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1-677-124-44227
184 Main Collins Street West Victoria 807
info@yoursite.com









Design a New Loan Account Category

This is an Essential Part

Further Arragements [This part is Not Essential ]
Please note that all of the below sectors optional. If you do not want to place any restrictions, those sectors can be left empty .

Loan Release Date:

If you select Yes, the Loan Released Date on the Add Loan page will be auto-filled with today’s date.

Principal Amount:

Interest:

Duration:

Repayments:

Loan Due and Loan Schedule Amounts:

If Loan Due amount and/or Schedule amounts are in decimals for example $100.33333, the system will convert them based on below option.

Repayment Order:

The order in which repayments are allocated. For example let’s say you receive payment of $100 and order is Fees, Principal, Interest, Penalty. Based on the loan schedule, the system will allocate the amount to Fees first and remaining amount to Principal and then Interest and then Penalty.



Automated Payments:

If you select Yes below, the system will automatically add due payments on the schedule dates for loans added in this loan product. This is useful if you expect to receive payments on time for the loans. For example, you may have a direct deposit or payroll system which automatically deducts payment from the borrower on the scheduled dates. This will save you time from having to manually add payments on Loandisk on the scheduled dates.

If you select Yes, the system will automatically add the due payments on every repayment cycle based on the scheduled dates.


The payment will be added between the above selected times. If you change Add Automatic Payments to No before this time on the scheduled date, the system will not add the payment.

Loan Fees:

If you select Yes, the system will automatically add the stamp duty as a fee to be paid by the burrower at the disbursement of the loan facility.
( Payment to be settled on the date of disbursement.)

Extend Loan After Maturity Until Fully Paid:

If you select Yes below, the system will automatically add interest after the maturity date if the loan is not fully paid.


    

    

If you select Yes, the system will keep the loan status as Past Maturity even after loan has been extended. If you select No, the loan will never be marked as Past Maturity since it is constantly being extended once maturity date is reached.

Advance settings:

Below, you can see the Advance Settings that are used on the Add Loan page. You can see these fields by clicking on Advance Settings: Show on the Add Loan page.


(Valid for Flat-Rate only)
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First Repayment Amount (optional)

This is an optional field. Only valid for Flat-Rate interest method. You can type an amount that will be charged on the first repayment. If you leave this field empty, the first repayment amount would be calculated based on the Loan Interest and Loan Duration fields above.

Some lending companies charge a higher amount on the first repayment to reduce risk. If you do type an amount here, the First Repayment Amount will be subtracted from the total loan due amount and the remaining amount will be divided in the repayment cycle as per the Interest Method above.


(Valid for Flat-Rate only)
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Last Repayment Amount (optional)

This is an optional field. Only valid for Flat-Rate interest method. You can type an amount that will be charged on the last repayment. If you leave this field empty, the last repayment amount would be calculated based on the Loan Interest and Loan Duration fields above.

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Override Each Repayment Amount to

This is an optional field. You can specify the total amount for each repayment cycle. If you leave this field empty, the system will calculate repayment amount as per the Repayment Cycle selected above.

Some lending companies don’t calculate the exact interest amount for each repayment cycle. Consider a scenario where you give a borrower $5000 for 24 weeks and agree to a total repayment of $288.75 for each week. If you multiply $288.75 by 24 weeks, you get $6930. So the total interest charged is $6930-$5000 = $1930. If you divide $1930 by 24 weeks, you get 80.416666666666 interest for each repayment cycle. If you enter that in Loan Interest field above (such as 80.41 or 80.42), the due amount for each repayment would not all be the same due to the rounding off error. Hence for this type of loan, you can put $288.75 in Override Each Repayment Amount to and the system will automatically calculate the interest for each repayment and do the proper rounding off. In this case, you can put 0 in Loan Interest above.

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Calculate Interest in Each Repayment on Pro-Rata Basis?

This is an optional field. If you select Yes, the system will calculate the interest in each repayment on pro-rata basis based on the number of days between repayment dates.

For Monthly/BiMonthly/Quarterly/Every 4 Months/Semi-Annual/Every 9 Months loans, the system will look at the Days in a Month for Loan Interest Calculation field in Account Settings. For Yearly loans, it will look at the Days in a Year for Loan Interest Calculation field. Then, it will calculate the daily interest by dividing the amount due by the days figure in Account Settings. The daily interest will then be multiplied with the number of days between repayment dates to calculate the pro-rata interest amount.

Let’s assume we have a monthly cycle loan released on 1st January and the first repayment is due on 1st February for $300. Firstly, the system will divide $300/30 days(Days in a Month for Loan Interest Calculation field in Account Settings) = $10/day. Secondly, there are 31 days between 1st January and 1st February. To get the pro-rata amount for the first repayment, it is 31 days x $10/day = $310.

Help

How should Interest be charged in Loan Schedule?

This is an optional field. Select how the total interest should be charged in the loan schedule. You can select from

  • Include interest normally as per Interest Method

    – The interest will be shown as per the Interest Method above.
  • Charge All Interest on the Released Date

    – All the interest will be charged on the released date.
  • Charge All Interest on the First Repayment

    – All interest will be charged on the first repayment date as per the schedule.
  • Charge All Interest on the Last Repayment

    – All interest will be charged on the last repayment date as per the schedule.
  • Do Not Charge Interest on the Last Repayment

    – Interest will not be charged on the last repayment date. If you give bullet loans where you only want to collect the principal on the last repayment, then this option is for you.

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How should Principal be charged in Loan Schedule?

This is an optional field. Select how the total principal should be charged in the loan schedule. You can select from

  • Include principal normally as per Interest Method

    – The principal will be shown as per the Interest Method above.
  • Charge All Principal on the Released Date

    – All the principal will be charged on the released date.
  • Charge All Principal on the First Repayment

    – All principal will be charged on the first repayment date as per the schedule.
  • Charge All Principal on the Last Repayment

    – All principal will be charged on the last repayment date as per the schedule.
  • Do Not Charge Principal on the Last Repayment

    – Principal will not be charged on the last repayment date.
  • Do Not Charge Principal on the First [n] Repayment(s)

    – Principal will not be charged for the first [n] repayment(s). For example if you select Do Not Charge Principal on the First 2 Repayments, the system will start charging principal from the 3rd repayment.


(Valid for Reducing Balance – Equal Installments only)
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Balloon Repayment Amount

This is an optional field. Only valid for Reducing Balance – Equal Installments interest method. You can put a balloon payment on the last repayment cycle. This will reduce the repayment amount but will increase the total interest. On the last repayment, the repayment amount + balloon payment will be charged.

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Loan Schedule Description

You can specify the description for each repayment installment in the loan schedule. If you leave this empty, the word Repayment will be added as description for each installment.

Accounting:

When you add a loan and have disbursed the Principal Amount to the borrower and the Loan Status is set to Open, you can select where the funds came from. This will allow the system to make the proper journal entry. If you select a bank account below, it will auto populate for this loan product when adding a loan.

Add/Edit Bank Accounts

Duplicate Repayments:

If you select Yes below, you can not add duplicate payments on the same loan. This is useful for error checking. Let’s say you enter a payment of $100 on 12th March 2023 to a specific loan. If you try to enter another payment for $100 on 12th March 2023 on the same loan, the system will give you an error.


    

Branches: