How To Fix 69973 - Object is not eligible to serve as collateral

SAP Error Message - Details

• Message type: E = Error

• Message class: 69 - Central Functions of Financial Asset Management

• Message number: 973

• Message text: Object is not eligible to serve as collateral

What causes this issue?

You want to assign this security/asset to the premium reserve fund
(stock indicator 1), but have not set the <ZK>Elig. for PRF</>
indicator.

How to fix this error?

Change the PRF indicator (for example to "3" = unrestricted assets), or
set the <ZK>Elig. for PRF</> indicator.

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message 69973 - Object is not eligible to serve as collateral ?

  The SAP error message 69973, "Object is not eligible to serve as collateral," typically occurs in the context of financial transactions, particularly when dealing with collateral management in SAP. This error indicates that the object (such as a financial instrument, asset, or other entity) you are trying to use as collateral does not meet the necessary criteria set by the system.
  Causes:
  
  Ineligible Object Type: The object you are trying to use may not be defined as eligible for collateral in the system settings.
  Missing Configuration: The collateral management configuration may not be set up correctly for the specific object type.
  Status Issues: The object may be in a status that does not allow it to be used as collateral (e.g., it may be locked, inactive, or not fully processed).
  Valuation Issues: The object may not have a valid valuation or may not meet the required valuation criteria for collateral purposes.
  Regulatory Compliance: The object may not comply with regulatory requirements for collateralization.
  
  Solutions:
  
  Check Object Eligibility: Verify that the object you are trying to use is eligible for collateral. This may involve checking the object type and its configuration in the system.
  Review Configuration Settings: Ensure that the collateral management settings in SAP are correctly configured for the object type you are using. This may involve consulting with your SAP administrator or financial team.
  Check Object Status: Look into the status of the object to ensure it is active and not locked or inactive. If necessary, update the status to make it eligible.
  Valuation Review: Ensure that the object has a valid valuation and meets the necessary criteria for collateral. You may need to perform a valuation or update the existing one.
  Consult Documentation: Review SAP documentation or help resources related to collateral management for specific guidelines on eligibility criteria.
  Contact Support: If the issue persists, consider reaching out to SAP support or your internal IT team for further assistance.
  
  Related Information:
  
  SAP Notes: Check for any relevant SAP Notes that may address this specific error message or provide additional troubleshooting steps.
  Transaction Codes: Familiarize yourself with relevant transaction codes related to collateral management, such as those for managing financial instruments or collateral agreements.
  User Roles and Authorizations: Ensure that the user attempting the transaction has the necessary roles and authorizations to manage collateral.
  
  By following these steps, you should be able to identify the cause of the error and implement a solution to resolve it.