Versions Compared

Key

  • This line was added.
  • This line was removed.
  • Formatting was changed.

...

Define how the payments are calculated.

The following settings can be defined:

...

Specify the number of grace days allowed for late payments. During this period

As long as an installment is the “Late grace days” past-due, no past-due fees are accrued when an overdue payment takes place. If the debt is not repaid within the Late Grace Period, “Late grace days” period - the following day the system applies the whole past due fees for all days in the Late Grace Period.
past due. Set the Late Grace Days value to 0 to disable this feature.

Customizable Equal Payments

...

When customizable equal payments are chosen, you can allow your employees (Back-Office Users) and/or Customers to specify the basic installment amount.

...

  • Every “repayment period” the “equal payment” is charged from the Customer. The rest of the amount to be repaid is charged with the last installment.

  • If enabled, Back-Office Users and/or Customers change the equal amount. The payments will be recalculated correspondingly.

...

Interest Settings

...

Interest: Set the interest rate as a percentage and the period (e.g., per Month).

...

...

You can go on to define the interest that will be applied to all loans with this Credit Product.

...

Define the interest that shall be applied to the loan body.

The interest is defined in the “Interest” field.

It can be defined as:

  • Amount: amount in the currency defined for the account

  • Percent: the share of the “Calculate basis” (defined below)

  • Rate: 0,01 of the percent value

The interest is calculated per day, week, month, or year. This corresponding potion of the interest value is then accrued daily and added to the installment.

In the initial schedule, each installment contains all the interest that will be accrued if the installment is paid on the installment date.

  • Should the installment be paid off earlier, the interest may vary (subject to other settings of the Credit Product).

  • If the loan term is prolonged - the interest will be applied to the new loan period.

  • If the loan is paid off early - the interest may vary (subject to other settings of the Credit Product).

Variable Interest

Check the “Use variable interest rate” box to make the interest value variable.

...

  • The value defined in the “Interest” field (“4” in the example above) is the default interest assigned to the Loans of this Credit Product.

  • Min interest rate (“0” in the example above) and Max interest rate (“15” in the example above) are the limits to the interest that can be defined by the authorized users (“Who can edit the fee”)

Calculation Basis

...

If the Interest is calculated as a rate or percent, it can be calculated based on:

  • Remaining principal: Decreased when part of the principal is paid off. Does not depend on the fees.

  • Loan amount: stays the same throughout the loan term.

  • Installment balance: The amount due for the specific installment, including all the fees accrued during this installment.

Loan Phase

  • Loan phase: Define the phases of the loan (e.g., Grace period, Main period).

...