17. Customer Correspondence

This chapter contains the following sections:

• Section 17.1, "Introduction"
• Section 17.2, "Drawdown Notices"
• Section 17.3, "Exchange Rate Fixing Advices"
• Section 17.4, "Interest Rate Fixing Advices"
• Section 17.5, "A note on Interest Rate Revision Advices"
• Section 17.6, "Assignment Advice"
• Section 17.7, "Interest Rate Fixing Notice"
• Section 17.8, "Drawdown Notice to Participant on Account of Exchange Rate Fluctuation"
• Section 17.9, "Amendment Fees for the Borrower"
• Section 17.10, "Amendment Fees for the Investor"
• Section 17.11, "Borrower Fax and Payment Message for SLC Fees"

17.1 Introduction

This chapter explains the various types of advices and notices generated at each stage for the type of contract that the Loans Syndication (LB) module handles.

The following fields are common to all the Advices/Notices sent to the customer:

• The Standard FAX Header
• The System Date
• The name of the Contact person and his address (may include Fax/Phone No)
• The name of the customer (addressee)
• The Ref No of the facility contract, the facility amount and currency and the date on which the contract is booked in the system.
• The name of the borrowing customer
• The details of sender of the advice/notice (Administrator’s name and address)

Note

• While printing the amount, the system takes the full length of the amount tag and prints the amount, due to which there is space between the currency and amount and the amount and symbol for the currency. The system can eliminate all spaces while printing amount fields, based on the value of the UDF ‘AMOUNT FORMATTING REQUIRED’.
• You can maintain the value as ‘Y’ or ‘N’ for this UDF in the ‘File Format Maintenance’ and ‘Free Format Template Maintenance’ screens.

 

The following details forms the part of all the drawdown notices generated at your bank:

• Interest rate fixing date and time
• Exchange rate fixing date and time

Note

The default borrower of a facility may be different from the default borrower of its tranche. Likewise, the default borrower of a tranche may be different from the default borrower of its drawdown. Hence, the borrower field in all the advices are populated based on the type of the contract, whether facility, tranche or a drawdown, for which the advice is being sent.

During advice/free format message generation, the system checks whether the value of the UDF ‘AMOUNT FORMATTING REQUIRED’ is maintained as ‘Y’ for a given format.

• If the value maintained is ‘Y’ and advice tags for the amount type of fields in the advice/free format template is maintained in the internal data store, the system while generating advices for the format eliminate spaces before and after the value of all amount type of fields that need to be printed in the advice.
• If the value maintained is ‘N’, there are spaces before and after the value of all amount type of fields.

You need to eliminate the spaces for the following list of free format messages:

• Billing Notice (Borrower + Participants)
• Full Repayment Schedule (Borrower + Participants)
• Payment Schedule (Borrower + Participants)

You need to eliminate the spaces for the following list of advice formats.

• Billing Notice (Borrower + Participants)
• Drawdown Notice (Borrower + Participants)
• Rate Fixing Notice (Borrower + Participants)
• Rollover Notice (Borrower + Participants)
• Consol Rollover
• Split Rollover
• Re-Price Notice (Borrower + Participants)
• Merge Re-Price
• Split Re-Price

17.2 Drawdown Notices

17.2.1 New Drawdown Notice to the Borrower

You can generate this notice to inform the borrowing customer about the new drawdown that is due to him.

The drawdown notice to the borrower contains the following information:

• The reference number of the tranche to which the new drawdown loan is linked.
• The date on which the drawdown is booked in the system
• The period for interest calculation
• The Maturity Date of the drawdown
• The tranche currency (Base Ccy) and amount
• The drawdown currency (Optional Ccy) and amount
• The exchange rate - if exchange rate has been fixed during drawdown booking The following Settlement Instructions details
  • ‘Acc with bank’ name and address
  • The beneficiary account number at ‘Account with bank’

17.2.2 Renewal Drawdown Notice to the Borrower

• This notice is generated to inform the borrowing customer when a drawdown loan is due for renewal (rollover). All the fields (excluding Standing Instructions) available in the ‘New Drawdown Notice to the Borrower’ are available in this notice.
• Also, a renewal notice is generated on the day of the rollover. This gets a precedence over the advice generated on the day the drawdown is due for a renewal.
• This notice is generated for all the rollover types (Normal, Split and Consolidated).

17.2.3 Consolidated Renewal Drawdown Notice to the borrower

The main facility borrower contract can have several tranches under it and each tranche can have multiple drawdown contracts linked to it. At the time of rollover, you can choose to consolidate several drawdowns under a tranche into a single consolidated drawdown loan.

The Consolidated Renewal Drawdown Notice is sent to the borrowing customer of the new consolidated drawdown.

The advice includes details of the new consolidated loan as well as details of each of the original loans that were consolidated into the new loan.

New Consolidated Advance

 

• The reference number of the tranche to which the new drawdown loan is linked.
• The date on which the loans are renewed (rolled over)
• The period for interest calculation
• The Maturity Date of the drawdown
• The tranche amount and the currency (Base Ccy) in which it is expressed
• The drawdown currency (Optional Ccy) and the amount
• The exchange rate - if exchange rate has been fixed during rollover booking

Original Advances

 

• The tranche amount and the currency (Base Ccy) in which it is expressed
• The drawdown currency (Optional Ccy) and the amount
• The date on which the drawdown is booked in the system
• The period for interest calculation
• The maturity date of the drawdown

17.2.4 Split Renewal Drawdown Notice to the borrower

Just as you consolidate several drawdowns into one singe loan, you can split one single drawdown into several drawdowns at the time of rollover.

The advice sent to the borrowing customer includes details of the new split loans as well as details of the original loan that was split into the multiple new loans.

Details of Original Advance

 

• The reference number of the tranche to which the new drawdown loan is linked.
• The date on which the drawdown is booked in the system
• The period for interest calculation
• The maturity date of the drawdown
• The tranche currency (Base Ccy) and amount
• The drawdown currency (Optional Ccy) and amount

Details of New Consolidated Advances

 

• The tranche currency (Base Ccy) and amount
• The drawdown currency (Optional Ccy) for each drawdown and the amounts
• The date on which the loan is renewed (rolled over)
• The period for Interest calculation
• The maturity dates of the new loans
• The exchange rate - if exchange rate has been fixed during rollover booking

Note

If the message type is ‘Consol’, the Split Drawdown Notice received by each customer includes the details of all the drawdowns. If the message type is ‘Individual’, each borrower receives the details pertaining to his own drawdown.

17.2.5 New Drawdown Notice to the Participant Bank

You can generate this notice to inform the participant bank about the new drawdown that is due to the customer.

All the fields (excluding Standing Instructions) available in the ‘New Drawdown Notice to the Borrower’ are available in this notice. In addition, the following fields are included:

• The name of the borrowing customer
• The amount contributed by the participant bank and the base currency in which it is expressed.
• The participant’s amount in the optional currency
• The following Settlement Instructions
• The name of the beneficiary’s bank, account no and address

17.2.6 Renewal Drawdown Notice to the Participant Bank

This notice is generated to inform the participant bank when a drawdown loan is due for renewal. It includes all the fields (excluding Standing Instructions field) available in the ‘New Drawdown Notice to the Participant Bank’.

Also, a notice is sent on the renewal day. This gets a precedence over the advice generated on the day the drawdown is due for a renewal.

Note

If you have chosen the SWIFT media for sending the advice, then instead of the above mail format, the corresponding SWIFT message, MT643 is generated.

17.2.7 Consolidated Renewal Drawdown Notice to Participant

You can send a Consolidated Renewal Drawdown Notice to the participant bank also when rolling over several drawdowns into a single drawdown.

All the fields available in the ‘Consolidated Renewal Drawdown Notice’ sent to the borrower are available in this notice as well. In addition, the following new fields are also included:

Details of New Consolidated Advance

 

• The name of the borrowing customer
• The participant’s amount in the tranche currency (Base Ccy)
• The participant’s amount in the drawdown currency (Optional Ccy)

Details of Original Advances

 

• The original amount contributed by the participant for each drawdown. This amount is the base currency equivalent of the amount in the drawdown currency.
• The participant’s existing amount expressed in the optional currency

Note

If you have chosen the SWIFT media for sending the advice, then instead of the above mail format, the corresponding SWIFT message, MT643 isgenerated.

17.2.8 Split Renewal Drawdown Notice to Participant – Consolidated for All Splits

When you send a Split Renewal Drawdown Notice to the borrowing customer, a similar advice has to be sent to the participant bank also. A consolidated advice consisting of details of all the drawdowns are sent to all the participants.

In addition to all the fields included in the Split Renewal Drawdown Notice that is sent to the borrower, the following fields are also included.

Details of Original Advance

 

• The name of the borrower
• The original contribution of the participant. This is the base currency equivalent of the amount in the drawdown currency.
• The participant’s existing amount expressed in the drawdown (optional) currency

Details of New Advances – Consolidated list

 

• The participant’s contribution for the new drawdown expressed in the base currency
• The participant’s contribution for the new drawdown in the optional currency

Note

If you have chosen the SWIFT media for sending the advice, then instead of the above mail format, the corresponding SWIFT message, MT643 is generated.

17.2.9 Split Renewal Drawdown Notice to Participant – Only Individual Split De­tails

As stated earlier, participants can receive a Split Renewal Drawdown Notice consisting of details of all the drawdowns. But you can also send the notice by including only individual split details that is. each participant receives the details pertaining his/her own drawdown.

In addition to all the fields included in the Split Renewal Drawdown Notice that is sent to the borrower, the following fields are also included in this notice.

Details of Original Advance

• The name of the borrower
• The original contribution of the participant. This is the base currency equivalent of the amount in the drawdown currency.
• The participant’s existing contribution expressed in the drawdown (optional) currency

Details of New Advance – Only Individual Contract Details

 

• The participant’s amount for the new loan, in the base currency
• The participant’s amount for the new loan, in the new optional currency

Note

• If you have chosen the SWIFT media for sending the advice, then instead of the above mail format, the corresponding SWIFT message, MT643 is generated.
• The message type for the Borrower Drawdown Notice is DRAWDOWN_NOTC and that for the Participant Drawdown Notice is PART_DDOWN_NOTC.

 

17.3 Exchange Rate Fixing Advices

17.3.1 Exchange Rate Fixing Advice to Borrower for New Drawdown

If the drawdown currency is different from the currency of the tranche under which it is initiated or the account to which it is linked, you would use the exchange rates maintained at your bank for the currency conversions.

You can send an ‘Exchange Rate Fixing Advice’ to the borrowing customer when a new drawdown is initiated for the customer.

The following details are included in this advice:

• The reference number of the tranche to which the new drawdown loan is linked
• The date on which the drawdown is booked in the system
• The period for interest calculation
• The Maturity Date of the drawdown

Note

Maturity date is the rate fixing end date.

• The exchange rate used for the currency conversion
• The currency (Base Ccy) of the tranche contract to which the new drawdown is linked
• The Base currency equivalent of the amount in the drawdown currency.
• The drawdown currency (Optional Ccy)
• The drawdown amount, expressed in the optional currency
• The following Settlement Instructions:
  • ‘Acc with bank’ name and address
  • The beneficiary account number at ‘Account with bank’

17.3.2 Exchange Rate Fixing Advice to Borrower for Renewed Drawdown

• Likewise, you can also send an ‘Exchange Rate Fixing Advice’ to the borrowing customer on the date the loan contract is due for renewal. All the fields (excluding standing instructions fields) explained above are made available for the renewed drawdown as well.
• In addition, an advice is generated on the renewal day. This gets precedence over the advice generated on the day the drawdown is due for a renewal.

17.3.3 Consolidated Exchange Rate Fixing Advice to the Borrower

When you consolidate several drawdowns into a single consolidated drawdown, you need to fix the exchange rate if the currency of the consolidated drawdown is different from the currency of the tranche under which it is initiated or the account to which it is linked. You can then send a Consolidated Exchange Rate Fixing Advice to the borrower.

The following details of the new consolidated drawdown and the original drawdowns are included in the advice:

Details of New Consolidated Advance

• The reference number of the tranche to which the new drawdown loan is linked
• The date on which the drawdown loan contract is to be renewed
• The period for Interest calculation
• The maturity date of the drawdown loan
• The amount and currency of the main syndicate contract
• The exchange rate applied

Details of Original Advances

• The amount of the main syndicate contract
• The date on which the drawdown is booked in the system
• The period for Interest calculation
• The Maturity date of the drawdown
• The currency (Base Ccy) of the tranche contract to which the new drawdown is linked.

17.3.4 Split Renewal Exchange Rate Fixing Advice to the Borrower

When you split a single drawdown into a multiple drawdowns, you need to fix the exchange rate if the currency of the new drawdowns is different from the currency of the tranche under which they are initiated or the account to which they are linked. You can then send a Split Renewal Exchange Rate Fixing Advice to the borrower.

The following details of the each of the new drawdowns and the original drawdown that was split are included in the advice:

Details of Original Advance

 

• The reference number of the tranche to which the new drawdown loan is linked.
• The date of the drawdown loan
• The period for Interest calculation
• The Maturity Date of the drawdown loan
• The currency of the tranche to which the drawdown is linked
• The Base currency equivalent of the drawdown amount

Details of New Advances

• The amount of the main syndicate contract
• The currency of the tranche to which the drawdown is linked
• The exchange rate applied
• The date of renewal
• The period for Interest calculation
• The maturity date of the drawdown

17.3.5 Exchange Rate Fixing Advice to Participant for New Drawdown

When you initiate a new drawdown for the borrowing customer, you can send an Exchange Rate Fixing Advice to the participant bank also. To recall, exchange rate is fixed only if the drawdown currency is different from the currency of the tranche under which is initiated or the account to which it is linked. The exchange is used for currency conversions.

All the fields (excluding Standing Instructions fields) available in the ‘Exchange Rate Fixing Advice’ sent to the borrowing customer is available in this advice also. In addition, the following information is also be included:

• The name of the borrowing customer
• The participant’s contribution in the currency of the tranche (Base Currency) under which the drawdown contract is linked
• The participant’s contribution in the drawdown currency (Optional Ccy).
• Settlement Instructions like:
  • The name of the Beneficiary’s bank account number and address

Note

If you have chosen the SWIFT media for sending the advice, then instead of the above mail format, the corresponding SWIFT message, MT644 is generated.

17.3.6 Exchange Rate Fixing Advice to Participant for Renewed Drawdown

Just as you send an ‘Exchange Rate Fixing Advice’ to the borrowing customer, you may send a similar advice to the participant bank when the exchange rate is fixed for a renewed drawdown. All the fields (excluding standing instructions fields) explained for the ‘Exchange Rate Fixing Advice’ to Borrower for the new drawdown is available in this advice as well. In addition, the following fields are also included:

• The date on which the drawdown loan contract is due for a renewal

Also an advice is generated on the rollover date. This gets a precedence over the advice generated on the day the drawdown is due for a renewal.

Note

If you have chosen the SWIFT media for sending the advice, then instead of the above mail format, the corresponding SWIFT message, MT644 is generated.

17.3.7 Consolidated Exchange Rate Fixing Advice to the Participant Bank

When fixing the exchange rate for the consolidated drawdown loan, you can send a Consolidated Exchange Rate Fixing Advice to the participant bank also.

All the fields included in the Consolidated Exchange Rate Fixing Advice sent to the borrower, are available in this advice as well. In addition, the following details are also be included:

Details of New Consolidated Advance

• The name of the borrowing customers
• The amount contributed by each participant. This amount is expressed in the Base currency

Details of Original Advances

• The participant’s contribution for the original drawdown, expressed in the base currency.
• The participant’s contribution in the original drawdown, expressed in the optional currency.

Note

If you have chosen the SWIFT media for sending the advice, then instead of the above mail format, the corresponding SWIFT message, MT644 is generated.

17.3.8 Split Renewal Exchange Rate Fixing Advice to the Participant Bank

When fixing the exchange rates for the split drawdown loans, you can send a Split Renewal Exchange Rate Fixing Advice to the participant bank also.

All the fields included in the Split Renewal Exchange Rate Fixing Advice sent to the borrower, are available in this advice as well. In addition, the following details are also included:

Details of Original Advance

 

• The name of the borrowing customer
• The participant’s contribution for the original loan. This is the Base currency equivalent of the drawdown amount.
• The participant’s contribution for the original loan, expressed in the drawdown currency (Optional Ccy).

Details of New Advances

 

• The participant’s contribution for each of the new loans, in the base currency
• The participant’s contribution for each of the new loans, defined in the currency of the drawdown
• The maturity date for each new drawdown

Note

• If you have chosen the SWIFT media for sending the advice, then instead of the above mail format, the corresponding SWIFT message, MT644 is generated.
• The Message Type for the Borrower Exchange Rate Fixing Advice is BORR_EXFX_ADV and that for the Participant Exchange Rate Fixing Advice is PART_EXFX_ADV.

 

17.4 Interest Rate Fixing Advices

17.4.1 Interest Rate Fixing Advice to Borrower for New Drawdown

If the product specified for the tranche or drawdown loan has a ‘Rate Fixing’ rate of interest, the same is applicable on the drawdown loan. However, you can change this rate at the contract level. If a ‘Floating’ rate has been defined for the product, the rate attached to the specified Rate Code, in the Floating Rates table, is applicable. You can change the rate code by using the Value Dated Changes function.

Note

This advice is generated as part of the IRFX event.

After the appropriate interest rate has been fixed for the new drawdown loan initiated at your bank, you can send an ‘Interest Rate Fixing’ advice to the borrowing customer.

The Interest rate fixing advice includes the following details:

• The reference number of the tranche to which the new drawdown loan is linked
• The date on which the drawdown is booked in the system
• The period for interest calculation
• The maturity date of the drawdown

Note

Maturity date is the rate fixing end date.

• The amount of the drawdown loan
• If you have applied a floating interest rate on the drawdown, the Spread (LIBOR basis) that is applied over the floating interest rate
• The margin applied on the interest rate
• The interest/lending rate applied on the drawdown

 

17.4.2 Interest Rate Fixing Advice to Borrower for Renewed Drawdown

Similarly, you can send an ‘Interest Rate Fixing’ Advice to the borrowing customer when you renew a drawdown loan. All the details available for the above advice are included in this advice also. The advice has the date on which the drawdown is due for renewal.

In addition, the advice is generated on the renewal date. This gets precedence over the advice generated on the day the drawdown is due for a renewal.

17.4.3 Consolidated Interest Rate Fixing Advice to the Borrower

When you consolidate multiple loans into a singe drawdown and apply the interest rate on the new drawdown, you can generate the Consolidated Interest Rate Fixing Advice to be sent to the borrower.

The following details of the new consolidated drawdown and the original drawdowns are included in the advice:

Details of New Consolidated Advance

 

• The reference number of the tranche to which the new drawdown loan is linked
• The date on which the drawdown loan contract is to be renewed
• The maturity date of the drawdown loan
• The drawdown amount
• The period for Interest calculation
• If you have applied a floating interest rate on the drawdown, the Spread (LIBOR basis) that is applied over the floating interest rate.
• The margin applied onthe interest rate
• The interest/lending rate applied on the drawdown

Details of Original Advances

 

• The amount of the main syndicate contract under which the original drawdowns were initiated.
• The drawdown date
• The period for Interest calculation
• The maturity date of the drawdown loan
• The currency of the tranche to which the drawdowns are linked

17.4.4 Split Renewal Interest Rate Fixing Advice to the Borrower

Likewise, when you split a single loan into multiple loans, you need to fix the interest rates to be applied on each drawdown. You can then send a Split Renewal Interest Rate Fixing Advice to the borrower.

The following details are included in this advice:

Details of Original Advance

 

• The reference number of the tranche to which the new drawdown loan is linked
• The drawdown date
• The period for Interest calculation
• The maturity date of the drawdown loan
• The amount of the main syndicate contract
• The currency of the tranche to which the drawdown is linked
• The Base currency equivalent of the drawdown amount

Details of New Advances

 

• The amount of the main syndicate contract under which the new drawdowns are initiated.
• The currency of the tranche to which the drawdowns are linked
• The date on which the drawdown loan contract is to be renewed
• The maturity date of the drawdown loan
• The amount for each new drawdown
• The period for Interest calculation
• If you have applied a floating interest rate on the drawdown, the Spread (LIBOR basis) that is applied over the floating interest rate.
• The margin applied on the interest rate
• The interest/lending rate applied on the drawdown

17.4.5 Interest Rate Fixing Advice to Participant for New Drawdown

Just as you send an ‘Interest Rate Fixing’ Advice to the borrowing customer, you may send an Interest Rate Fixing Advice to the participant bank as well, at the time of initiating a new drawdown for the borrowing customer.

All the fields (excluding Standing Instructions) available in the advice sent to the borrower are available in the advice to the participant bank also. In addition, the following additional fields are included:

• The name of the borrowing customer
• The Participant’s contribution in the currency of the tranche (Base Currency) under which the drawdown contract is linked.
• The Participant’s contribution in the drawdown currency (Optional Currency).

Note

If you have chosen the SWIFT media for sending the advice, then instead of the above mail format, the corresponding SWIFT message, MT644 is generated.

17.4.6 Interest Rate Fixing Advice to Participant for Renewed Drawdown

You can send this advice to the participant bank when you renew a drawdown for a borrowing customer.

• All fields available for the ‘Interest Rate Fixing Advice’ that is sent to the participant for a new drawdown, is available in this advice also.
• The date on which the drawdown loan contract is due for renewal is also specified in the advice.

In addition, an advice is generated on the rollover date. This gets precedence over the advice generated on the day the drawdown is due for a renewal.

Note

If you have chosen the SWIFT media for sending the advice, then instead of the above mail format, the corresponding SWIFT message, MT644 is generated.

17.4.7 Consolidated Interest Rate Fixing Advice to the Participant Bank

When you fix the interest rate on the new consolidated drawdown, you can send the Consolidated Interest Rate Fixing Advice to the participant bank just as you would send to the borrowing customer.

All the fields of the Consolidated Interest Rate Fixing Advice sent to the borrower are available in this advice. In addition, the following fields are included:

Details of New Consolidated Advance

 

• The name of the borrowed
• The amount contributed by the participant, expressed in the Base currency

Details of Original Advances

 

• The original amounts contributed by each participant, in the Base currency
• The original amounts contributed by each participant, in the Optional currency.

Note

If you have chosen the SWIFT media for sending the advice, then instead of the above mail format, the corresponding SWIFT message, MT644 is generated.

17.4.8 Split Renewal Interest Rate Fixing Advice to the Participant Bank

When you fix the interest rate for the split drawdowns, you can send the Split Renewal Interest Rate Fixing Advice to the participant bank just as you would send to the borrowing customer.

All the fields of Split Renewal Interest Rate Fixing Advice that is sent to the borrower are included in this advice. The following additional fields are also available:

Details of Original Advance

 

• The name of the borrower
• The participant’s contribution for the original loan. This is the Base currency equivalent of the drawdown amount.
• The participant’s contribution for the original loan, expressed in the drawdown currency (Optional Ccy)

Details of New Advances

 

• The participant’s contribution for each of the new loans, in the base currency.
• The participant’s contribution for each of the new loans, defined in the currency of the drawdown.
• The maturity date for each new drawdown

Note

• If you have chosen the SWIFT media for sending the advice, then instead of the above mail format, the corresponding SWIFT message, MT644 is generated.
• The Message Type for the Borrower Interest Rate Fixing Advice is BORR_IRFX_ADV and that for the Participant Interest Rate Fixing Advice is PART_IRFX_ADV.

 

17.5 A note on Interest Rate Revision Advices

Oracle FLEXCUBE allows an interest rate revision beyond the last interest liquidation date, recalculates the interest for the paid schedules and tracks the payable and the receivable for the difference in the interest amounts.

• Receivables and payables are captured by Oracle FLEXCUBE for both the borrower and the participants (through the ‘Payable-Receivable Details’ screen). Receivables and payables can arise out of amount due changes resulting from either of the following two scenarios:
• Back value dated rate revision beyond the last liquidation/schedule date
• Back value dated Margin changes due to the new back valued Drawdowns beyond the last liquidation/schedule date.
• The payable and receivables are tracked for each of the associated events (REVN for interest rate revision and MRFX for the margin changes).

Advices are sent to the participants and the borrower for rate revision and margin revision events giving details for amount due, amount received and the receivable or the payable amount.

17.6 Assignment Advice

Assignment advices are generated by Oracle FLEXCUBE when a participant transfer (assignment) happens. The fields/tags that are available on the advice are the following:

• Facility
• Borrower code
• Borrower Name
• Tranche
• DD
• Currency
• Value Date of the transfer assignment
• Transfer From – Party details (code & name)
• Transfer Amount

The transferee advice (for each transferee) has the following fields/ tags:

• Transfer To – Party details (code & name)
• Amount

The associated event is the PRAM (Participant Amendment).

The advices are sent to both the participant – transfer from – party (the transferor) and the participant – transfer to – party (the transferee). The transferee details are present in the advice sent to the transferor as well. For a transferee, each transferee advice has only his/her share of the transferred amount in the advice apart from the transferor details.

17.7 Interest Rate Fixing Notice

17.7.1 Interest Rate Fixing Notice to Participant

Just as you send an ‘Interest Rate Fixing’ Advice to the borrowing customer, you can send ‘Interest Rate Fixing’ notice to the participant at the time of initiating a new drawdown for the borrowing customer.

All the fields (excluding standing instructions fields) available for the above advice are included in this notice also.

In addition, the following field is also included:

• The name of the Borrowing customer

17.7.2 Interest Rate Fixing Notice to Borrower for New Drawdown

You can send the ‘Interest Rate Fixing Notice’ to the Borrower customer when a new drawdown is initiated for the customer.

The following details are included in this notice:

• The reference number of the tranche to which the new drawdown loan is linked.
• The date on which the drawdown is booked in the system.
• The period for interest calculation
• The Maturity Date of the drawdown
• The tranche currency (Base Ccy) and amount
• The drawdown currency (Optional Ccy) and amount
• The Interest fixing date/time applied on the drawdown

17.7.3 Interest Rate Fixing Notice to Borrower for Renewal Drawdown

This notice is generated to inform the borrowing customer when a drawdown loan is to undergo a renewal. All the fields available in the ‘Interest Rate Fixing Notice to the Borrower’ are also available in this notice.

In addition, the notice is generated on the rollover date. This gets precedence over the advice generated on the day the drawdown is due for a renewal.

17.7.4 Consolidated Interest Rate Fixing Notice to Borrower for Renewal Draw­down

This notice is generated to give the borrowing customer a consolidated view of the interest rate fixing applied for a drawdown loan due for renewal.

The consolidated interest rate fixing notice includes the following details:

Details of New Consolidated Advance

• The reference number of the tranche to which the new drawdown loan is linked.
• The date on which the drawdown loan contract is due for renewal.
• The period for interest calculation
• The Maturity Date of the drawdown
• The tranche currency (Base Ccy) and amount
• The drawdown currency (Optional Ccy) and amount
• The Interest fixing date/time applied on the drawdown

Details of Original Advances

• The tranche currency (Base Ccy) and amount
• The drawdown currency (Optional Ccy) and amount
• The date on which the drawdown is booked in the system.
• The period for interest calculation
• The Maturity Date of the drawdown

17.7.5 Interest Rate Fixing Notice to Borrower for Split Renewal

This notice is generated to inform the borrowing customer when a drawdown loan is due for a split renewal.

The interest rate fixing notice includes the following details:

Details of Original Advance

• The reference number of the tranche to which the new drawdown loan is linked.
• The date on which the drawdown loan contract is due for renewal.
• The period for interest calculation
• The Maturity Date of the drawdown
• The tranche currency (Base Ccy) and amount
• The drawdown currency (Optional Ccy) and amount

Details of New Advances

• The tranche currency (Base Ccy) and amount
• The drawdown currency (Optional Ccy) and amount
• The date on which the drawdown is to be Renewed
• The period for interest calculation
• The Maturity Date of the drawdown
• The Interest fixing date/time applied on the drawdown

17.7.6 Interest Rate Fixing Notice to the Participant Bank

It includes all the fields of 6.1 and the following additional fields

• The name of the Borrower customer
• The amount contributed by the participant bank and the base currency in which it is expressed.
• The participant’s amount in the optional currency
• The Settlement Instructions:
  • The name of the beneficiary’s bank name, account number and address

Note

In case you have chosen the media as SWIFT, an MT643 is generated instead of the above mail format.

17.7.7 Interest Rate Fixing Notice to the Participant for Renewal Drawdown

This notice is generated to inform the participant customer when an interest rate fixing is done for a drawdown loan. All the fields available in the ‘Interest Rate Fixing Notice to the Borrower’ are available in this notice. In addition, the notice states the date on which the drawdown loan contract is due for a renewal.

Note

In case you have chosen the media as SWIFT, an MT643 is generated instead of the above mail format.

In addition, a notice is generated on the renewal date. This gets precedence over the advice generated on the day the drawdown is due for a renewal.

17.7.8 Interest Rate Fixing Notice to the Participant for Consolidated Renewal Drawdown

This notice is generated to give the participant customer a consolidated view of the interest rate fixing done for a drawdown loan. All the fields available in the ‘Interest Rate Fixing Notice to the Borrower’ are available in this notice. In addition, the following fields are included:

• Details of New Consolidated Advance
• The name of the borrowing customer
• The amount contributed by the participant bank and the base currency in which it is expressed.
• The participant’s amount in the optional currency
• Details of Original Advances
• The Participant’s existing amount (Base Currency equivalent)
• The Participant’s existing amount (Optional currency amount)

Note

In case you have chosen the media as SWIFT, an MT643 is generated instead of the above mail format.

17.7.9 Interest Rate Fixing Notice to the Participant

For Split Renewal Drawdown – Consolidated for All Splits

This notice is generated to give the borrowing customer a consolidated view of when a drawdown loan is due for a split renewal. All the fields available in the ‘Interest Rate Fixing Notice to the Borrower’ are available in this notice. In addition, the following fields are included:

Details of Original Advance

• The name of the borrowing customer
• The Participant’s existing amount (Base Currency equivalent)
• The Participant’s existing amount (Optional currency amount)

Details of New advances – Consolidated list

• The New Base Currency Participation
• The New Optional Currency Participation

Note

In case you have chosen the media as SWIFT, an MT643 is generated instead of the above mail format.

17.7.10 Interest Rate Fixing Notice to the Participant

For Split Renewal Drawdown – Only Individual Split Details

Similarly, you can send a consolidate ‘Interest Rate Fixing’ notice to the participant customer when you do a split renew of a drawdown loan according to their individual splits. All the details available for the above notice is included in this advice also.

All the fields available in the ‘Interest Rate Fixing Notice to the Borrower’ are available in this notice. In addition, the following fields are included:

Details of Original Advance

• The name of the borrowing customer
• The Participant’s existing amount (Base Currency equivalent)
• The Participant’s existing amount (Optional currency amount)
• Details of New Advance – Only Individual Contract Details
• The New Base Currency Participation
• The New Optional Currency Participation

Note

• In case you have chosen the media as SWIFT, an MT643 is generated instead of the above mail format.
• The Message Type for Borrower Interest Rate Fixing Notice is BORR_INOT_NOTC and that for Participant Interest Rate Fixing Notice is PART_INOT_NOTC.

 

17.8 Drawdown Notice to Participant on Account of Ex­change Rate Fluctuation

In case there is an exchange rate fluctuation, the participant of the account is sent a drawdown notice.

• The drawdown notice to the participant contains the following information:
• The CIF id of the Borrower specified in the contract
• The Additional Amount in the Drawdown Currency
• The Value date of the drawdown
• The Base Currency of the contract
• The Drawdown Currency
• The Settlement Instructions
  • The Beneficiary bank name
  • The Account number and address

• The Interest Rate Notice (rate fixing date and time)

In case you have chosen the media as SWIFT, an MT643 is generated instead of the above mail format.

Note

The message type for the MT 643 SWIFT message is PART_ERAM_NOTC.

17.8.1 Amendment to Earlier F/X Notice Sent to Participant

The Draw down Notice sent to the participant in case of fluctuation of exchange rate can be amended and resent to the participant of the account with the following information:

• The Optional Currency
• The Base Currency
• The new exchange rate
• The New amount (Base currency)
• The Old amount (Base currency)
• The Original F/X notice date

In case you have chosen the media as SWIFT, an MT644 is generated instead of the above mail format.

Note

The message type for the MT 644 SWIFT message is EXRT_AMEND_ADV.

17.9 Amendment Fees for the Borrower

This notice is generated to give the borrowing customer a message for the amendment fee with the following information.

• Due Date
• Remittance Currency
• Remittance Amount

17.9.0.1 Wiring Instructions to Remit the Payment

• Bank
• Bank Code
• Account
• Account Name
• Ref
• Attn
• Ref Cusip

17.10 Amendment Fees for the Investor

This notice is generated to give the investor a message for the amendment fee with the following information.

• Credit Date (Schedule payment date)
• Credit Amount (Amendment fees that are to be liquidated)
• Credit CCY
• Basis points
• Withholding Tax

17.10.0.1 Wiring Instructions to Credit the Payment

• Bank Name
• BIC Code
• Account
• Account Name
• FFC Account
• FFC Account Name

17.11 Borrower Fax and Payment Message for SLC Fees

This notice is generated to give the borrowing customer a message with regard to the LC Synthetic Libor Interest due with the following information.

• Amount Funded
• LIBOR Base
• LIBOR Spread
• All in Rate
• Day Basis
• From Date
• To Date
• Number of Days
• Interest Due

17.11.1 Borrower Fax Messages

For Delayed Funding and Compensatory Interest Component Computation Details

The following FAX messages address the delayed funding and display the corresponding Compensatory Interest component computation details

• Borrower FAX as part BPMT for DD booking for Prime, Libor and Fed funds
• Borrower Normal Rollover FAX for full funding, Late funding and Non funding
• Borrower Normal Rollover with the Decrease /Increase FAX for full funding, Late funding and Non funding
• Prime To LIBOR Reprice FAX
• Merge Reprice FAX

The following FAX template facilitates the Recall Notice to borrower through Free format messages

Borrower Normal Rollover FAX for full funding, Late funding and Non funding