Galileo Secured Credit Workflows

This guide contains workflows that illustrate the processes for creating and managing Galileo Secured Credit.

Secured credit account structure

This flowchart is an example of how you might structure new accounts for a Galileo Secured Credit product. Your Galileo representative can help you build a process that works in your own system. Steps are described below.

1. A new customer requests a secured credit account.
2. You send the Create Account endpoint to create the primary account.
3. You send the Add Account endpoint to create the credit account and link it to the primary account.
4. You send the Add Account endpoint a second time to create the secured credit account and link it to the primary account.
5. Galileo sends you the CAPP: app_completed event for the primary account.
6. The account holder deposits funds into the secured credit account.
7. You send the Set Credit Limit endpoint. This establishes the account credit line.
8. Galileo sends the charge card to be embossed.
9. The customer receives the charge card and requests to activate it.
10. You send the Activate Card endpoint to activate the charge card.

Secured credit authorization and settlement

This flowchart illustrates how a Galileo Secured Credit transaction is authorized and settled. Steps are described below.

1. An account holder makes a purchase over card network rails and the card network sends an authorization request.
2. You or Galileo approve the authorization request based on the line of credit.
3. If the authorization request is approved, Galileo places a hold for the authorized amount. The account holder’s available balance is reduced on the collateral account.
4. Galileo sends the BAUT: auth event with the available balance in the open_to_buy field.
5. The card network sends the settlement batch file.
6. Galileo directs the issuing bank to pay the card network.
7. Galileo backs out the authorization hold and sends you the SETL: setl event.
8. The monthly invoice is sent to the account holder and the issuing bank receives repayment.
9. If the account holder cannot pay down the credit line from the primary account, funds may be recovered from the collateral account.

Collateral account funds flow

These illustrate the movement of funds into and out of the collateral account, and the resulting credit limit adjustment. Steps are described below.

Move funds into the collateral account

1. The account holder requests to move funds from one account into the collateral account.
2. You send the Create Account Transfer request.
3. Funds are transferred and the collateral account balance increases.
4. You send Set Credit Limit to update the credit line based on the funds in the collateral account.

Move funds out of the collateral account

1. The account holder requests to move funds out of the collateral account and into another account.
2. You send a Create Adjustment or Create Payment request.
3. Funds are adjusted and the collateral account balance decreases.
4. You send Set Credit Limit to update the credit line based on the funds in the collateral account.