Customer Credit Limits

In most cases, the customer framework is used for large customers who have a credit limit approved in advance by a given leasing company and gradually draw on it through financing contracts.

Leasing contracts are assigned to the customer's client framework, where the function: "Update free frame height" is used to calculate drawdowns, reservations and the remaining amount of the frame according to the data on the contract or from the contract obligation.

Open

There are several ways to view the client frame:

• List of client frameworks from Role Hub Risk Reports/Customer Approved Frames – without filtering

• From the overview/customer card Process/Credit Limits – with a filter for the given customer

• From the Financing Contract card, select Related/Approved Customer Frames – with a filter for the customer of the financing contract (see Contract With Services and Contract Without Services ).

• From the Financing Contract card, select the Other tab after clicking on the Frame No. – field with a filter for the customer of the given financing contract (see UD for the contract).

Creating a Credit Limit from a Customer

The recommendation is to create a frame from a customer (but it is also possible to create one from a list of frames), then the customer's data will be automatically downloaded.

After clicking on Process/Credit Frames on the customer overview/card, a list of frames with a filter for the given customer opens.

You can open an existing frame via Manage/Edit or View.

Creating a new frame can be done using the New button, then the frame tab will open.

Field:

• No. (No.)

  • The unique frame number is filled in automatically according to the set number series

• Customer No.

  • Customer No. for whom the framework is being created

  • If the frame is created from the customer, the customer number is filled in automatically from the customer

• Customer Name

  • Non-editable field – the name is automatically completed according to the selected customer number

• Limit Name

  • Registration fields to be filled in manually by the user

• Frame Kind

  • Setting the frame type from the code list: "Frame Types"

• Limit Type

  • Indication of whether it is a one-time or revolving framework

• Limit Amount

  • Setting the value up to which the customer can draw the limit

• Currency Code

  • Frame Currency Setting (Currency in Which Frame Amount, Reservation and Frame Draw Will Be Calculated)

• Product Type Filter

  • Setting the frame product type according to the code list: "Product type" (the setting is described in the documentation of the leasing agreement).

  • It is possible to set multiple types of products in the field using the character: "|", for example: "FL-MACHINES|FL-NEMOVIT"

  • If it is created from a financing contract, the OC will automatically fill in the product type from that contract

• Limit Draw Type

  • Settings that determine how the free frame height is calculated (how frame draw and reservation will be calculated), Options:

    • Financed Value

      • Calculation of financed value on contracts where the given framework is set

    • Residual Value

      • Calculation from residual value on contracts where the given frame is set

    • Current Liability

      • Calculation from the current liability (free height of the frame reduced by the current obligation)

• Reservation Limit Draw Status

  • Displays the reservation amount of the frame. The field is non-editable and is calculated according to the field: "Frame drawing method" and the settings in the code list: "Detailed contract statuses" in the field: "Reservation of frame=A"

• Limit Draw Status

  • Displays the draw amount of the frame. The field is non-editable and is calculated according to the field: "Frame drawing method" and the settings in the code list: "Detailed contract statuses" in the field: "Frame drawdown=A"

  • It will be updated after the update is made to the free frame height

• Limit Remaining Amount

  • Displays the value of the free amount of the frame (what can still be drawn), the amount is calculated, according to the settings in the field: Limit Draw Method

  • It will be updated after the update is made to the free frame height

  • It is calculated according to the formula (see also a separate chapter below):

    • "Limit Remaining Amount" = "Limit Amount" – ("Reservation Limit Draw Status" + "Limit Draw Status")

  • Field is non-editable

• Comment

  • User note on the framework

• Approval Protocol Date

  • Marking the date of the approval protocol (when the framework was approved)

• Approval Protocol ID

  • Indication of the number of the approval protocol through which the framework was approved

• Approval ID

  • User selects frame approver

• Validity Date From

  • Date from which the frame is valid

• Validity Date To

  • The date until which the frame is valid

• Limit Status

  • Assigning a status to a given framework, options: "New", "Approved", "Active", "Terminated", "Archived". When a frame is active, all fields on the frame are non-editable (except for the frame state). Statuses are manually controlled by the user.

• No. of Contracts

  • A field showing the number of agreements assigned to a given framework. When you click on the field, you will see a list of agreements assigned to that framework

Assigning a Contract to a Frame

Contracts are assigned to a frame on the leasing contract, on the tab: "Other" in the field: "Customer frame number", into which the customer frame from which the contract is drawn is selected. In order for a contract to be assigned to a framework, the following must be met:

• The contract must be in change copy or variant (if it is in a state where a change copy is required)

• Both the contract and the framework are for the same customer

• The type of product on the contract must match the product type filter on the framework

• The remaining amount of the frame must be greater than zero (exhausted frames cannot be assigned)

• Both the contract and the framework must have the same currency code

Update Frame Free Height

The value field: "Frame Draw", "Frame Reservation Status", "Frame Remaining Amount" can be recalculated using the function: "Update Frame". The calculation can be run manually for a single customer or for all frames in a given company.

We recommend that you run updates on only one frame manually during the day (if necessary) and have a periodic task set in the task scheduler overnight (Job No. for Queue: 4026449 Codeunit, Transitions to all companies in the given DB)to update the free elevation on all frames in the company.

Or it is possible to run the function on the customer's client framework, using the icon: "Update frame".

When the Update Frame function starts, a Request form is displayed where you can filter the frames to be updated. If the page is opened from a specific frame, the number of the given frame is filled in the filter (by default, the settings for updating only the selected customer frame are pre-populated)

• Customer Credit Limit Tab

  • Number – Set the filter to the client frame numbers that will be updated when the job runs. If the field is not filled in, the values on all frames in the company will be updated.

  • Customer No.

  • Add filter – to generate the report, it is possible to add any other filter to customers for report generation, for example: "Product type", "Frame type", etc.

• Advanced tab

  • Maximum render time

  • Maximum Number of Rows

  • Maximum Number of Documents

• Buttons/Functions

  • OK – The function will run the task on the frames, according to the set filters

  • Cancel – Close Request form

Update Frame Free Height Calculation Logic

Function: "Update Frame" recalculates all frames in the status: "Active" for which the field: "Frame Remaining Amount" is calculated, according to the logic:

"Limit Amount" - ("Limit Draw Status" + "Reservation Limit Draw Status") = "Limit Amount Remaining"

• Limit amount – Values up to which the customer can use the frame, according to the settings on the given frame in the field: "Limit amount"

• Limit Draw Status – calculated according to the field: "Limit Draw Method" according to the settings on the given framework and according to the assigned contracts and settings in the code list: "Detailed Contract Statuses". The field will include drawdowns from contracts/contracts that meet the following conditions:

  • The contract is assigned to the given framework, according to the field: "Client frame number" on the leasing contract

  • The contract is in a detailed state, which is marked as: "Limit drawdown"="Yes"

  • The contract is not in a change copy (Change copy=N) or in a variant (Calculation variant=N)

  • Frame is in "Active" status

The drawdown value is determined according to the settings in the field: "Limit drawdown method" on the given framework – options: "Financed value", "Residual value", "Current obligation"

• Reservation status of limit drawing – calculated according to the field: "Limit drawing method" according to the settings on the given framework and according to the assigned contracts and settings in the code list: "Detailed contract statuses".

  • The field will include the reservation of drawing from contracts/contracts that meet the following conditions:

  • The contract is assigned to the given framework, according to the field: "Client frame number" on the leasing contract

  • The contract is in a detailed state, which is marked as: "Reservation Limit Draw"="Yes"

  • The contract is not in a change copy (Change copy=N) or in a variant (Calculation variant=N)

  • Frame is in "Active" status

The drawdown reservation value is determined according to the settings in the field: "Limit drawdown method" on the given frame – options: "Financed value", "Residual value", "Current liability"

• Limit Remaining Amount – the value is calculated, according to the formula: "Limit Amount" – ("Limit Draw Status" + "Reservation Limit Draw Status") = "Limit Remaining Amount"