2.3.2 Loan Creation during Shipping Guarantee Creation
Loan as collateral is created for a Shipping Guarantee product if ‘Collateral Funding by Loan’ is checked. The following steps are performed while creating a loan as a collateral for shipping guarantee issuance.
Saving Shipping Guarantee Creation
- During creation of shipping guarantee, the following details should be maintained for loan creation:
- Branch Code - Branch code of the account
- Loan Product - Loan product for which shipping guarantee has to be created
- Loan Amount - Amount provided in Split Settlement for loan creation
- Loan Currency - Local currency (or) Contract Currency to be maintained
- Counterparty - Counterparty of the shipping guarantee
- Value Date - Issue date of shipping guarantee
- Maturity Date - Issue date of shipping guarantee + tenor of loan product
- Suspense GL - The Bridge GL maintained at shipping guarantee product maintenance. Suspense GL in OBTF and OBCL should be the same.
- Interest components will be defaulted in UDE Details
- Rate Code will be available for Fixed Rate type and it can be modified. If Rate Code is not available, Interest rate can be provided in UDE Value. Interest Rate should not be negative.
- Floating Rate Type - The system defaults Usage. You can modify it.
Authorizing Shipping Guarantee Creation
Shipping Guarantee authorization will fail if there are any dual authorization overrides and system will display an error message. User has to authorize the override manually and then proceed for authorization of shipping guarantee.
Loan creation and loan authorization requests will be posted in intermediate store with the following details:
- User ID for Loan creation request will be posted as 'SYSTEM'
- User ID for Loan authorization request will be posted as Shipping Guarantee authorization user.
- Status of Loan creation request will be ‘Unprocessed’.
- Status of Loan authorization request will be ‘Hold’
The ‘External Loan Request Status’ in LCDTRONL will be updated as ‘Unprocessed’. If you try to delete, modify or authorize the Shipping Guarantee, the system displays an error message.
- On receiving success response, if you try to delete the shipping guarantee, the system displays an error message as the loan is authorized.
- In case of failure response, you have to manually delete the shipping guarantee.
- Product Maintenance
This topic provides the systematic instructions to load product preferences. - Loan Preferences
This topic provides the systematic instructions to load loan preferences. - Shipping Guarantee Processing
Parent topic: Integration Process