E.3.2 Lease Usage Methods
Following image indicates four types of asset usage lapse / rollover combinations supported:
As per the above usage methods, usage units billing is accounted as indicated below:
Note:
The usage lapse / rollover is subject to maximum usage as defined for a Collateral.
- Non-Rollover Usage - This option indicates that non utilized units in current cycle will be lapsed.
- Rollover Usage - This option indicates that non utilized units from previous cycle is carried over and added as base units to next cycle incrementally.
- Rollover & Advance Usage - This option indicates that system bills the customer at the base rate, considering the usage available for the life of account and includes the non utilized units from the previous cycle.
- Advance Usage - This option indicates that system bills the customer at the base rate, considering the usage available for the life of account. Here non utilized previous units will be lapsed.
The Rollover / Advance is accounted for fixed reset period. For example, if Contract starts at Jan and rollover is set to 3 months for a monthly usage billing cycle, the rollover resets at end of 3rd month and from April new rollover set starts.
Parent topic: Usage Based Leasing Workflow