Commitment

The preferences set for this product are as follows:

The payment type for this product is of discounted type
The schedule type for this product is of Normal type
Forward Dating is allowed for this product

BOOK: Booking of Contract

Accounting Entries

Table 15-34 Accounting Entries

Accounting Role	Amount Tag	Dr./Cr. Indicator
CUSTOMER	CHARGES	Debit
CHARGEINC	CHARGES	Credit

Advices

Nil

INIT: Contract Initiation

Accounting Entries

Table 15-35 Accounting Entries

Accounting Role	Amount Tag	Dr./Cr. Indicator
ASSETGL	PRINCIPAL_FWD	Debit
ASSETOFF	PRINCIPAL_FWD	Credit

Advices

Nil

LINK: Linkage to Loan

Accounting Entries

Table 15-36 Accounting Entries

Accounting Role	Amount Tag	Dr./Cr. Indicator
ASSETGL	COMMUTIL_INCR	Credit
ASSETOFF	COMMUTIL_INCR	Debit

Advices

No Advices allowed for this Event.

LIQD: Liquidation

Accounting Entries

Table 15-37 Accounting Entries

Accounting Role	Amount Tag	Dr./Cr. Indicator
ASSETGL	PRINCIPAL_LIQD	Credit
ASSETOFF	PRINCIPAL_LIQD	Debit

Advices

Nil

VAMI: Value Dated Amendment Initiation

Accounting Entries

Table 15-38 Accounting Entries

Accounting Role	Amount Tag	Dr./Cr. Indicator
ASSETGL	PRINCIPAL_DECR	Credit
ASSETOFF	PRINCIPAL_DECR	Debit
ASSETGL	PRINCIPAL_INCR	Debit
ASSETOFF	PRINCIPAL_INCR	Credit

Advices

Nil

DLNK: Release of linkage to Loan

Accounting Entries

Table 15-39 Accounting Entries

Accounting Role	Amount Tag	Dr./Cr. Indicator
ASSETGL	COMMUTIL_DECR	Debit
ASSETOFF	COMMUTIL_DECR	Credit

Advices

No Advices allowed for this Event.

EXPY: Expiry of the commitment availability on the Last Availability Date

The End of Day Batch Function marks the Expiry of the commitment availability on the Last Availability Date. The event “EXPY” is activated to mark the expiry of the commitment. The contingent accounting entries maintained for EXPY Event are as follows:

Accounting Entries

Table 15-40 Accounting Entries

Accounting Role	Amount Tag	Dr./Cr. Indicator
CONASSETOFF	PRINCIPAL	Debit
CONASSETGL	PRINCIPAL	Credit

MRVL: Post Accounting Entries for Revaluation on Commitment

EOD batch posts reversal entries for past revaluation entry on commitment, if the market price is maintained for the CUSIP.

Table 15-41 Accounting Entries

Accounting Role	Amount Tag	Dr./Cr. Indicator
UNREAL_MTM_OFF	UNRLZD-LOSS	Credit
UNREAL_MTM_EXP	UNRLZD-LOSS	Debit
UNREAL_MTM_OFF	UNRLZD-PRFT	Debit
UNREAL_MTM_INC	UNRLZD-PRFT	Credit

FELR: Fee Liquidation

If the Commitment Level Net Funded Carrying Value (CLNFCV) goes negative, refund will have to be triggered proportionally at the commitment contract to release each of the FAS91 amortization fee components, including Asset Transfer Marks and Deferred Interest Components, associated with the commitment. You need to set up the following entries for such unamortized refund:

Table 15-42 Accounting Entries

Accounting Role	Amount Tag	Dr./Cr. Indicator
<Fee Component>FIA	<Fee Component>_FRFD	Debit
AMORTFEE-PNL	<Fee Component>_FRFD	Credit

If the value of backend parameter ‘ALLOW_REPERFORMING_LOAN_FUNC’ is set to ‘Y’, amortization fee liquidation will be done on deferred fee interest component for the memo interest amount that is moved to Real GL. The effective date for this movement will be as of the status change date.

The following entries need to be set up for liquidating deferred interest fees.

Table 15-43 Accounting Entries

Accounting Role	Amount Tag	Dr./Cr. Indicator
<Deferred Interest Component>INC	<Deferred Interest_Component> _LIQD	Debit
<Deferred Interest Component>FIA	<Deferred Interest_Component> _LIQD	Credit

Note that the Accounting Head for Accounting Role <Deferred Int_component>INC should be the same as Income GL mapped to the Accounting Role ‘INTERESTINC_GL’ so that the GL balance will be zero after processing memo interest transfer. Alternately, a Wash GL can be mapped to the accounting role ‘<Deferred Int_component> INC’ in which case the balance in this GL will mirror the balance in the interest Income GL. The following entries need to be set up for manual liquidation and refund for amortization fees.

Liquidation

Table 15-44 Accounting Entries

Accounting Role	Amount Tag	Dr./Cr. Indicator
Customer	<Fee Component>_LIQD	Debit
<Fee Component>FIA	<Fee Component>_LIQD	Credit

Refund

Table 15-45 Accounting Entries

Accounting Role	Amount Tag	Dr./Cr. Indicator
<Fee Component>FIA	<Fee Component>_DECR	Debit
Customer	<Fee Component>_DECR	Credit

Liquidation

The following entries need to be set up for systematic liquidation and refund for amortization fees.

Table 15-46 Accounting Entries

Accounting Role	Amount Tag	Dr./Cr. Indicator
<Fee Component>FLR	<Fee Component>_FRLQ	Debit
<Fee Component>FIA	<Fee Component>_FRLQ	Credit

Refund

Table 15-47 Accounting Entries

Accounting Role	Amount Tag	Dr./Cr. Indicator
<Fee Component>FIA	<Fee Component>_FRRF	Debit
<Fee Component>FLR	<Fee Component>_FRRF	Credit

FRSV: Unfunded and Funded FAS114 Reserve Increase/ Decrease

The following accounting entries need to be maintained for release of FAS114 Reserve Funded balance when the commitment status changes from ‘Non-performing’ to ‘Performing’:

Table 15-48 Accounting Entries

Accounting Role	Amount Tag	Dr./Cr. Indicator
FASFNDEDRSV	FUND_FASDEC	Debit
FASFUNDEDREL	FUND_FASDEC	Credit

The following accounting entries need to be maintained for release of FAS114 Reserve Unfunded balance when the commitment status changes from ‘Non-performing’ to ‘Performing’.

Table 15-49 Accounting Entries

Accounting Role	Amount Tag	Dr./Cr. Indicator
FASUNFNDEDRSV	UNFUND_FASDEC	Debit
FASUNFUNDRLS	UNFUND_FASDEC	Credit

Note that these accounting entries will be posted only if ‘Cost of Credit’ box is checked for the loan.