RMR for Accounts with Balances Over 90 Days

Overview

The Aging Report now calculates the RMR value associated with subscriber accounts that are 90+ days in aging. This feature helps dealers report RMR associated with significantly past-due accounts to banks and lenders.

Why This Matters

Many banks and other lenders require dealers to report the amount of RMR associated with accounts that have balances 90 days or more past due. Cornerstone now includes this summary calculation automatically in the Aging Report.

Where to Find This Information

Location: Last page of the Aging Report

The summary calculation appears at the end of the report, providing a clear total of RMR for accounts 90+ days past due.

CSV Export: The CSV output includes an "RMR over 90" column used for the summation, making it easy to include in your own reports or spreadsheets.

How the Calculation Works

Avoiding Double-Counting in Feeder/Master Relationships

The calculation is designed to NOT double-count RMR in Feeder/Master relationship accounts.

Example:

• Account VV29439 is a Feeder account
• Both the Feeder and Master have 90+ day balances
• Result: Only the Master Account's sum of the Feeder RMR is counted

This ensures accurate reporting by preventing the same RMR from being counted twice when both a feeder account and its master account have past-due balances.

Using Aging Collateral Calculation

If you use the Aging Collateral Calculation for all accounts, you will receive both:

1. Collateral column - RMR for accounts under 90 days
2. RMR over 90 days column - RMR for accounts 90+ days past due

This provides a complete picture of your RMR distribution across aging categories.

Benefits

Lender Reporting

• Quickly provide required RMR aging data to banks and lenders
• Accurate calculations that avoid double-counting

Portfolio Management

• Monitor at-risk RMR in significantly past-due accounts
• Track trends in aging RMR over time

Financial Analysis

• Understand the financial impact of past-due accounts
• Calculate what percentage of total RMR is at risk

Accurate Calculations

• Feeder/Master relationships handled properly
• No manual adjustments needed

Understanding the Data

RMR Over 90 Days:

• Represents monthly recurring revenue from accounts 90+ days past due
• Excludes duplicate counting in master/feeder relationships
• Summarized on the last page of the Aging Report

Why 90 Days:

• Industry standard for identifying significantly delinquent accounts
• Common threshold used by lenders for risk assessment

Running the Report

Step 1: Generate an Aging Report as usual

Step 2: Navigate to the last page of the report

Step 3: Review the RMR over 90 days summary

Step 4 (Optional): Export to CSV for additional analysis or lender submission

Best Practices

• Run this report monthly for consistent tracking
• Compare RMR over 90 days month-over-month to identify trends
• Use the data proactively to address collection issues
• Keep CSV exports for historical lender reporting records
• Review accounts contributing to the RMR over 90 total regularly

Related Metrics

When analyzing account health, consider reviewing:

• Total RMR (all accounts)
• RMR under 90 days (Collateral column)
• RMR over 90 days (new column)
• Percentage of total RMR that is 90+ days past due

Need Help?

Still have questions? Contact Cornerstone Holding Co. 847-405-9517 or email us customer.success@alarmbills.com