Calculation in detail

Owned by Molitorisová Marianna
Last updated: Oct 04, 2024 by Petra Jankovicova
3 min read

This chapter describes the process of calculation creation in detail, for general overview and short process please follow

How to create calculation in general

Calculation creation

To create new Loans you can use 3 possibilities :

  • Main Action menu - menu New - Create New Loan

  • Financing List - menu Process - Create New Loan

  • Customer menu - from Customes Card - menu Process - Create New Loan

Calculation creation wizard

The system opens wizard with 4 steps:

  1. Step choose:

  • Legal Form - Defines customers legal form (entrepreneur, non-entrepreneur, legal entity)

  • Customer - Select from activated customers

  • Sales Person - Used for person created the Loan

  • Maximal Principal - Maximam pre-approved Loan Amount Click to the button Next

  1. Step choose:

  • Financing Product Code - Loan type with predefined default Financing paramaters as Validation, Series No, Calculation parameters(Calendar Month, Calculation method, Financing period, Rates, Fees) or Invoicing (Posting Groups, Payment Terms). For more information please see How To Create Financing Product.

  • Payment Due Date

  • Part Payment Period - Finnancing period - Month, Quarter, Half Year, Year

  • Principal Amount

  • Initial Fees - Fees for Issuying the Loan - separate invoice is automatically issued after the loan is approved

  • Service per Financing Period - Service amount is calculated in Payment Calendar

  • Insurance per Financing Period - Insurance amount is calculated in Payment Calendar

  1. Step:

  • Verify or adjust Financing Rates and continue to the button Next for the next step.

  1. Step:

  • The system sumarize the rates and anuits. Continue to the button Finish to complete the wizard.

Calculation parameteres

After the completing wizard system will create Financing Card with status Calculation.

Section General

Check the Financing product and Dates - Offer Creation Date, Offer Validity Date, Calculation Starting Date, Expected Termination Date.

The Financing Product has impact to the calculation method:

  • Interest- Customer reguraly repays interest and the principal amount in the last installment

  • Annuit- Customer reguraly repays interest and the principal amount in all installments

Section Calculation

Calendar Month - Possibility of Aliquot payment - if the Calculation Starting Date is not in the beggining of the month, the system splits the first payment for two payments - First payment from the Calculation Starting day to the end of the month and the last payment from the beggining of last month to the Expected Termination Date. It means the regular payments respect calendar month in Payment Calendar.

Daily Interest - It is possible to turn on only with calculation model INTEREST. If turned on, the system calculates interest exactly according to the number of days in a payment period under the same conditions (principal, interest rate) Formula: "Principal balance" * Rate / 365 (366) / 100 * Days.

Financing Periods (in Months) - although the repayment period is different from the Month always input in months

Principal Amount, Maximal Principal Amount, Interest Rates (Cost, Margin, Total) Fees nad Insurance.

Section Invoicing

  • Gen. Bus. Posting Group and Gen. Prod. Posting Group - the system post regular invoices according to these selected posting groups.

After changes, click in menu Process for Calculation to display the changes.

Note: Calculation button saves changes which were done within financing card, recalculates the Calculator, brings changes to the Payment Calendar and recalculates the Payment Calendar.

You can do changes also in calculation lines (click in menu Process for Calculation Lines ). Please note that after the changes there, you need to click on Update to recalculate the lines so you can see the effect of your changes. This button only display changes in calculation lines so you can use it as a playground and simulation.

If you want to display your changes from calculation lines to the payment calendar, click on Finish.

To post regurely invoices use:

  • Manually - for separately posting - use menu Process - Payment Calendar and click to the button Post. You can not skip the payments to be posted. It must be posted consecutively.

  • Massive - To post all invoices for Loans filtred by selected parameters - use Action menu Processing - Finance Payment Posting - Posting in main system page.

Follow up:

How to create calculation in general

Set Up Calculation

How to create new customer

How to create financing product

How to work with approval process