1. Islamic Letters of Credit
  2. Credit Limit Tracking for an Islamic LC
  3. Track Credit Limit
  4. Indicate the Credit Line for Liability Amount

12.2.4 Indicate the Credit Line for Liability Amount

You have to specify the credit line of the party against which the Islamic LC liability amount is tracked.

If more than one credit line is defined for the party, only those credit lines whose restrictions are in line with that of the Islamic LC is displayed. The restrictions could be one of the following:
  • Tenor
  • Product
  • Branch
  • Currency
Also, the expiry date of the line should be before the Issue Date of the Islamic LC.

Note:

When you enter an Islamic LC for a customer and choose a line, the cash collateral percentage defined for the customer and line will default. If you have not defined the cash collateral percentage for a customer and a line, the cash collateral percent defined for the product will default to the Islamic LC Contract. You can change this default value to suit the Islamic LC you are processing.

Parent topic: Track Credit Limit