17 Appendix C – Unexpected Recovery
Introduction
When a deal is completely written-off, any additional fund received is considered an
unexpected recovery. You have to define events in the system to facilitate the
processing of these unexpected funds. The system verifies whether or not a write-off
has been processed on a contract and then allow you to proceed with the event that
you have defined.
Note:
You are allowed to execute the events that you define on active contracts only.To set up an event
You can use the Module Details screen to set up events, accounting roles and amount tags.
You need to set up the event ‘RECO’. To do the same, follow the steps given below
Specify the User ID and Password, and login to Homepage.
- On the Home page, click Module Definition under User Defined Maintenance.
- Click on the Events tab
- Enter the Event and Event
Description.
You can also specify the following parameters for the event being defined:
- Whether accounting entries and advices are allowed for this event
- Whether interest, charge and tax must be computed, but not accrued or levied during this event. This is represented in the respective options under the section Assoc.
- Whether the accounting entries have to be passed for interest, tax and charges. This can be indicated in the respective options under the section Apply.
- Whether the interest, charge and tax components must be liquidated when the new event being defined is triggered
- Whether contract UDE Advices are allowed for this event