-3 Investor Interest $588,240,000.00
Series 1995-4 Investor Interest $187,427,974.74
Series 1995-5 Investor Interest $588,250,000.00
Series 1996-1 Investor Interest $588,240,000.00
Series 1996-2 Investor Interest $588,240,000.00
Series 1996-3 Investor Interest $588,240,000.00
Series 1996-4 Investor Interest $588,240,000.00
Series 1996-5 Investor Interest $628,931,000.00
Series 1997-1 Investor Interest $588,240,000.00
Series 1998-1 Investor Interest $588,250,000.00
(d)INVESTOR INTEREST BY CLASS (SERIES 1995-4)
Class A Investor Interest $124,999,999.97
Class B Investor Interest $22,500,000.00
Class C Investor Interest $39,927,974.77
TOTAL CLASS INVESTOR INTEREST $187,427,974.74
3.Allocation of Collections During the Due Period
(a)TOTAL COLLECTIONS $739,119,137.79
Principal Receivables Collected $552,547,843.45
Finance Charge Receivables Collected $186,571,294.34
Recovered Amounts added as Additional Funds $14,484,440.04
<TABLE>
<CAPTION>
Additional
Finance Charge Principal Allocable
Collections Collections Amounts
<S> <C> <C> <C>
(b)ALLOCATION OF COLLECTIONS
WITH RESPECT TO THE INVESTOR
INTEREST AND THE SELLER INTEREST
Aggregate Investor Allocation
(Aggregate Investor Percentage
multiplied by total Collections
received during the Due Period) $123,775,371.66 $366,572,011.71 $14,484,440.04
Seller Allocation (Seller Percentage
multiplied by total Collections
received during the Due Period) $62,795,922.66 $185,975,831.74 $0.00
(c)Group One Allocation $123,775,371.66 $366,572,011.71 $14,484,440.04
(d)Series 1995-4 Allocation $3,909,821.30 $11,579,291.10 $457,535.06
(e)Reallocations of Collections
to Series 1995-4 from other series
in Group One and application of Charge
- -Off reimbursements to Principal
payments. $0.00 $32,192,541.56 $0.00
</TABLE>
4.Information Concerning Controlled Amortization Amount
Amount Distributed Total Distributions
this Due Period through this Due Period
SERIES 1995-4 BY CLASS:
Class A $41,666,666.67 $375,000,000.03
Class B $0.00 $0.00
Class C $2,105,166.00 $21,402,025.23
5.Investor Charged-Off Amounts
This Due Period
(a)Group One (the sum of the Series Investor Charged-
Off Amounts for all Series in Group One) $48,081,378.90
(b)Series 1995-4 (the sum of the Class Investor Charged-
Off Amounts for all Classes in Series 1995-4) $1,518,796.48
(c)Series 1995-4 By Class:
Class A (Class A Percentage multiplied
by the Charged-Off Amount) $1,094,865.74
Class B (Class B Percentage multiplied
by the Charged-Off Amount) $147,806.87
Class C (Class C Percentage multiplied
by the Charged-Off Amount) $276,123.87
6.Investor Losses
Total
(a)Group One $0.00
(b)Series 1995-4 $0.00
(c)Series 1995-4 By Class:
Class A $0.00
Class B $0.00
Class C $0.00
7.Monthly Servicing Fee Payable This Due Period
SELLER SERVICING FEE $6,188,861.38
INVESTOR SERVICING FEE
(a)Group One $12,198,699.93
(b)Series 1995-4 $385,333.01
8.Performance Analysis
(a)Portfolio Yield (Finance Charge Collections
during the Due Period divided by Principal
Receivables in the Trust as of the first
day of the Due Period) 20.29%
(b)Charge-Offs (Charged-Off Amounts during
the Due Period divided by Principal
Receivables in the Trust as of the
first day of the Due Period) 7.88%
(c)Recoveries (Recovered Amounts added as
Additional Funds on the Distribution Date
divided by Aggregate Investor Interest in the
Trust as of the first day of the Due Period) 2.37%
(d)Investor Servicing Fee Percentage
(weighted average of Investor Servicing
Fees for Series 1995-4) 2.00%
(e)Weighted Average Certificate Rate
(weighted average certificate rates for all
classes of Series 1995-4) 5.12%
(f)Series Excess Servicing Percentage (the sum of
Portfolio Yield and Recoveries minus the sum of
Charge-Offs, the Investor Servicing Fee Percentage
and the Weighted Average Certificate Rate) 7.66%
(g)Total Payment Rate (Aggregate Collections
during the Due Period divided by the aggregate
amount of Receivables in the Trust as of
the first day of the Due Period) 6.59%
9.Summary Delinquency Aging Information
The Accounts in the Trust had the following delinquency profiles (1):
October, 1998
Delinquencies as a % of balances
60 - 89 days past due............................1.80%
90 - 119 days past due...........................1.34%
120 days or more past due........................2.75%
Total Delinquencies 5.89%
(1) In general, an account is considered delinquent when its cumulative
past due balance is three or more times the scheduled minimum monthly
payment. The delinquencies as of the end of each month are divided by
balances at the beginning of each such month. The data in this table (i)
reflect the percentage of account balances for which the cumulative past due
amount is three, four, and five or more times, respectively, the scheduled
minimum monthly payment and (ii) exclude approximately 5% of the receivables
in the Trust, which were converted to the Total Systems Services, Inc.
("TSYS") account processing system. For a discussion of Sears change to a new
aging methodology in connection with the conversion of its receivables
processing system to the TSYS account processing system, which will have an
effect on reported delinquency levels, see the Trust's Current Report on Form
8-K filed on May 14, 1998.
THE FIRST NATIONAL BANK OF CHICAGO,
as Trustee
By:/s/Diane Swanson
Diane Swanson
Assistant Vice President
Exhibit 20(e)
Monthly Certificateholders' Statement
Sears Credit Account Master Trust II
Series 1995-5 Monthly Statement
Distribution Date: November 16, 1998 Due Period Ending: October, 1998
Under the Series Supplements relating to the Pooling and Servicing Agreement
dated as of July 31, 1994, as amended, by and among Sears, Roebuck and Co.,
SRFG, Inc. (formerly Sears Receivables Financing Group, Inc.) and The First
National Bank of Chicago as Trustee, the Trustee is required to prepare
certain information each month regarding current distributions to
Certificateholders and the performance of the Trust. The information for the
Due Period and the Distribution Date listed above is set forth below:
1.Payments or Allocations to Series 1995-5 Investors this Due Period
Total Interest Principal
Series 1995-5
Class A $2,520,833.33 $2,520,833.33 $0.00
Class B $117,438.33 $117,438.33 $0.00
Class C $0.00 $0.00 $0.00
2.Principal Receivables at the end of the Due Period
(a)TOTAL PRINCIPAL RECEIVABLES IN THE TRUST $10,927,695,934.56
Aggregate Investor Interest $7,240,255,201.61
Seller Interest $3,687,440,732.95
(b)INVESTOR INTEREST BY GROUPS
Group One Investor Interest $7,240,255,201.61
(c)INVESTOR INTEREST BY SERIES
Series 1994-1 Investor Interest $776,778,226.86
Series 1995-1 Investor Interest $235,295,000.00
Series 1995-2 Investor Interest $705,883,000.00
Series 1995-3 Investor Interest $588,240,000.00
Series 1995-4 Investor Interest $187,427,974.74
Series 1995-5 Investor Interest $588,250,000.00
Series 1996-1 Investor Interest $588,240,000.00
Series 1996-2 Investor Interest $588,240,000.00
Series 1996-3 Investor Interest $588,240,000.00
Series 1996-4 Investor Interest $588,240,000.00
Series 1996-5 Investor Interest $628,931,000.00
Series 1997-1 Investor Interest $588,240,000.00
Series 1998-1 Investor Interest $588,250,000.00
(d)INVESTOR INTEREST BY CLASS (SERIES 1995-5)
Class A Investor Interest $500,000,000.00
Class B Investor Interest $22,730,000.00
Class C Investor Interest $65,520,000.00
TOTAL CLASS INVESTOR INTEREST $588,250,000.00
3.Allocation of Collections During the Due Period
(a)TOTAL COLLECTIONS $739,119,137.79
Principal Receivables Collected $552,547,843.45
Finance Charge Receivables Collected $186,571,294.34
Recovered Amounts added as Additional Funds $14,484,440.04
<TABLE>
<CAPTION>
Additional
Finance Charge Principal Allocable
Collections Collections Amounts
<S> <C> <C> <C>
(b)ALLOCATION OF COLLECTIONS
WITH RESPECT TO THE INVESTOR
INTEREST AND THE SELLER INTEREST
Aggregate Investor Allocation
(Aggregate Investor Percentage
multiplied by total Collections
received during the Due Period) $123,775,371.66 $366,572,011.71 $14,484,440.04
Seller Allocation (Seller Percentage
multiplied by total Collections
received during the Due Period) $62,795,922.66 $185,975,831.74 $0.00
(c)Group One Allocation $123,775,371.66 $366,572,011.71 $14,484,440.04
(d)Series 1995-5 Allocation $9,947,899.20 $29,461,607.54 $1,164,122.94
(e)Reallocations of Collections to
Series 1995-5 from other series in
Group One and application of Charge-
Off reimbursements to Principal
payments. $0.00 $0.00 $0.00
</TABLE>
4.Information Concerning Controlled Amortization Amount
Amount Distributed Total Distributions
this Due Period through this Due Period
SERIES 1995-5 BY CLASS:
Class A $0.00 $0.00
Class B $0.00 $0.00
Class C $0.00 $0.00
5.Investor Charged-Off Amounts
This Due Period
(a)Group One (the sum of the Series Investor Charged-
Off Amounts for all Series in Group One) $48,081,378.90
(b)Series 1995-5 (the sum of the Class Investor Charged-
Off Amounts for all Classes in Series 1995-5) $3,864,328.62
(c)Series 1995-5 By Class:
Class A (Class A Percentage multiplied
by the Charged-Off Amount) $3,284,597.21
Class B (Class B Percentage multiplied
by the Charged-Off Amount) $149,317.79
Class C (Class C Percentage multiplied
by the Charged-Off Amount) $430,413.62
6.Investor Losses
Total
(a)Group One $0.00
(b)Series 1995-5 $0.00
(c)Series 1995-5 By Class:
Class A $0.00
Class B $0.00
Class C $0.00
7.Monthly Servicing Fee Payable This Due Period
SELLER SERVICING FEE $6,188,861.38
INVESTOR SERVICING FEE
(a)Group One $12,198,699.93
(b)Series 1995-5 $980,416.67
8.Performance Analysis
(a)Portfolio Yield (Finance Charge Collections
during the Due Period divided by Principal
Receivables in the Trust as of the first
day of the Due Period) 20.29%
(b)Charge-Offs (Charged-Off Amounts during
the Due Period divided by Principal
Receivables in the Trust as of the
first day of the Due Period) 7.88%
(c)Recoveries (Recovered Amounts added as
Additional Funds on the Distribution Date
divided by Aggregate Investor Interest in the
Trust as of the first day of the Due Period) 2.37%
(d)Investor Servicing Fee Percentage
(weighted average of Investor Servicing
Fees for Series 1995-5) 2.00%
(e)Weighted Average Certificate Rate
(weighted average certificate rates for all
classes of Series 1995-5) 5.38%
(f)Series Excess Servicing Percentage (the sum of
Portfolio Yield and Recoveries minus the sum of
Charge-Offs, the Investor Servicing Fee Percentage
and the Weighted Average Certificate Rate) 7.40%
(g)Total Payment Rate (Aggregate Collections
during the Due Period divided by the aggregate
amount of Receivables in the Trust as of
the first day of the Due Period) 6.59%
9.Summary Delinquency Aging Information
The Accounts in the Trust had the following delinquency profiles (1):
October, 1998
Delinquencies as a % of balances
60 - 89 days past due...........................1.80%
90 - 119 days past due..........................1.34%
120 days or more past due.......................2.75%
Total Delinquencies 5.89%
(1) In general, an account is considered delinquent when its cumulative
past due balance is three or more times the scheduled minimum monthly
payment. The delinquencies as of the end of each month are divided by
balances at the beginning of each such month. The data in this table (i)
reflect the percentage of account balances for which the cumulative past due
amount is three, four, and five or more times, respectively, the scheduled
minimum monthly payment and (ii) exclude approximately 5% of the receivables
in the Trust, which were converted to the Total Systems Services, Inc.
("TSYS") account processing system. For a discussion of Sears change to a new
aging methodology in connection with the conversion of its receivables
processing system to the TSYS account processing system, which will have an
effect on reported delinquency levels, see the Trust's Current Report on Form
8-K filed on May 14, 1998.
THE FIRST NATIONAL BANK OF CHICAGO,
as Trustee
By:/s/Diane Swanson
Diane Swanson
Assistant Vice President
Exhibit 20(f)
Monthly Certificateholders' Statement
Sears Credit Account Master Trust II
Series 1996-1 Monthly Statement
Distribution Date: November 16, 1998 Due Period Ending: October, 1998
Under the Series Supplements relating to the Pooling and Servicing Agreement
dated as of July 31, 1994, as amended, by and among Sears, Roebuck and Co.,
SRFG, Inc. (formerly Sears Receivables Financing Group, Inc.) and The First
National Bank of Chicago as Trustee, the Trustee is required to prepare
certain information each month regarding current distributions to
Certificateholders and the performance of the Trust. The information for the
Due Period and the Distribution Date listed above is set forth below:
1.Payments or Allocations to Series 1996-1 Investors this Due Period
Total Interest Principal
Series 1996-1
Class A $2,583,333.33 $2,583,333.33 $0.00
Class B $119,062.50 $119,062.50 $0.00
Class C $0.00 $0.00 $0.00
2.Principal Receivables at the end of the Due Period
(a)TOTAL PRINCIPAL RECEIVABLES IN THE TRUST $10,927,695,934.56
Aggregate Investor Interest $7,240,255,201.61
Seller Interest $3,687,440,732.95
(b)INVESTOR INTEREST BY GROUPS
Group One Investor Interest $7,240,255,201.61
(c)INVESTOR INTEREST BY SERIES
Series 1994-1 Investor Interest $776,778,226.86
Series 1995-1 Investor Interest $235,295,000.00
Series 1995-2 Investor Interest $705,883,000.00
Series 1995-3 Investor Interest $588,240,000.00
Series 1995-4 Investor Interest $187,427,974.74
Series 1995-5 Investor Interest $588,250,000.00
Series 1996-1 Investor Interest $588,240,000.00
Series 1996-2 Investor Interest $588,240,000.00
Series 1996-3 Investor Interest $588,240,000.00
Series 1996-4 Investor Interest $588,240,000.00
Series 1996-5 Investor Interest $628,931,000.00
Series 1997-1 Investor Interest $588,240,000.00
Series 1998-1 Investor Interest $588,250,000.00
(d)INVESTOR INTEREST BY CLASS (SERIES 1996-1)
Class A Investor Interest $500,000,000.00
Class B Investor Interest $22,500,000.00
Class C Investor Interest $65,740,000.00
TOTAL CLASS INVESTOR INTEREST $588,240,000.00
3.Allocation of Collections During the Due Period
(a)TOTAL COLLECTIONS $739,119,137.79
Principal Receivables Collected $552,547,843.45
Finance Charge Receivables Collected $186,571,294.34
Recovered Amounts added as Additional Funds $14,484,440.04
<TABLE>
<CAPTIONS>
Additional
Finance Charge Principal Allocable
Collections Collections Amounts
<S> <C> <C> <C>
(b)ALLOCATION OF COLLECTIONS
WITH RESPECT TO THE INVESTOR
INTEREST AND THE SELLER INTEREST
Aggregate Investor Allocation
(Aggregate Investor Percentage
multiplied by total Collections
received during the Due Period) $123,775,371.66 $366,572,011.71 $14,484,440.04
Seller Allocation (Seller Percentage
multiplied by total Collections
received during the Due Period) $62,795,922.66 $185,975,831.74 $0.00
(c)Group One Allocation $123,775,371.66 $366,572,011.71 $14,484,440.04
(d)Series 1996-1 Allocation $9,947,730.09 $29,461,106.70 $1,164,103.15
(e)Reallocations of Collections
to Series 1996-1 from other series
in Group One and application of Charge-
Off reimbursements to Principal
payments. $0.00 $0.00 $0.00
</TABLE>
4.Information Concerning Controlled Amortization Amount
Amount Distributed Total Distribution
this Due Period through this Due Period
SERIES 1996-1 BY CLASS:
Class A $0.00 $0.00
Class B $0.00 $0.00
Class C $0.00 $0.00
5.Investor Charged-Off Amounts
This Due Period
(a)Group One (the sum of the Series Investor Charged-
Off Amounts for all Series in Group One) $48,081,378.90
(b)Series 1996-1 (the sum of the Class Investor Charged-
Off Amounts for all Classes in Series 1996-1) $3,864,62.92
(c)Series 1996-1 By Class:
Class A (Class A Percentage multiplied
by the Charged-Off Amount) $3,284,597.21
Class B (Class B Percentage multiplied
by the Charged-Off Amount) $147,806.87
Class C (Class C Percentage multiplied
by the Charged-Off Amount) $431,858.84
6.Investor Losses
Total
(a)Group One $0.00
(b)Series 1996-1 $0.00
(c)Series 1996-1 By Class:
Class A $0.00
Class B $0.00
Class C $0.00
7.Monthly Servicing Fee Payable This Due Period
SELLER SERVICING FEE $6,188,861.38
INVESTOR SERVICING FEE
(a)Group One $12,198,699.93
(b)Series 1996-1 $980,400.00
8.Performance Analysis
(a)Portfolio Yield (Finance Charge Collections
during the Due Period divided by Principal
Receivables in the Trust as of the first
day of the Due Period) 20.29%
(b)Charge-Offs (Charged-Off Amounts during
the Due Period divided by Principal
Receivables in the Trust as of the
first day of the Due Period) 7.88%
(c)Recoveries (Recovered Amounts added as
Additional Funds on the Distribution Date
divided by Aggregate Investor Interest in the
Trust as of the first day of the Due Period) 2.37%
(d)Investor Servicing Fee Percentage
(weighted average of Investor Servicing
Fees for Series 1996-1) 2.00%
(e)Weighted Average Certificate Rate
(weighted average certificate rates for all
classes of Series 1996-1) 5.51%
(f)Series Excess Servicing Percentage (the sum of
Portfolio Yield and Recoveries minus the sum of
Charge-Offs, the Investor Servicing Fee Percentage
and the Weighted Average Certificate Rate) 7.27%
(g)Total Payment Rate (Aggregate Collections
during the Due Period divided by the aggregate
amount of Receivables in the Trust as of
the first day of the Due Period) 6.59%
9.Summary Delinquency Aging Information
The Accounts in the Trust had the following delinquency profiles (1):
October, 1998
Delinquencies as a % of balances
60 - 89 days past due............................1.80%
90 - 119 days past due.......................... 1.34%
120 days or more past due........................2.75%
Total Delinquencies 5.89%
(1) In general, an account is considered delinquent when its cumulative
past due balance is three or more times the scheduled minimum monthly
payment. The delinquencies as of the end of each month are divided by
balances at the beginning of each such month. The data in this table (i)
reflect the percentage of account balances for which the cumulative past due
amount is three, four, and five or more times, respectively, the scheduled
minimum monthly payment and (ii) exclude approximately 5% of the receivables
in the Trust, which were converted to the Total Systems Services, Inc.
("TSYS") account processing system. For a discussion of Sears change to a new
aging methodology in connection with the conversion of its receivables
processing system to the TSYS account processing system, which will have an
effect on reported delinquency levels, see the Trust's Current Report on Form
8-K filed on May 14, 1998.
THE FIRST NATIONAL BANK OF CHICAGO,
as Trustee
By:/s/Diane Swanson
Diane Swanson
Assistant Vice President
Exhibit 20(g)
Monthly Certificateholders' Statement
Sears Credit Account Master Trust II
Series 1996-2 Monthly Statement
Distribution Date: November 16, 1998 Due Period Ending: October, 1998
Under the Series Supplements relating to the Pooling and Servicing
Agreement dated as of July 31, 1994, as amended, by and among
Sears, Roebuck and Co., SRFG, Inc. (formerly Sears Receivables
Financing Group, Inc.) and The First National Bank of Chicago as
Trustee, the Trustee is required to prepare certain information
each month regarding current distributions to Certificateholders
and the performance of the Trust. The information for the Due
Period and the Distribution Date listed above is set forth below:
1.Payments or Allocations to Series 1996-2 Investors this Due
Period
Total Interest
Principal Series 1996-2
Class A $2,708,333.33 $2,708,333.33 $0.00
Class B $124,687.50 $124,687.50 $0.00
Class C $0.00 $0.00 $0.00
2.Principal Receivables at the end of the Due Period
(a)TOTAL PRINCIPAL RECEIVABLES IN THE TRUST $10,927,695,934.56
Aggregate Investor Interest $7,240,255,201.61
Seller Interest $3,687,440,732.95
(b)INVESTOR INTEREST BY GROUPS
Group One Investor Interest $7,240,255,201.61
(c)INVESTOR INTEREST BY SERIES
Series 1994-1 Investor Interest $776,778,226.86
Series 1995-1 Investor Interest $235,295,000.00
Series 1995-2 Investor Interest $705,883,000.00
Series 1995-3 Investor Interest $588,240,000.00
Series 1995-4 Investor Interest $187,427,974.74
Series 1995-5 Investor Interest $588,250,000.00
Series 1996-1 Investor Interest $588,240,000.00
Series 1996-2 Investor Interest $588,240,000.00
Series 1996-3 Investor Interest $588,240,000.00
Series 1996-4 Investor Interest $588,240,000.00
Series 1996-5 Investor Interest $628,931,000.00
Series 1997-1 Investor Interest $588,240,000.00
Series 1998-1 Investor Interest $588,250,000.00
(d)INVESTOR INTEREST BY CLASS (SERIES 1996-2)
Class A Investor Interest $500,000,000.00
Class B Investor Interest $22,500,000.00
Class C Investor Interest $65,740,000.00
TOTAL CLASS INVESTOR INTEREST $588,240,000.00
3.Allocation of Collections During the Due Period
(a)TOTAL COLLECTIONS $739,119,137.79
Principal Receivables Collected $552,547,843.45
Finance Charge Receivables Collected $186,571,294.34
Recovered Amounts added as Additional Funds $14,484,440.04
<TABLE>
<CAPTION>
Additional
Finance Charge Principal Allocable
Collections Collections Amounts
<S> <C> <C> <C>
(b)ALLOCATION OF COLLECTIONS
WITH RESPECT TO THE INVESTOR
INTEREST AND THE SELLER INTEREST
Aggregate Investor Allocation
(Aggregate Investor Percentage
multiplied by total Collections
received during the Due Period) $123,775,371.66 $366,572,011.71 $14,484,440.04
Seller Allocation (Seller Percentage
multiplied by total Collections
received during the Due Period) $62,795,922.66 $185,975,831.74 $0.00
(c)Group One Allocation $123,775,371.66 $366,572,011.71 $14,484,440.04
(d)Series 1996-2 Allocation $9,947,730.09 $29,461,106.70 $1,164,103.15
(e)Reallocations of Collections to
Series 1996-2 from other series in
Group One and application of Charge-
Off reimbursements to Principal
payments. $0.00 $0.00 $0.00
</TABLE>
4.Information Concerning Controlled Amortization Amount
Amount Distributed Total Distributions
this Due Period through this Due Period
SERIES 1996-2 BY CLASS:
Class A $0.00 $0.00
Class B $0.00 $0.00
Class C $0.00 $0.00
5.Investor Charged-Off Amounts
This Due Period
(a)Group One (the sum of the Series Investor Charged-
Off Amounts for all Series in Group One) $48,081,378.90
(b)Series 1996-2 (the sum of the Class Investor Charged-
Off Amounts for all Classes in Series 1996-2) $3,864,262.92
(c)Series 1996-2 By Class:
Class A (Class A Percentage multiplied
by the Charged-Off Amount) $3,284,597.21
Class B (Class B Percentage multiplied
by the Charged-Off Amount) $147,806.87
Class C (Class C Percentage multiplied
by the Charged-Off Amount) $431,858.84
6.Investor Losses
Total
(a)Group One $0.00
(b)Series 1996-2 $0.00
(c)Series 1996-2 By Class:
Class A $0.00
Class B $0.00
Class C $0.00
7.Monthly Servicing Fee Payable This Due Period
SELLER SERVICING FEE $6,188,861.38
INVESTOR SERVICING FEE
(a)Group One $12,198,699.93
(b)Series 1996-2 $980,400.00
8.Performance Analysis
(a)Portfolio Yield (Finance Charge Collections
during the Due Period divided by Principal
Receivables in the Trust as of the first
day of the Due Period) 20.29%
(b)Charge-Offs (Charged-Off Amounts during
the Due Period divided by Principal
Receivables in the Trust as of the
first day of the Due Period) 7.88%
(c)Recoveries (Recovered Amounts added as
Additional Funds on the Distribution Date
divided by Aggregate Investor Interest in the
Trust as of the first day of the Due Period) 2.37%
(d)Investor Servicing Fee Percentage
(weighted average of Investor Servicing
Fees for Series 1996-2) 2.00%
(e)Weighted Average Certificate Rate
(weighted average certificate rates for all
classes of Series 1996-2) 5.78%
(f)Series Excess Servicing Percentage (the sum of
Portfolio Yield and Recoveries minus the sum of
Charge-Offs, the Investor Servicing Fee Percentage
and the Weighted Average Certificate Rate) 7.00%
(g)Total Payment Rate (Aggregate Collections
during the Due Period divided by the aggregate
amount of Receivables in the Trust as of
the first day of the Due Period) 6.59%
9.Summary Delinquency Aging Information
The Accounts in the Trust had the following delinquency profiles
(1):
October, 1998
Delinquencies as a % of balances
60 - 89 days past due............................1.80%
90 - 119 days past due...........................1.34%
120 days or more past due........................2.75%
Total Delinquencies 5.89%
(1) In general, an account is considered delinquent when its
cumulative past due balance is three or more times the scheduled
minimum monthly payment. The delinquencies as of the end of each
month are divided by balances at the beginning of each such month.
The data in this table (i) reflect the percentage of account
balances for which the cumulative past due amount is three, four,
and five or more times, respectively, the scheduled minimum monthly
payment and (ii) exclude approximately 5% of the receivables in the
Trust, which were converted to the Total Systems Services, Inc.
("TSYS") account processing system. For a discussion of Sears
change to a new aging methodology in connection with the conversion
of its receivables processing system to the TSYS account processing
system, which will have an effect on reported delinquency levels,
see the Trust's Current Report on Form 8-K filed on May 14, 1998.
THE FIRST NATIONAL BANK OF CHICAGO,
as Trustee
By:/s/Diane Swanson
Diane Swanson
Assistant Vice President
Exhibit 20(h)
Monthly Certificateholders' Statement
Sears Credit Account Master Trust II
Series 1996-3 Monthly Statement
Distribution Date: November 16, 1998 Due Period Ending: October, 1998
Under the Series Supplements relating to the Pooling and Servicing Agreement
dated as of July 31, 1994, as amended, by and among Sears, Roebuck and Co.,
SRFG, Inc. (formerly Sears Receivables Financing Group, Inc.) and The First
National Bank of Chicago as Trustee, the Trustee is required to prepare
certain information each month regarding current distributions to
Certificateholders and the performance of the Trust. The information for the
Due Period and the Distribution Date listed above is set forth below:
1.Payments or Allocations to Series 1996-3 Investors this Due Period
Total Interest Principal
Series 1996-3
Class A $2,916,666.67 $2,916,666.67 $0.00
Class B $133,125.00 $133,125.00 $0.00
Class C $0.00 $0.00 $0.00
2.Principal Receivables at the end of the Due Period
(a)TOTAL PRINCIPAL RECEIVABLES IN THE TRUST $10,927,695,934.56
Aggregate Investor Interest $7,240,255,201.61
Seller Interest $3,687,440,732.95
(b)INVESTOR INTEREST BY GROUPS
Group One Investor Interest $7,240,255,201.61
(c)INVESTOR INTEREST BY SERIES
Series 1994-1 Investor Interest $776,778,226.86
Series 1995-1 Investor Interest $235,295,000.00
Series 1995-2 Investor Interest $705,883,000.00
Series 1995-3 Investor Interest $588,240,000.00
Series 1995-4 Investor Interest $187,427,974.74
Series 1995-5 Investor Interest $588,250,000.00
Series 1996-1 Investor Interest $588,240,000.00
Series 1996-2 Investor Interest $588,240,000.00
Series 1996-3 Investor Interest $588,240,000.00
Series 1996-4 Investor Interest $588,240,000.00
Series 1996-5 Investor Interest $628,931,000.00
Series 1997-1 Investor Interest $588,240,000.00
Series 1998-1 Investor Interest $588,250,000.00
(d)INVESTOR INTEREST BY CLASS (SERIES 1996-3)
Class A Investor Interest $500,000,000.00
Class B Investor Interest $22,500,000.00
Class C Investor Interest $65,740,000.00
TOTAL CLASS INVESTOR INTEREST $588,240,000.00
3.Allocation of Collections During the Due Period
(a)TOTAL COLLECTIONS $739,119,137.79
Principal Receivables Collected $552,547,843.45
Finance Charge Receivables Collected $186,571,294.34
Recovered Amounts added as Additional Funds $14,484,440.04
<TABLE>
<CAPTION>
Additional
Finance Charge Principal Allocable
Collections Collections Amounts
<S> <C> <C> <C>
(b)ALLOCATION OF COLLECTIONS
WITH RESPECT TO THE INVESTOR
INTEREST AND THE SELLER INTEREST
Aggregate Investor Allocation
(Aggregate Investor Percentage
multiplied by total Collections
received during the Due Period) $123,775,371.66 $366,572,011.71 $14,484,440.04
Seller Allocation (Seller Percentage
multiplied by total Collections
received during the Due Period) $62,795,922.66 $185,975,831.74 $0.00
(c)Group One Allocation $123,775,371.66 $366,572,011.71 $14,484,440.04
(d)Series 1996-3 Allocation $9,947,730.09 $29,461,106.70 $1,164,103.15
(e)Reallocations of Collections to
Series 1996-3 from other series
in Group One and application of Charge-
Off reimbursements to Principal
payments. $0.00 $0.00 $0.00
</TABLE>
4.Information Concerning Controlled Amortization Amount
Amount Distributed Total Distributions
this Due Period through this Period
SERIES 1996-3 BY CLASS:
Class A $0.00 $0.00
Class B $0.00 $0.00
Class C $0.00 $0.00
5.Investor Charged-Off Amounts
This Due Period
(a)Group One (the sum of the Series Investor Charged-
Off Amounts for all Series in Group One) $48,081,378.90
(b)Series 1996-3 (the sum of the Class Investor Charged-
Off Amounts for all Classes in Series 1996-3) $3,864,262.92
(c)Series 1996-3 By Class:
Class A (Class A Percentage multiplied
by the Charged-Off Amount) $3,284,597.21
Class B (Class B Percentage multiplied
by the Charged-Off Amount) $147,806.87
Class C (Class C Percentage multiplied
by the Charged-Off Amount) $431,858.84
6.Investor Losses
Total
(a)Group One $0.00
(b)Series 1996-3 $0.00
(c)Series 1996-3 By Class:
Class A $0.00
Class B $0.00
Class C $0.00
7.Monthly Servicing Fee Payable This Due Period
SELLER SERVICING FEE $6,188,861.38
INVESTOR SERVICING FEE
(a)Group One $12,198,699.93
(b)Series 1996-3 $980,400.00
8.Performance Analysis
(a)Portfolio Yield (Finance Charge Collections
during the Due Period divided by Principal
Receivables in the Trust as of the first
day of the Due Period) 20.29%
(b)Charge-Offs (Charged-Off Amounts during
the Due Period divided by Principal
Receivables in the Trust as of the
first day of the Due Period) 7.88%
(c)Recoveries (Recovered Amounts added as
Additional Funds on the Distribution Date
divided by Aggregate Investor Interest in the
Trust as of the first day of the Due Period) 2.37%
(d)Investor Servicing Fee Percentage
(weighted average of Investor Servicing
Fees for Series 1996-3) 2.00%
(e)Weighted Average Certificate Rate
(weighted average certificate rates for all
classes of Series 1996-3) 6.22%
(f)Series Excess Servicing Percentage (the sum of
Portfolio Yield and Recoveries minus the sum of
Charge-Offs, the Investor Servicing Fee Percentage
and the Weighted Average Certificate Rate) 6.56%
(g)Total Payment Rate (Aggregate Collections
during the Due Period divided by the aggregate
amount of Receivables in the Trust as of
the first day of the Due Period) 6.59%
9.Summary Delinquency Aging Information
The Accounts in the Trust had the following delinquency profiles (1):
October, 1998
Delinquencies as a % of balances
60 - 89 days past due............................1.80%
90 - 119 days past due...........................1.34%
120 days or more past due........................2.75%
Total Delinquencies 5.89%
(1) In general, an account is considered delinquent when its cumulative
past due balance is three or more times the scheduled minimum monthly
payment.The delinquencies as of the end of each month are divided by balances
at the beginning of each such month. The data in this table (i) reflect the
percentage of account balances for which the cumulative past due amount is
three, four, and five or more times, respectively, the scheduled minimum
monthly payment and (ii) exclude approximately 5% of the receivables in the
Trust, which were converted to the Total Systems Services, Inc. ("TSYS")
account processing system. For a discussion of Sears change to a new aging
methodology in connection with the conversion of its receivables processing
system to the TSYS account processing system, which will have an effect on
reported delinquency levels, see the Trust's Current Report on Form 8-K filed
on May 14, 1998.
THE FIRST NATIONAL BANK OF CHICAGO,
as Trustee
By:\s\Diane Swanson
Diane Swanson
Assistant Vice President
Exhibit 20(i)
Monthly Certificateholders' Statement
Sears Credit Account Master Trust II
Series 1996-4 Monthly Statement
Distribution Date: November 16, 1998 Due Period Ending: October, 1998
Under the Series Supplements relating to the Pooling and Servicing Agreement
dated as of July 31, 1994, as amended, by and among Sears, Roebuck and Co.,
SRFG, Inc. (formerly Sears Receivables Financing Group, Inc.) and The First
National Bank of Chicago as Trustee, the Trustee is required to prepare
certain information each month regarding current distributions to
Certificateholders and the performance of the Trust. The information for the
Due Period and the Distribution Date listed above is set forth below:
1.Payments or Allocations to Series 1996-4 Investors this Due Period
Total Interest Principal
Series 1996-4
Class A $2,687,500.00 $2,687,500.00 $0.00
Class B $124,687.50 $124,687.50 $0.00
Class C $0.00 $0.00 $0.00
2.Principal Receivables at the end of the Due Period
(a)TOTAL PRINCIPAL RECEIVABLES IN THE TRUST $10,927,695,934.56
Aggregate Investor Interest $7,240,255,201.61
Seller Interest $3,687,440,732.95
(b)INVESTOR INTEREST BY GROUPS
Group One Investor Interest $7,240,255,201.61
(c)INVESTOR INTEREST BY SERIES
Series 1994-1 Investor Interest $776,778,226.86
Series 1995-1 Investor Interest $235,295,000.00
Series 1995-2 Investor Interest $705,883,000.00
Series 1995-3 Investor Interest $588,240,000.00
Series 1995-4 Investor Interest $187,427,974.74
Series 1995-5 Investor Interest $588,250,000.00
Series 1996-1 Investor Interest $588,240,000.00
Series 1996-2 Investor Interest $588,240,000.00
Series 1996-3 Investor Interest $588,240,000.00
Series 1996-4 Investor Interest $588,240,000.00
Series 1996-5 Investor Interest $628,931,000.00
Series 1997-1 Investor Interest $588,240,000.00
Series 1998-1 Investor Interest $588,250,000.00
(d)INVESTOR INTEREST BY CLASS (SERIES 1996-4)
Class A Investor Interest $500,000,000.00
Class B Investor Interest $22,500,000.00
Class C Investor Interest $65,740,000.00
TOTAL CLASS INVESTOR INTEREST $588,240,000.00
3.Allocation of Collections During the Due Period
(a)TOTAL COLLECTIONS $739,119,137.79
Principal Receivables Collected $552,547,843.45
Finance Charge Receivables Collected $186,571,294.34
Recovered Amounts added as Additional Funds $14,484,440.04
<TABLE>
<CAPTION>
Additional
Finance Charge Principal Allocable
Collections Collections Amounts
<S> <C> <C> <C>
(b)ALLOCATION OF COLLECTIONS
WITH RESPECT TO THE INVESTOR
INTEREST AND THE SELLER INTEREST
Aggregate Investor Allocation
(Aggregate Investor Percentage
multiplied by total Collections
received during the Due Period) $123,775,371.66 $366,572,011.71 $14,484,440.04
Seller Allocation (Seller Percentage
multiplied by total Collections
received during the Due Period) $62,795,922.66 $185,975,831.74 $0.00
(c)Group One Allocation $123,775,371.66 $366,572,011.71 $14,484,440.04
(d)Series 1996-4 Allocation $9,947,730.09 $29,461,106.70 $1,164,103.15
(e)Reallocations of Collections to
Series 1996-4 from other series in
Group One and application of Charge-
Off reimbursements to Principal
payments. $0.00 $0.00 $0.00
</TABLE>
4.Information Concerning Controlled Amortization Amount
Amount Distributed Total Distributions
this Due Period through this Due Period
SERIES 1996-4 BY CLASS:
Class A $0.00 $0.00
Class B $0.00 $0.00
Class C $0.00 $0.00
5.Investor Charged-Off Amounts
This Due Period
(a)Group One (the sum of the Series Investor Charged-
Off Amounts for all Series in Group One) $48,081,378.90
(b)Series 1996-4 (the sum of the Class Investor Charged-
Off Amounts for all Classes in Series 1996-4) $3,864,262.92
(c)Series 1996-4 By Class:
Class A (Class A Percentage multiplied
by the Charged-Off Amount) $3,284,597.21
Class B (Class B Percentage multiplied
by the Charged-Off Amount) $147,806.87
Class C (Class C Percentage multiplied
by the Charged-Off Amount) $431,858.84
6.Investor Losses
Total
(a)Group One $0.00
(b)Series 1996-4 $0.00
(c)Series 1996-4 By Class:
Class A $0.00
Class B $0.00
Class C $0.00
7.Monthly Servicing Fee Payable This Due Period
SELLER SERVICING FEE $6,188,861.38
INVESTOR SERVICING FEE
(a)Group One $12,198,699.93
(b)Series 1996-4 $980,400.00
8.Performance Analysis
(a)Portfolio Yield (Finance Charge Collections
during the Due Period divided by Principal
Receivables in the Trust as of the first
day of the Due Period) 20.29%
(b)Charge-Offs (Charged-Off Amounts during
the Due Period divided by Principal
Receivables in the Trust as of the
first day of the Due Period) 7.88%
(c)Recoveries (Recovered Amounts added as
Additional Funds on the Distribution Date
divided by Aggregate Investor Interest in the
Trust as of the first day of the Due Period) 2.37%
(d)Investor Servicing Fee Percentage
(weighted average of Investor Servicing
Fees for Series 1996-4) 2.00%
(e)Weighted Average Certificate Rate
(weighted average certificate rates for all
classes of Series 1996-4) 5.74%
(f)Series Excess Servicing Percentage (the sum of
Portfolio Yield and Recoveries minus the sum of
Charge-Offs, the Investor Servicing Fee Percentage
and the Weighted Average Certificate Rate) 7.04%
(g)Total Payment Rate (Aggregate Collections
during the Due Period divided by the aggregate
amount of Receivables in the Trust as of
the first day of the Due Period) 6.59%
9.Summary Delinquency Aging Information
The Accounts in the Trust had the following delinquency profiles (1):
October, 1998
Delinquencies as a % of balances
60 - 89 days past due............................1.80%
90 - 119 days past due...........................1.34%
120 days or more past due........................2.75%
Total Delinquencies 5.89%
(1) In general, an account is considered delinquent when its cumulative
past due balance is three or more times the scheduled minimum monthly
payment. The delinquencies as of the end of each month are divided by
balances at the beginning of each such month. The data in this table (i)
reflect the percentage of account balances for which the cumulative past due
amount is three, four, and five or more times, respectively, the scheduled
minimum monthly payment and (ii) exclude approximately 5% of the receivables
in the Trust, which were converted to the Total Systems Services, Inc.
("TSYS") account processing system. For a discussion of Sears change to a new
aging methodology in connection with the conversion of its receivables
processing system to the TSYS account processing system, which will have an
effect on reported delinquency levels, see the Trust's Current Report on Form
8-K filed on May 14, 1998.
THE FIRST NATIONAL BANK OF CHICAGO,
as Trustee
By:/s/Diane Swanson
Diane Swanson
Assistant Vice President
Exhibit 20(j)
Monthly Certificateholders' Statement
Sears Credit Account Master Trust II
Series 1997-1 Monthly Statement
Distribution Date: November 16, 1998 Due Period Ending: October, 1998
Under the Series Supplements relating to the Pooling and Servicing Agreement
dated as of July 31, 1994, as amended, by and among Sears, Roebuck and Co.,
SRFG, Inc. (formerly Sears Receivables Financing Group, Inc.) and The First
National Bank of Chicago as Trustee, the Trustee is required to prepare
certain information each month regarding current distributions to
Certificateholders and the performance of the Trust. The information for the
Due Period and the Distribution Date listed above is set forth below:
1.Payments or Allocations to Series 1997-1 Investors this Due Period
Total Interest Principal
Series 1997-1
Class A $2,583,333.33 $2,583,333.33 $0.00
Class B $120,000.00 $120,000.00 $0.00
Class C $0.00 $0.00 $0.00
2.Principal Receivables at the end of the Due Period
(a)TOTAL PRINCIPAL RECEIVABLES IN THE TRUST $10,927,695,934.56
Aggregate Investor Interest $7,240,255,201.61
Seller Interest $3,687,440,732.95
(b)INVESTOR INTEREST BY GROUPS
Group One Investor Interest $7,240,255,201.61
(c)INVESTOR INTEREST BY SERIES
Series 1994-1 Investor Interest $776,778,226.86
Series 1995-1 Investor Interest $235,295,000.00
Series 1995-2 Investor Interest $705,883,000.00
Series 1995-3 Investor Interest $588,240,000.00
Series 1995-4 Investor Interest $187,427,974.74
Series 1995-5 Investor Interest $588,250,000.00
Series 1996-1 Investor Interest $588,240,000.00
Series 1996-2 Investor Interest $588,240,000.00
Series 1996-3 Investor Interest $588,240,000.00
Series 1996-4 Investor Interest $588,240,000.00
Series 1996-5 Investor Interest $628,931,000.00
Series 1997-1 Investor Interest $588,240,000.00
Series 1998-1 Investor Interest $588,250,000.00
(d)INVESTOR INTEREST BY CLASS (SERIES 1997-1)
Class A Investor Interest $500,000,000.00
Class B Investor Interest $22,500,000.00
Class C Investor Interest $65,740,000.00
TOTAL CLASS INVESTOR INTEREST $588,240,000.00
3.Allocation of Collections During the Due Period
(a)TOTAL COLLECTIONS $739,119,137.79
Principal Receivables Collected $552,547,843.45
Finance Charge Receivables Collected $186,571,294.34
Recovered Amounts added as Additional Funds $14,484,440.04
<TABLE>
<CAPTION>
Additional
Finance Charge Principal Allocable
Collections Collections Amounts
<S> <C> <C> <C>
(b)ALLOCATION OF COLLECTIONS
WITH RESPECT TO THE INVESTOR
INTEREST AND THE SELLER INTEREST
Aggregate Investor Allocation
(Aggregate Investor Percentage
multiplied by total Collections
received during the Due Period) $123,775,371.66 $366,572,011.71 $14,484,440.04
Seller Allocation (Seller Percentage
multiplied by total Collections
received during the Due Period) $62,795,922.66 $185,975,831.74 $0.00
(c)Group One Allocation $123,775,371.66 $366,572,011.71 $14,484,440.04
(d)Series 1997-1 Allocation $9,947,730.09 $29,461,106.70 $1,164,103.15
(e)Reallocations of Collections to
Series 1997-1 from other series in
Group One and application of Charge-
Off reimbursements to Principal
payments. $0.00 $0.00 $0.00
</TABLE>
4.Information Concerning Controlled Amortization Amount
Amount Distributed Total Distributions
this Due Period through this Due Period
SERIES 1997-1 BY CLASS:
Class A $0.00 $0.00
Class B $0.00 $0.00
Class C $0.00 $0.00
5.Investor Charged-Off Amounts
This Due Period
(a)Group One (the sum of the Series Investor Charged-
Off Amounts for all Series in Group One) $48,081,378.90
(b)Series 1997-1 (the sum of the Class Investor Charged-
Off Amounts for all Classes in Series 1997-1) $3,864,262.92
(c)Series 1997-1 By Class:
Class A (Class A Percentage multiplied
by the Charged-Off Amount) $3,284,597.21
Class B (Class B Percentage multiplied
by the Charged-Off Amount) $147,806.87
Class C (Class C Percentage multiplied
by the Charged-Off Amount) $431,858.84
6.Investor Losses
Total
(a)Group One $0.00
(b)Series 1997-1 $0.00
(c)Series 1997-1 By Class:
Class A $0.00
Class B $0.00
Class C $0.00
7.Monthly Servicing Fee Payable This Due Period
SELLER SERVICING FEE $6,188,861.38
INVESTOR SERVICING FEE
(a)Group One $12,198,699.93
(b)Series 1997-1 $980,400.00
8.Performance Analysis
(a)Portfolio Yield (Finance Charge Collections
during the Due Period divided by Principal
Receivables in the Trust as of the first
day of the Due Period) 20.29%
(b)Charge-Offs (Charged-Off Amounts during
the Due Period divided by Principal
Receivables in the Trust as of the
first day of the Due Period) 7.88%
(c)Recoveries (Recovered Amounts added as
Additional Funds on the Distribution Date
divided by Aggregate Investor Interest in the
Trust as of the first day of the Due Period) 2.37%
(d)Investor Servicing Fee Percentage
(weighted average of Investor Servicing
Fees for Series 1997-1) 2.00%
(e)Weighted Average Certificate Rate
(weighted average certificate rates for all
classes of Series 1997-1) 5.51%
(f)Series Excess Servicing Percentage (the sum of
Portfolio Yield and Recoveries minus the sum of
Charge-Offs, the Investor Servicing Fee Percentage
and the Weighted Average Certificate Rate) 7.27%
(g)Total Payment Rate (Aggregate Collections
during the Due Period divided by the aggregate
amount of Receivables in the Trust as of
the first day of the Due Period) 6.59%
9.Summary Delinquency Aging Information
The Accounts in the Trust had the following delinquency profiles (1):
October, 1998
Delinquencies as a % of balances
60 - 89 days past due............................1.80%
90 - 119 days past due...........................1.34%
120 days or more past due........................2.75%
Total Delinquencies 5.89%
(1) In general, an account is considered delinquent when its cumulative
past due balance is three or more times the scheduled minimum monthly
payment. The delinquencies as of the end of each month are divided by
balances at the beginning of each such month. The data in this table (i)
reflect the percentage of account balances for which the cumulative past due
amount is three, four, and five or more times, respectively, the scheduled
minimum monthly payment and (ii) exclude approximately 5% of the receivables
in the Trust, which were converted to the Total Systems Services, Inc.
("TSYS") account processing system. For a discussion of Sears change to a new
aging methodology in connection with the conversion of its receivables
processing system to the TSYS account processing system, which will have an
effect on reported delinquency levels, see the Trust's Current Report on Form
8-K filed on May 14, 1998.
THE FIRST NATIONAL BANK OF CHICAGO,
as Trustee
By:/s/Diane Swanson
Diane Swanson
Assistant Vice President
Exhibit 20(k)
Monthly Certificateholders' Statement
Sears Credit Account Master Trust II
Series 1998-1 Monthly Statement
Distribution Date: November 16, 1998 Due Period Ending: October, 1998
Under the Series Supplements relating to the Pooling and Servicing Agreement
dated as of July 31, 1994, as amended, by and among Sears, Roebuck and Co.,
SRFG, Inc. (formerly Sears Receivables Financing Group, Inc.) and The First
National Bank of Chicago as Trustee, the Trustee is required to prepare
certain information each month regarding current distributions to
Certificateholders and the performance of the Trust. The information for the
Due Period and the Distribution Date listed above is set forth below:
1.Payments or Allocations to Series 1998-1 Investors this Due Period
Total Interest Principal
Series 1998-1
Class A $2,416,666.67 $2,416,666.67 $0.00
Class B $176,500.00 $176,500.00 $0.00
Class C $0.00 $0.00 $0.00
2.Principal Receivables at the end of the Due Period
(a)TOTAL PRINCIPAL RECEIVABLES IN THE TRUST $10,927,695,934.56
Aggregate Investor Interest $7,240,255,201.61
Seller Interest $3,687,440,732.95
(b)INVESTOR INTEREST BY GROUPS
Group One Investor Interest $7,240,255,201.61
(c)INVESTOR INTEREST BY SERIES
Series 1994-1 Investor Interest $776,778,226.86
Series 1995-1 Investor Interest $235,295,000.00
Series 1995-2 Investor Interest $705,883,000.00
Series 1995-3 Investor Interest $588,240,000.00
Series 1995-4 Investor Interest $187,427,974.74
Series 1995-5 Investor Interest $588,250,000.00
Series 1996-1 Investor Interest $588,240,000.00
Series 1996-2 Investor Interest $588,240,000.00
Series 1996-3 Investor Interest $588,240,000.00
Series 1996-4 Investor Interest $588,240,000.00
Series 1996-5 Investor Interest $628,931,000.00
Series 1997-1 Investor Interest $588,240,000.00
Series 1998-1 Investor Interest $588,250,000.00
(d)INVESTOR INTEREST BY CLASS (SERIES 1998-1)
Class A Investor Interest $500,000,000.00
Class B Investor Interest $35,300,000.00
Class C Investor Interest $52,950,000.00
TOTAL CLASS INVESTOR INTEREST $588,250,000.00
3.Allocation of Collections During the Due Period
(a)TOTAL COLLECTIONS $739,119,137.79
Principal Receivables Collected $552,547,843.45
Finance Charge Receivables Collected $186,571,294.34
Recovered Amounts added as Additional Funds $14,484,440.04
<TABLE>
<CAPTION>
Additional
Finance Charge Principal Allocable
Collections Collections Amounts
<S> <C> <C> <C>
(b)ALLOCATION OF COLLECTIONS
WITH RESPECT TO THE INVESTOR
INTEREST AND THE SELLER INTEREST
Aggregate Investor Allocation
(Aggregate Investor Percentage
multiplied by total Collections
received during the Due Period) $123,775,371.66 $366,572,011.71 $14,484,440.04
Seller Allocation (Seller Percentage
multiplied by total Collections
received during the Due Period) $62,795,922.66 $185,975,831.74 $0.00
(c)Group One Allocation $123,775,371.66 $366,572,011.71 $14,484,440.04
(d)Series 1998-1 Allocation $9,947,899.20 $29,461,607.54 $1,164,122.94
(e)Reallocations of Collections
to Series 1998-1 from other series
in Group One and application of Charge-
Off reimbursements to Principal
payments. $0.00 $0.00 $0.00
</TABLE>
4.Information Concerning Controlled Amortization Amount
Amount Distributed Total Distributions
this Due Period through this Due Period
SERIES 1998-1 BY CLASS:
Class A $0.00 $0.00
Class B $0.00 $0.00
Class C $0.00 $0.00
5.Investor Charged-Off Amounts
This Due Period
(a)Group One (the sum of the Series Investor Charged-
Off Amounts for all Series in Group One) $48,081,378.90
(b)Series 1998-1 (the sum of the Class Investor Charged-
Off Amounts for all Classes in Series 1998-1) $3,864,328.62
(c)Series 1998-1 By Class:
Class A (Class A Percentage multiplied
by the Charged-Off Amount) $3,284,597.21
Class B (Class B Percentage multiplied
by the Charged-Off Amount) $231,892.56
Class C (Class C Percentage multiplied
by the Charged-Off Amount) $347,838.84
6.Investor Losses
Total
(a)Group One $0.00
(b)Series 1998-1 $0.00
(c)Series 1998-1 By Class:
Class A $0.00
Class B $0.00
Class C $0.00
7.Monthly Servicing Fee Payable This Due Period
SELLER SERVICING FEE $6,188,861.38
INVESTOR SERVICING FEE
(a)Group One $12,198,699.93
(b)Series 1998-1 $980,416.67
8.Performance Analysis
(a)Portfolio Yield (Finance Charge Collections
during the Due Period divided by Principal
Receivables in the Trust as of the first
day of the Due Period) 20.29%
(b)Charge-Offs (Charged-Off Amounts during
the Due Period divided by Principal
Receivables in the Trust as of the
first day of the Due Period) 7.88%
(c)Recoveries (Recovered Amounts added as
Additional Funds on the Distribution Date
divided by Aggregate Investor Interest in the
Trust as of the first day of the Due Period) 2.37%
(d)Investor Servicing Fee Percentage
(weighted average of Investor Servicing
Fees for Series 1998-1) 2.00%
(e)Weighted Average Certificate Rate
(weighted average certificate rates for all
classes of Series 1998-1) 5.29%
(f)Series Excess Servicing Percentage (the sum of
Portfolio Yield and Recoveries minus the sum of
Charge-Offs, the Investor Servicing Fee Percentage
and the Weighted Average Certificate Rate) 7.49%
(g)Total Payment Rate (Aggregate Collections
during the Due Period divided by the aggregate
amount of Receivables in the Trust as of
the first day of the Due Period) 6.59%
9.Summary Delinquency Aging Information
The Accounts in the Trust had the following delinquency profiles (1):
October, 1998
Delinquencies as a % of balances
60 - 89 days past due............................1.80%
90 - 119 days past due...........................1.34%
120 days or more past due........................2.75%
Total Delinquencies 5.89%
(1) In general, an account is considered delinquent when its cumulative
past due balance is three or more times the scheduled minimum monthly
payment.The delinquencies as of the end of each month are divided by balances
at the beginning of each such month. The data in this table (i) reflect the
percentage of account balances for which the cumulative past due amount is
three, four, and five or more times, respectively, the scheduled minimum
monthly payment and (ii) exclude approximately 5% of the receivables in the
Trust, which were converted to the Total Systems Services, Inc. ("TSYS")
account processing system. For a discussion of Sears change to a new aging
methodology in connection with the conversion of its receivables processing
system to the TSYS account processing system, which will have an effect on
reported delinquency levels, see the Trust's Current Report on Form 8-K filed
on May 14, 1998.
THE FIRST NATIONAL BANK OF CHICAGO,
as Trustee
By:/s/Diane Swanson
Diane Swanson
Assistant Vice President
