Financing product creation in OC Loans App
- Molitorisová Marianna
- Petra Jankovicova
For loan creation we need to select Financing Product Type. Currently we have possibility to choose between 2 types of financing products - anuit and interest product type. Difference between them is in calculation of interest:
Anuit Calculation Model means that every month you pay the equal payment composed by principal amount and interest amount.
In Interest Calculation Model you pay only interest for entire loan duration in last installment you pay the principal amount.
We can create multiple templates of financial product types, for example interest calculation with technical months, interest calculation with calendar months, etc. Financing product can be considered as a template for interest calculation. The default parameter setup in financial product is automatically brought into financing card.
In video below is described the whole process of creating financing product
Financing product creation
Click on Financing Products/New
General fast tab
Code
unique identificator of financial product
Description
description of financial product
Financing Type
select between Loan or Financial Leasing
Currency Code
in case field is empty, the template can be used among all available currencies defined in table Currencies
Branch Code
assigning Branch Code allows you filter and prepare financial statistics per particular branches
Gen. Terms and Condition Code
this code is brought to Financing Card so it can be printed on contract
Valid From and Valid To
date field for product availability
Legal Form
via boolean you are able to set up for which entities will be the financing product visible
Active
in order to use financing product for calculation creation we have to activate it
Issue Withdrawal Slip
if boolean is turned ON, then Initial Fee Amount and Initial Fee % are inactivated
Numbering Series
Contract
Payment Document
Individual Invoice
Settlement Invoice
Calculation Parameters
Financing Calculation Model
Anuit Calculation Model means that every month is paid equal anuity composed by principal amount and interest amount.
Interest Calculation Model means that for the entire financing period is paid only interest and in last installment is paid principal amount.
Calendar Month
If you turn on the boolean Calendar Month, system calculates aliquot payment in the first installment.
Calculation starting date is not 1st day of a month, for example 20. 9. 2024 and Financing Period is 12 months.
First installment (1st) is from 20. 9. 2024 till 30. 9. 2024
Last installment (13th) is from 1. 9. 2025 till 19. 9. 2025
Daily Interest
Available only for Interest Calculation Model.
If this function is ON, system is using exact number of days in interest formula calculation.
In case of interest change, we are able to make a change from particular day.
Part Payment Due Date
The value in this field determines whether the system will calculate the contract with interest calculation.
Choice configures also the posting date and due date of the payments.
At the beginning - installments will be charged at the beginning of the financing period
At the end - installments will be charged at the end of the financing period.
For more information follow the link: PMT function - Microsoft Support (without guarantee)
Part Payment Period
Default value of this field is “Month”, the user can change the value to
Quarter
Year
Half Year
Yearly
Default Financing Period (in Months)
User enters the default duration value in months for a given Financing Product
Normal End Date
Date of expected termination date
Last Day -> Expected Termination Date = Calculation Starting Date + Financing Term
Next Day -> Expected Termination Date = Calculation Starting Date + Financing Term + 1D
Total Rounding Code
This is rounding setup for Payment Amount Incl. VAT in Payment Calendar
Part Payment Rounding Code
This is rounding setup for Principal Amount and Interest Amount in Payment Calendar
Insurance Rounding Code
This is rounding setup for Insurance in Payment Calendar
Service Rounding Code
This is rounding setup for Service in Payment Calendar
Calculation Rounding Code
This is setup for rounding Anuit in Calculator Lines.
Principal and Interest amounts are not rounded in Calculator Lines on backend, in lines is displayed decimal number.
Default Initial Fee Amount
Numerical value of Initial Fee Amount
Default Initial Fee %
Percentage value of Initial Fee calculated from Principal Amount
Service Amount Allowed
Boolean, which allows to enter Service Amount for particular financing
Default Service Amount per Month
Monthly value of Service Amount which will be automatically assigned to contract
Default Insurance Rate %
Setup of automatic calculation of Insurance Amount.
Insurance is calculated as percentage from Principal Amount
Invoicing
Gen. Bus. Posting Group
Optional, can be empty, because during Loan creation will be this information taken from Customer Card
Specifies the customer's trade type to link transactions made for this customer with the appropriate general ledger account according to the general posting setup.
Field is described in Posting setup in OC Loans App
VAT Business Posting Group
Specifies the customer's VAT specification to link transactions made for this customer
More details are in Contact and Customer creation in OC Loans App
Gen. Prod. Posting Group
This group determines what you buy and what you sell.
You create General Product Posting Group codes for the services, goods, and resources that are the subject of your transactions. The General Product Posting Group code determines what item is bought or sold. Use codes that are easy to remember, such as GOODS, SERVICES, FIN_FL, LOAN, RETAIL.
More information in Posting setup in OC Loans App
Tax Posting Group Principal
Available is selection from VAT Product Posting Groups
Tax Posting Group Interest
Available is selection from VAT Product Posting Groups
Tax Posting Group Service
Available is selection from VAT Product Posting Groups
Tax Posting Group Simple Ins.
Available is selection from VAT Product Posting Groups
Payment Terms Code
Based on setup of payment terms code is calculated Due Date
Payment Method Code
Available is selection of default Payment Method from the table Payment Methods
Finance Charge Terms Code
It is used for reminders
Financing Indicators
Insurance Cost %
Cost of insurance provided with financing in percents. It is used for Net Profit Indicator
Service Cost %
Cost of service provided with financing in percents. It is used for Net Profit Indicator.
Financing Product Rates
In this table is possible to define interval for automatic assignment of financing rate based on inserted criteria.
There are available following fields:
Financing Period From
Financing Period To
Principal Amount From
Principal Amount To
Financing Rate - Cost
Financing Rate - Margin
Financing Rate - Total