Table of Contents
- Title and Copyright Information
- Preface
-
1
Loans - An Overview
-
1.1
Introduction
- 1.1.1 The Product Definition Facility
- 1.1.2 Methods of Interest Application
- 1.1.3 Flexible Repayment Schedule Set Up
- 1.1.4 Defining Grace Periods
- 1.1.5 Rolling Over a Loan
- 1.1.6 Tracking the Status of a Loan
- 1.1.7 Tax Types that are Supported
- 1.1.8 Automatic Processing of Different ‘Events’
- 1.1.9 Penalties on Pre-Payment
- 1.1.10 Value Dated Amendments
- 1.1.11 Retrieving Information
- 1.1.12 About Banker's Acceptance
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1.1.13
About Exponential Interest
- 1.1.13.1 About Rate Conversion
- 1.1.13.2 Limitations
- 1.1.13.3 Exponential Interest calculation for accrual
- 1.1.13.4 Exponential Calculation for Bearing Normal/ Bearing Amortized contracts
- 1.1.13.5 Exponential Calculation for Discounted Normal Contract
- 1.1.13.6 Overdue Interest (Delay Value) in Exponential Method
-
1.1
Introduction
- 2 Maintaining Details Specific to SLT
-
3
Defining Attributes Specific to Loan
product
- 3.1 Introduction
-
3.2
Setting Product Preferences
- 3.2.1 Specifying the Payment Method
- 3.2.2 Indicating the Schedule Type
- 3.2.3 Setting Billing Notice Days
- 3.2.4 Specifying Grace Days to Penalty
- 3.2.5 Indicating Values to be Rekeyed during Authorization
- 3.2.6 Setting the Accrual Frequency
- 3.2.7 Specifying Tenor Related Details
- 3.2.8 Specifying Exchange Rate Variance
- 3.2.9 Specifying if Status Processing for Contract Schedules is Required
- 3.2.10 Specifying Interest Details
- 3.2.11 Specifying Additional Preference
- 3.2.12 Identifying the Rate Code to be Used for Loans in Foreign Currency
- 3.2.13 Indicating the Rate Type
- 3.2.14 Open Line Loan Details
- 3.2.15 Holiday Preferences
- 3.2.16 Other Preferences tab
- 3.2.17 Identifying Products for Agency Contract Creation
- 3.2.18 Specifying the Reversal Transaction Type
- 3.2.19 Discounting Multiple Schedules for Discounted Loans
- 3.2.20 Indicating the Annual Effective Rate (TEA) for loans
- 3.2.21 Enabling the Customer Effective Loan Rate Option
- 3.2.22 Allowing Forward Dating
- 3.2.23 Prioritizing the Liquidation of Components
- 3.2.24 Tracking Status Changes for Loans
- 3.2.25 Disclosure Details Maintenance
- 3.2.26 Mapping the Product to Disclosure Details
- 3.2.27 Specifying the Special Penalty Components
- 3.2.28 UDFs Maintenance
- 3.2.29 UDF Upload
- 3.3 Financial Operations Tax Maintenance
- 3.4 Maintaining Slab/Tier Based Spread on Loan Outstanding
- 3.5 Specifying the Logic for Currency Rounding
- 3.6 Applying Tax on Liquidated Principal
- 3.7 Classification of General Ledgers based on Transaction Codes
- 3.8 Pool Fund Maintenance Screen
- 3.9 Identifying a Component as a Refinance component
- 3.10 1098 Parameters Maintenance
- 3.11 Maintaining positive and negative threshold residual limit amount
- 3.12 Currency Days Maintenance
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4
Disbursing a Loan
- 4.1 Introduction
-
4.2
Loan Disbursement Details
- 4.2.1 Specifying the LC Sublimit Amount
- 4.2.2 Contra GL Balance Details
- 4.2.3 Net Outstanding Amt
- 4.2.4 Current Exposure Details
- 4.2.5 Specifying the Currency
- 4.2.6 Specifying the Loan Amount
- 4.2.7 Specifying the Line Code
- 4.2.8 Specifying the Settlement Account
- 4.2.9 Specifying the Related Reference Number
- 4.2.10 Capturing Details of Amendments to Loan Agreements
- 4.2.11 Specifying the Tenor
- 4.2.12 Specifying the Loan Status
- 4.2.13 The Payment Method
- 4.2.14 Specifying the Maturity Type
- 4.2.15 Banker’s Acceptance
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4.2.16
Specifying the ICCF
Details
- 4.2.16.1 Specifying Rate Fixing Days and Rate Fixing Required
- 4.2.16.2 Specifying Alternative Risk-Free Rates Preferences
- 4.2.16.3 Specifying the Interest Period Basis
- 4.2.16.4 Specifying Interest Rate Rounding Components
- 4.2.16.5 Specifying the Currency Rounding Logic for Interest Components
- 4.2.16.6 Choosing the Applicable Rate from Historical Rates
- 4.2.16.7 Specifying Exponential Interest Rate
- 4.2.16.8 Viewing Interest Details
- 4.2.17 Allowing Rollover
- 4.2.18 Viewing Messages using Message Preview
- 4.2.19 Specifying Preferences Tab
- 4.2.20 Identifying an Agency Contract
- 4.2.21 Rollover Count
- 4.2.22 Confirming the Status of Loan Products
- 4.2.23 Tax Scheme
- 4.2.24 Entering Internal Remarks
- 4.2.25 Enabling the Reprogramming Counter
- 4.2.26 Enabling Auto Extension
- 4.2.27 Enabling Residual Amount Liquidation
- 4.2.28 Indexed Loans
- 4.2.29 Interpolation
-
4.3
Preferences for a Loan
- 4.3.1 Setting Loan Schedule Preferences
- 4.3.2 Disbursing Loan through the ‘Manual’ Mode
- 4.3.3 Viewing Manual Disbursement
- 4.3.4 Re-computing Late Payment Charges Online
- 4.3.5 Processing the Late Payment Charges
- 4.3.6 Maintaining System Derived Schedules
- 4.3.7 Maintaining User Input Schedule Amounts
- 4.3.8 Maintaining Schedule Adjustments on Interest Rate Revision
- 4.3.9 Maintaining previous interest rate
- 4.3.10 Maintaining Schedule Adjustments on Prepayment
- 4.3.11 Re-Amortization
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4.4
Linking a Loan to Commitments
- 4.4.1 Specifying the Type of Linkage
- 4.4.2 Specifying the Details of the Linkage
- 4.4.3 Projected Available Amount
- 4.4.4 Exchange Rate
- 4.4.5 Specifying the Linked Amount
- 4.4.6 Linking a Loan in One Branch to a Commitment in another Branch
- 4.4.7 Linking Commitments to a Loan
- 4.4.8 Linking OL contract to a facility or multiple collateral/pool
- 4.4.9 Modifying a Loan Disbursement
- 4.4.10 Financial Details that can be Changed
- 4.4.11 Viewing the Other Details of a Loan
- 4.4.12 Advices for Loan Disbursement
- 4.5 Levying Transaction Charges on a Loan
- 4.6 Posting the Manual Journal Entries
- 4.7 Uploading Loan Contracts through OL Upload Screen
- 4.8 Error Log Details
- 4.9 Viewing Event Details
- 4.10 Levying Tax on a Loan Contract
- 4.11 Specifying the Interest Details
- 4.12 Maintaining Transaction-specific MIS Refinancing Rates
- 4.13 Viewing Effective Rate (ER) of Interest for a Loan
- 4.14 Interest Rates History
- 4.15 Repayment Details
- 4.16 Changing the Status of a Loan
- 4.17 Maintaining Status Code
- 4.18 Enquiry for Interest and Principal Projections
- 4.19 Viewing the Settlement Details during Contract Authorization
- 4.20 Viewing the Different Versions of a Loan
- 4.21 Viewing the Accrual Fee Details for a Loan
- 4.22 Viewing Entity Details
- 4.23 Viewing the Effective Interest Details for a loan
- 4.24 Specifying the Installment Preferences for a Loan
- 4.25 Capturing customer relationships for every loan
- 4.26 Specifying the Special Penalty Components
- 4.27 Maintaining Floor and Ceiling Initial Details
- 4.28 Booking Re-Price Transactions
- 4.29 Consolidating Re-Price Transactions
- 4.30 Maintaining Loan Loss Reserve
- 4.31 Amending the Exchange Rate
- 4.32 Classifying LC Sublimit
- 4.33 Maintaining Special Penalty Component Waiver Details
- 4.34 Viewing the Waiver Details of Special Penalty Components
- 4.35 Maintaining Floor and Ceiling Details
- 4.36 Specifying the Disclosure Schedule Details
- 4.37 Viewing the Contract Disclosure Schedule Status Details
- 4.38 Viewing Summary Details of a Loan
- 4.39 Dual Authorization
- 4.40 Multi-level Authorization
- 4.41 Simulating Loans
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5
Processing Upfront Fee Accruals
- 5.1 Introduction
-
5.2
Applying a Fee
- 5.2.1 Associating the Component with the Product
- 5.2.2 Specifying the Accounting Roles
- 5.2.3 Specifying Discount Accrual
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5.2.4
Specifying Re-Price
- 5.2.4.1 Specifying the events
- 5.2.4.2 Specifying the accounting entries for the associated fee components
- 5.2.4.3 Specifying event-wise accounting entries
- 5.2.4.4 Specifying the advices
- 5.2.4.5 Indicating the values of the fee amount to be rekeyed during authorization
- 5.2.4.6 Specifying the status of an upfront fee
- 5.2.5 Processing Lock-ins
- 5.2.6 Generating Fee Accrual reports
- 5.3 Amending fee Component Details
- 5.4 FASB Fees Amortization Using Straight Line Method
- 5.5 Liquidating Fee Components
- 5.6 Transferring Memo Interest to FAS91 Fee
- 5.7 ECA Handling for Fees
- 6 Defining Discount Accrual Fee Classes
-
7
Processing Repayments
- 7.1 Introduction
- 7.2 Defining Schedules for a Product
- 7.3 Setting Product Schedule Preferences
- 7.4 Defining Repayment Schedules
- 7.5 Pay Receivable Upload
- 7.6 Principal Schedule Upload
- 7.7 Setting Loan Schedule Preferences
-
7.8
Specifying the Preferences of the
Contract
- 7.8.1 Types of Repayment Schedules
- 7.8.2 Defining Installment Schedules for Loans
- 7.8.3 Specifying the Amortization Type
- 7.8.4 Liquidating Back Valued Schedules
- 7.8.5 Repayment Schedule Date is a Holiday
- 7.8.6 Moving Schedules Forward or Backward
- 7.8.7 Moving Schedule Dates across the Month
- 7.8.8 Cascading Schedules
- 7.8.9 Specifying the Holiday Currency
- 7.8.10 Specifying the Mode of Liquidation
- 7.8.11 Ascertaining the Availability of Funds
- 7.8.12 Contract Schedules Screen
-
7.9
Revision and Repayment
Schedules
- 7.9.1 Interest Rate Revision Schedule
- 7.9.2 Specifying the Rate Revision Frequency
- 7.9.3 Specifying the Rate Revision Dates
- 7.9.4 Repayment Schedule
- 7.9.5 Interest Repayment Schedules
- 7.9.6 Specifying Schedules for a Loan with a Fixed Interest Rate
- 7.9.7 Redefining Schedules
- 7.9.8 Authorizing a Redefined Schedule
- 7.9.9 Viewing Schedule Details
- 7.9.10 Viewing Revision Schedule Details
-
7.10
Making Manual Payments
- 7.10.1 The Contract Schedule Payments Screen
- 7.10.2 Input of Manual Payments
- 7.10.3 Specifying Prepayment Schedule Processing
- 7.10.4 Handling Prepayments
- 7.10.5 Specifying Residual Liquidation Entries
- 7.10.6 Navigating to Other Screens
- 7.10.7 Paying Tax
-
7.10.8
Viewing the Schedule Break-up
Details
- 7.10.8.1 Schedule Payment Component
- 7.10.8.2 Schedule Payment Due Date
- 7.10.8.3 Schedule Payment Amount Due
- 7.10.8.4 Schedule payment amount paid
- 7.10.8.5 Viewing Messages using Message Preview
- 7.10.8.6 Deleting Manual Payments
- 7.10.8.7 Authorizing Manual Payments
- 7.10.8.8 Reversing Manual Payments
- 7.10.8.9 Marking Contract as Active
- 7.10.8.10 Marking Contracts as Liquidated
- 7.11 Simulating Payments
- 7.12 Processing a Loan Payment when Contra Accounting is Applicable
- 8 Automatic Events in the Life Cycle of a Loan
-
9
Rolling-over a Loan
- 9.1 Introduction
-
9.2
Features of the Product Roll-over Details
Screen
- 9.2.1 Specifying whether Rollover is Applicable
- 9.2.2 Specifying the Rollover Mechanism
- 9.2.3 Specifying the Rollover Method
- 9.2.4 Mode of roll-over
- 9.2.5 Roll-over of Interest, Charge and Fee Components
- 9.2.6 Maximum Allowed Rollover
- 9.2.7 Maturity Date Basis
- 9.2.8 Applying Tax on Roll-Over
- 9.2.9 Deduct tax on Roll-Over
- 9.2.10 Contingent Entries for Additional Amount
- 9.2.11 Applying a Charge on the Roll-Over Amount
- 9.2.12 Liquidating Overdue Schedules
- 9.2.13 Interest Rate on Rollover
- 9.2.14 Indicating the Values to be Re-keyed during Authorization
- 9.3 Specifying Contract Roll-Over Details
-
9.4
Specifying Details for Normal Rollover
- 9.4.1 Mode of Roll-Over of a Contract
- 9.4.2 Manual Rollover
- 9.4.3 Specifying the Roll-Over Amount
- 9.4.4 Specifying the Manner in which the Special Amount should be Treated
- 9.4.5 Applying Tax
- 9.4.6 Specifying Charge to be Applied on the Rolled-over Amount
- 9.4.7 Specifying the Schedule Basis for the rolled over contract
- 9.4.8 Specifying whether New Components have to be Included
- 9.4.9 Specifying whether Overdue Schedules should be liquidated
- 9.4.10 Specifying the Maturity Type
- 9.4.11 Indicating the Interest Basis for Roll-over
- 9.4.12 Specifying the Refinancing Rate for the rolled over Contract
- 9.5 Specifying Details for Rollover Split
- 9.6 Specifying Details for Rollover Consolidation
- 9.7 Advices for a Rolled-Over Loan
- 9.8 Authorizing a Manual Roll-Over
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10
Making Additional Disbursements and Rate
Changes
- 10.1 Introduction
-
10.2
Navigating to different tabs in Value Dated
Amendment screen
- 10.2.1 Applying Rate Revision Schedules
- 10.2.2 Making Changes in Interest
- 10.2.3 Making Changes in Interest Rate Type
- 10.2.4 Making Changes in Maturity Type
- 10.2.5 Making Changes in Special Rate Type
- 10.2.6 Amortization after a Value Dated Amendment
- 10.2.7 Making Changes in Fees
- 10.2.8 Settlement instructions
- 10.2.9 Specifying Linkages
- 10.2.10 Viewing Messages using Message Preview
- 10.2.11 Deleting Value Dated Amendments
- 10.2.12 Schedule Changes for VAMI
- 10.2.13 Reduction of CoC balances for HFI Contracts
- 10.3 Simulating VAMI
- 10.4 Tracking Payables and Receivables
- 10.5 Progressive Disbursement
-
11
Automatic Processing
- 11.1 Automatic Events in the Life Cycle of a Loan
- 11.2 Specifying Branch Parameters
- 11.3 Initiating the Automatic Contract Update Function
- 11.4 Processing Auto Capitalization of Interest
- 11.5 Initiating a Future Value Dated Contract
- 11.6 Processing an Automatic Repayment
- 11.7 Generation of Billing Advices and Delinquency Notices
- 11.8 Automatic Rollover of a Loan
- 11.9 Advices to be Generated for a Status Change
- 11.10 Accrual of ICCF Components
- 11.11 Interest Rate Revision on a Loan
- 11.12 Value Dated Changes
- 11.13 Maintaining Loans Parameters Details
- 11.14 Viewing Unauthorized Transactions
- 11.15 End of Day Operations
-
12
Processing a Commitment
- 12.1 Introduction
- 12.2 Defining a Commitment Product
- 12.3 Initiating a Commitment
-
12.4
Linking a Loan to a
Commitment
- 12.4.1 Specifying the Details of the Linkage
- 12.4.2 Specifying the Linked Amount
- 12.4.3 Specifying the Exchange Rate
- 12.4.4 The Converted Link Amount
- 12.4.5 Type and Total Linked Amount for each Type
- 12.4.6 Uncovered Amount
- 12.4.7 Accounting Entries for a Linkage
- 12.4.8 Amending Commitment Linkage Details
- 12.4.9 Processing Commitment Linkage Changes
- 12.4.10 Defining Schedules for Reduction of Commitment Amounts
- 12.5 Viewing Billing Notice History
- 12.6 Maintaining Slab/ Tier Based Fee for Commitment
- 12.7 Viewing Quick Query Details of Loans
- 12.8 Viewing Quick Query Details of Commitments
- 12.9 Revaluation of Commitment
-
13
Annual Rest Loans
-
13.1
Introduction
- 13.1.1 Specifying the Unearned Interest Calculation Parameters
- 13.1.2 Specifying the Accounting Roles for Unearned Interest Component
- 13.1.3 Capturing the unearned interest details at the contract level
- 13.1.4 Amending the Details of Annual Rest Loans
- 13.1.5 Processing Accruals
- 13.1.6 Specifying the Status of Annual Rest Loans
- 13.1.7 Processing Prepayments of Installment Loans
-
13.1
Introduction
- 14 Jobs and EOD Batches
- 15 Appendix A - Customer Correspondence
-
16
Appendix B - Accounting Entries, Advices and
Error Codes
- 16.1 Accounting Entries for Loans
- 16.2 Loans Events
- 16.3 Amount tags
- 16.4 Accounting Roles
- 16.5 Event-wise Accounting Entries and Advices
- 16.6 Accounting Entries for Contract Adjustment
- 16.7 Payable Receivable Liquidation
- 16.8 Accounting for Discounted Loans
- 16.9 Accounting Entries for Non-Performing Loans
- 16.10 Accounting Entries for Reserved and Non-reserved Loans
- 16.11 Accounting Entries for Cost of Credit Valuation
- 16.12 Accounting Entries for LC Sublimit Re-classification
- 16.13 Accounting Entries for Rollover Contingent
- 16.14 Error Codes
- 16.15 Examples of Calculating TEAC
- 17 Appendix C – Unexpected Recovery
- Index