5. Account Creation

A contract is customer-specific. When you grant a lease to a customer, you enter into a contract.

Every time a lease is issued to a customer, it is not necessary to specify its general attributes, since a lease acquires the attributes defined, for the product it involves. You can change the general attributes for a lease at the time of processing a lease.

In addition to the general attributes, which a lease inherits from a product, there are the specific attributes, which have to be defined for it. They are:

This chapter contains the following sections:

5.1 Lease Account Details

This section contains the following topics:

5.1.1 Maintaining Lease Account Details

You can maintain the leasing account details using the ‘Leasing Account Details’ screen. You can invoke this screen by typing ‘LEDACCDT’ in the field at the top right corner of the Application tool bar and clicking the adjoining arrow button.

You can specify the following generic details in the Account Details screen:

Branch

The system displays the Branch Code of the branch into which the user has logged in, for which the UDE values are maintained.

Account Number

Based on the leasing parameters that setup at the branch level, the account number would be either auto generated or would have to be captured in this field.

Product Code

Specify the product code for the lease account from the option list. Double click on a Product Code to select a particular code. The product codes are maintained in the Product Definition screen.

Click ‘P’ button to populate the Product Category, Value Date, Maturity Date based on the Product Code selected, the main screen will display all these values.

Alt Acc No

Specify the alternate account number in this field. It can be an account number in the existing system from which the account has migrated to Oracle FLEXCUBE.

User Defined Status

After you enter the account number, the system displays the status of the account in this field. This is based on the products status maintenance rules.

User Reference Number

A 16-digit User Reference Number is autogenerated and displayed here if the ‘Auto Generate User Ref No’ option is checked in the Branch Parameters. The format of the user reference number is BranchCode + ProductCode + Sequence number. You are allowed to modify the auto-generated User Ref No.

If the ‘Auto Generate User Ref No’ in Branch Parameters is not checked then the User Ref No will be blank by default and you have to specify it manually. Validations are done by the system not to save the account if an unsuppressed payment message is present which has the User Ref No as blank.

5.1.2 Main Tab

You can capture the main details of the leasing account in this tab.

The following details regarding the leasing account are captured here:

Account Details

Amount Financed

Specify the total lease amount. On saving the transaction after entering all the required details in the system, the system validates the value of the transaction amount against the following:

If the transaction currency and the limit currency are different, then the system converts the amount financed to limit currency and checks if the same is in excess of the product transaction limit and user input limit. If this holds true, the system indicates the same with below override/error messages:

Currency

Specify the currency of the lease.

Customer No

Specify the customer number.

Customer Name

The system displays the customer name.

Down Payment

Specify the total down payment for a lease account.

Note

The down payment should always be less then the amount financed.

Residual Value Basis

The system displays the residual value basis from the product code. The value computed by the system can be altered while account booking.

Residual Value

Specify the percentage of asset, percentage of lease or flat amount based on the residual value basis defined at the product.

Residual Amount

The system displays the residual amount after computing the percentage of asset or lease amount. In case of flat amount, residual value is copied to residual amount.

Note

Residual Amount should be less than the lease amount minus the down Payment.

Subsidy Customer Name

Specify the ID of the party who provides the subsidy for leasing.

Subsidy Customer Name

Specify the name of party who provides the subsidy for leasing. Based on this the system displays the settlement details for the subsidy components.

Value Date

Specify the value date for the lease account.

Maturity Date

Specify the maturity date for the lease account.

Securitization status

The system displays the securitization status. The status can be anyone of the following:

Lease Type

The system displays the type of lease.

Payment Mode

The system displays the mode of payment.

Account Statistics

The system displays the various balances for every component.

Supplier ID

Select the supplier or vendor ID from the option list.

Supplier Name

The system displays the name of the supplier. This name is based on the supplier ID selected.

Asset Reference Number

Specify the asset reference number. This field is enabled only if the ‘With Asset’ field is selected at the product level.

Asset Details

Insurance schedules are based on Asset value while contract booking, and subsequently change is based on written down value. You can capture the asset details by clicking ‘Asset Values’ button in ‘Account Details’ tab of the ‘Account Details’ screen.

5.1.2.1 Valuations Tab

You can capture valuation details of the asset in this tab.

Here, you can specify the following details related to your assets like vehicle, home, etc.

Assets

Select the type of asset from the drop-down list. The following values are provided for selection:

Valuation Dt

Specify the valuation date for the selected asset, or select the date by clicking the ‘Calendar’ button.

Source

Specify the source associated with the asset selected.

Supplement

Specify the supplement of the valuation source used for the valuation.

Edition

Specify edition of the valuation source used for the valuation.

Wholesale

Specify the wholesale rate associated with the asset selected.

Retail

Specify the retail rate associated with the asset selected.

Usage

Specify usage level at the time of the valuation.

Usage Value +

Specify the initial usage value.

Total

Specify the total usage of the asset.

5.1.2.2 Vehicle Tab

You can capture details regarding the asset of type ‘Vehicle’ in this tab.

You can specify the following common details associated with asset of type vehicle:

Class

Select the class associated with the asset selected, from the option list. The following options are provided:

Status

Select the status of the asset selected, from the option list. The following options are provided:

Type

Specify the type of the selected asset.

Sub Type

Specify the subtype associated with the asset, if any.

Year

Specify the year of association with the selected asset.

Make

Specify the make of the selected asset. For vehicle, you can specify the manufacturing company name and for home you can specify the name of the builder or developer.

Model

Specify the model of the selected asset.

Address

Specify the address associated with the asset.

You need to specify the following details additional related to vehicle type of asset:

Body

Specify the body number associated with the vehicle.

ID Number

Specify the unique identification number associated with the vehicle.

Reg. Number

Specify the registration number of the vehicle.

5.1.2.3 Home Tab

You can capture details regarding the asset of type Home in this tab.

You can specify the following additional details for home type of asset:

Occupancy

Specify the number of people occupying the house.

Width

Specify the width associated with the selected asset.

Length

Specify the length associated with the selected asset.

PO #

Specify the post office number of the location of the property.

GEO

Specify the property GEO code (Geospatial Entity Object Code) for the asset.

BNA

Specify the census tract/BNA code (Block Numbering Area) for the asset.

MSA

Specify the metropolitan statistical area (MSA) code for the asset.

Click ‘OK’ button to save the details.

Financial Details

You can capture the income or liability details of the customer in the ‘Financials’ screen. To invoke this screen, click on ‘Financials’ button in ‘Account Details’ tab of the Account Details screen.

5.1.2.4 Financials Tab

You can specify the following details related to the customer’s income here:

The following details are captured here:

Type

Select the type of the income from the option list provided.

Source

Specify the source of the income.

Currency

Select the currency associated with the income, from the option list provided.

Amount

Specify the amount associated with the income.

Comment

Specify any remarks or comments for the income.

5.1.2.5 Liability Tab

Here you can specify the following details related to the customer’s liability:

The following details are captured here:

Type

Select the type of the liability from the option list provided.

Account Type

Specify the account type associated with the liability.

Currency

Select the currency associated with the liability, from the option list provided.

Amount

Specify the amount associated with the liability.

Frequency

Select the frequency at which payments are made towards the liability from the drop-down list. Following are the options available in the drop-down list:

Balance

Specify the current amount outstanding.

Comment

Specify any remarks or comments to be associated with the liability.

5.1.2.6 Other Income Tab

You can also capture the details related to other sources of income, if exists.

The following details are captured here:

Seq No

Specify the sequence number here.

Type

Specify the type of income here. You can also select the income type from the adjoining option list.

Currency

Specify the currency of the income here. You can also select the currency from the adjoining option list.

Amount

Specify the amount of income here.

Frequency

Select the frequency of the income here from the drop-down list. Following are the options available in the drop-down list:

Click ‘OK’ button to save the details.

5.1.3 Account Details Tab

You can capture the account details of the leasing account in this tab.

The following details regarding the leasing account are captured here:

Amount

The system displays the amount details.

Maturity Date

The system displays the date of maturity.

Value Date

The system displays the value date.

Book Date

The system displays the booking date.

Down Payment

The system displays the down payment details.

Currency

The system displays the currency details.

Asset Reference No

The system displays the asset reference number.

Subsidized Residual Amount

Specify the subsidized residual amount. However, this can be changed during VAMI.

Note

If the Subsidy Residual Amount check box is checked in the product level and if the sub­sidized residual amount is not specified, then the system displays an override message.

Primary Applicant

You can maintain the following details of the Primary applicants:

Customer ID

Specify the customer ID.

Customer Name

Specify the customer name.

Other Applicants

The details of the liability parties to the account are maintained in this field. You can specify the following details of the Co-applicants:

Customer ID

Select the customer ID from the option list.

Customer Name

The system displays the name of the customer.

Responsibility

Select the details of the co-applicants and their responsibility as a Co-signer or as a guarantor from the option list.

Liabilities%

Specify the liability of the co-applicant. You can also specify the percentage of interest split among different co-applicants.

Liability Amount

The system calculates and displays the upper limit of the liability in terms of the amount in this field. You may override the computed value.

Effective Date

Specify the effective date.

Holiday Periods

You can specify the following detail here:

Period

Select the period for which repayment holiday is to be given to the customer. The holiday periods maintained in the system are displayed in the adjoining option list

Effective Date

You can specify the following detail here:

Effective Date

The effective date is used to pick the UDE value. The system displays this date from the General UDE maintenance screen.

UDE Values

The system displays the UDE values from that of the UDE values maintenance screen. These values can be overridden by providing account level UDE values. However, the value can be maintained only for those UDEs defined at the product level. No New UDEs can be introduced at the account level.

You can specify the following details for the UDE values:

UDE ID

Specify the UDE ID from the option list.

UDE Values

Specify the Actual Value for the UDE based on the effective date in this field. The value specified here should fall within the minimum and maximum limits maintained for the UDE linked to the underlying product.

Rate Code

Select the code for the Floating Rates if any and the spread on it applicable in this field by clicking the option list.

Code Usage

Select the Code usage which can be periodic or automatic.

Resolved Value

This denotes the final value of a UDE. Resolved value = Rate code value taken from Floating Rate Maintenance + the spread [UDE Value]

5.1.4 Default Tab

The defaults are maintained by the bank. Depending upon the combination of various preferences, the bank can have various account preferences. The defaults primarily are based on product definition and can be overridden.

Liquidation

You can maintain the following liquidation preferences:

Liquidation Mode

The system defaults the mode of liquidation from the product level. However you can modify the same to indicate the mode of liquidation that you are maintaining. You can select one of the following options:

Auto Liquidate Reversed Payment

If auto liquidation has been reversed in an account, it will be retried depending upon the status of this field. If this option is selected, then the auto liquidation is retried.

Partial Liquidation

If you select this option, system will perform partial auto liquidation.

Retries for Auto liquidation

When auto liquidation option is chosen and funds are not available, the number of times the system can retry auto liquidation is determined by this field.

If blank, the number of retries is infinite.

Retries Advice Days

Number of retries for an advice is defaulted here from the product maintenance level; however, you can modify if needed. The value should be less than the value maintained for ‘Retries Auto Liquidation Days’.

Track Receivable

If Track receivable option is checked for an account, it tracks the amount to be liquidated as a receivable if funds are not available. So upon any subsequent credit, the receivables are blocked and allocated to the pending liquidation.

Auto Liquidation

Select this option to indicate that the Track receivable option is for Auto Liquidations.

Note

This is defaulted from the product level.

On schedule liquidation if there are insufficient funds in the settlement account to satisfy the liquidation and if both the product and the account are marked for receivable tracking then system initiates tracking of receivable.

If the account is marked for Partial liquidation, then liquidation happens to the extent of available funds, and the remaining amount is tracked.

If the account is not marked for partial liquidation, and the amount available in the settlement account is less than the due amount, then system won’t do any liquidation and starts tracking the full due amount.

Whenever there is a credit to an account, the tracking process checks if the account has any receivable against it and if it does then the relevant amount is blocked as a receivable and the corresponding amount is marked to be used for settlement during subsequent ALIQ for the account. This process happens till the amount needed for liquidation is fully available.

The decision of allocating this credit will be based on the preference order of products that has been specified at an account class level. On the following EOD/BOD, batch liquidation tries to liquidate the schedule. The amount receivable is made available for the liquidation, and liquidation happens to the extent of receivable amount.

Manual Liquidation

Select this option to indicate that the Track receivable option is for Manual Liquidations.

Note

By default, the system selects this option.

Liquidate Back Value Schedules

On checking this field, the system liquidates the back value schedule in case of back value account.

Intermediary Details

You can capture the Intermediary Details at the account level to keep track of the accounts created through Intermediaries.

Intermediary Initiated

Check this box to indicate that the lease has been initiated by an intermediary.

Intermediary Code

If you have checked the box 'Intermediary Initiated', you need to specify the code of the intermediary who has initiated the lease. The adjoining option list displays all valid intermediary codes maintained in the system. You can select the appropriate one.

Note

Both the fields are disabled after the first authorization of the lease. They field cannot be modified during value-dated amendment and rollover operation.

Note that adjustment of commission and charge computed for the intermediary (in the past cycle) should be done manually in case of a reversal of any transaction done by the intermediary post the computation.

Loan Settlement Notice

The system displays the following loan settlement details based on the values specified at ‘Value Dated Amendments’ level:

5.1.5 Checklist Tab

The Check lists are maintained in the ‘Check List Maintenance’ screen and are linked to different events of the contract. The checklist maintained for the BOOK event is available in the Checklist tab at the time of account creation.

Check List

The following details are captured here:

Description

The system displays the description of the check list maintained for the BOOK event.

Verified

Check this box to indicate that the check list item has been verified

Remarks

Specify any additional remarks about the check list or the account in this free format text field

5.1.6 Fields Tab

The User Defined Fields are defined at the Product level. These fields are available in the Fields tab at the time of account creation.

The following details are displayed/ captured here:

UDF Description

The system displays all the UDF descriptions defined at the Product level.

UDF Value

Specify the UDF value in this field. This is applicable only if the user input or list of values is defined at the time of creation of the UDF.

5.1.7 Components Tab

Clicking against the ‘Components’ tab in the ‘Account Details’ screen invokes the following screen:

You can specify the following details for the components:

Description

After you specify the component Name, the system displays the description of the component.

Component Currency

The system displays the currency associated with the component. The value is defined at Product level.

Special Interest Amount

Specify the amount for the special interest.

Settlement Ccy

Select the settlement currency for the option list. The settlement currency is maintained as a default for both Credits and Debits.

Dr. Payment Mode

Select the debit payment mode from the drop-down list. Following are the options available in the drop-down list:

Liquidation Mode

The system defaults the mode of liquidation from the product level. However you can modify the same to indicate the mode of liquidation of the component from the drop-down list. The following options are available for selection:

Note

This is applicable only if ‘Liquidation mode’ is selected as ‘Component’ at the account pref­erence level.

Main component

The system selects the component of the lease designated as main component in the product level in this field.

Verify Fund

Select this option to indicate whether the system should verify the availability of sufficient funds in the customer account before doing auto liquidation of the component.

Capitalized

Select this option if the scheduled amounts are to be capitalized.

Waive

Select this option to waive the component for the account.

Penal basis Comp options

The system displays the penal basis for calculating penalty component.

Service Branch

Specify the branch that services the customer account.

Service Account

Specify the account in the service branch.

Note

All modes except CASA needs service account. Adjustments etc. are settled through this account.

Component Type

Specify the nature of the component. This is also known as the ‘Reporting Type’. It defines the manner in which the component should be classified for reporting/ accounting purposes. A component can be of one of the following types:

Cr. Payment Mode

Select the credit payment mode from the drop-down list. Following are the options available in the drop-down list:

Special Interest

Select this option to denote if the component is a special interest type. This implies that the computed value of the component can be overridden with the entered value.

IRR Applicable

Check this option to indicate that the component is to be considered for IRR calculation for the account.

This field will not be available for input if ‘Accrual Required’ and ‘IRR Applicable’ are left unchecked at the product level.

Schedule

The schedules can be for two types, namely,

5.1.7.1 Schedules for Financial Lease

For Advance payment type and for complete disbursement during initiation, the payment schedules for principal and interest are populated with start date as value date, due date as schedule start date .The first EMI schedule will be liquidated during the initiation. Accounting entries are passed with DSBR event.

For Arrears payment type and for complete disbursement during initiation, the payment schedules for principal and interest are populated with start date as value date and due date as schedule end date. Schedules will be liquidated on due date.

For multiple disbursements (Lease advances), the EMI schedules will not be populated in this case. Pre- EMI interest is collected by defining interest schedules. This is applicable for both modes of payment.

Note

EMI schedules are populated once the total amount is disbursed (On SCHR event)

If a residual amount exists for the lease account, then the system will consider the residual amount as the last schedule of the contract with the due date as the maximum date supported (global maximum date) with the components as PRINCIPAL and INTEREST. The residual amount in case of payment in advance includes the interest.

Payment schedules are populated based on the frequency and frequency units maintained at product level; however this can be changed at account level.

5.1.7.2 Schedules for Operational Lease

For an operational lease, disbursement schedules are restricted. On value date of the lease account, along with INIT, DSBR will fire for down payment and first EMI will be liquidated if the payment mode is Advance. If the payment mode is Arrears, the schedule due date will be the schedule end date.

If a residual amount exists for the lease contract, then that would be the last schedule of the contract with the due date as the maximum date supported (global maximum date) and the component INTEREST. The residual amount in case of payment in advance includes the interest.

Note

The frequency and frequency units of multiple schedules should be the same.

Click ‘Edit’ button to make any change to the scheduling. The following details are captured here:

Type

Select the type of schedule from the option list. Schedule can be a payment, a disbursement or a rate revision schedule.

Schedule Flag

Select the Schedule flag from the option list.

Formula

Specify the formula used to compute the component for that schedule.

First Due Date

Specify the first due date for the schedule for the component. The first due date can be defined based on the value date for the lease or a calendar date.

Number

Specify the number of times the schedule is repeated for a chosen frequency for the schedule. If the Frequency is Monthly and Number is 1, it implies once a month.

Frequency

Specify the number of times the schedule will repeat for a Unit. If it is 2 and the Unit is Monthly, it implies twice a month.

Unit

Specify the installment unit for the component for the schedule.

Due Dates On

Specify to schedule an installment on a particular date of the month.

End Date

Specify the end date for the component for the schedule. This is computed from the start date, frequency, unit and number for the schedule.

Amount

The system displays the amount of payment done.

EMI Amount

The system displays the EMI that should be repaid in this schedule.

Note

EMI is computed based on the formula maintained. User defined EMI is supported, how­ever the EMI and the frequency of schedules must be consistent (same) for the lease ac­count.

Schedule Details

You can view the schedule details by clicking ‘Explode’ button. The system displays the following details:

5.1.7.3 Schedule- wise Split Settlement for Auto Disbursement

Oracle FLEXCUBE allows you to maintain split details for schedule-wise auto disbursement in a lease account, only if you have set the disbursement mode to ‘Auto’ in the Account Preferences tab of the Leasing Product screen (LEDPRMNT).

In the Leasing Account Details (LEDACCDT) screen, click ‘Product Default’ button after entering product code, customer ID, currency and the amount, to default the product level component and schedule details of the selected product in the component tab of the Account Details screen.

The schedule definition section in the component tab is disabled both on product defaulting and enriching. However you can modify the disbursal amount and the number of schedules for the disbursal by clicking ‘Edit Schedules’ button.

You can view the disbursement schedule and maintain the schedule- wise lease split details for auto disbursement in the Disbursal screen. To do this, first select the principal component in the component tab and then click on ‘Disbursals’ button. The screen is as shown below:

The system displays the list of Schedules for the disbursements and their corresponding Disbursement amounts.

Schedule Due Date

The system displays the due date of the schedule.

Total Disbursement Amt

The system displays the total disbursement amount for the specified lease account.

Amount to Disburse

The system displays the amount to be disbursed.

Already Disbursed Amt

The system displays the amount which has been disbursed.

Note

Oracle FLEXCUBE allows auto disbursal only for the principal component.

Split Details

You can maintain the following split details:

Percentage

Specify the split percentage of the disbursement amount.

Amount

Specify the split amount for the schedule. Split amount is calculated based on the percentage and the disbursal amount.

If you specify only the amount and not the percentage, the system calculates the percentage of the amount to be disbursed and displays it in the percentage field during save.

Note

Settlement Account Branch

Specify the branch of the customer account. The adjoining option list displays the list of valid open branches maintained in the system. You can choose the appropriate one.

Settlement Account Number

Specify the settlement account number. The adjoining option list displays the valid accounts maintained for the given branch. You can choose the appropriate one.

The system displays the following split details:

Split sequence number

The sequence number for each split is auto generated by the system on save.

Payment Mode

The system displays ‘ACC’ as the payment mode for disbursal.

Settlement Account Currency

Once you choose the account number, the currency of the settlement account gets defaulted.

Customer

Once you choose the account number, the customer id gets defaulted.

It is mandatory to re-enter the split settlement details during VAMI, if there is a change in the disbursement schedule. For the disbursed schedules, the split settlement amendment would be ignored during VAMI.

During BOD, the system checks the lease split settlement details before taking the Credit Settlement details of the principal component. The credit settlement details of the principal component /Service account would be considered only in the absence of split settlement details for that particular schedule.

Revisions

To view the details of the Rate revision schedule, click ‘Revisions’ button. This lists the details of the revisions done on the Components.

Schedule Due Date

The system displays the due date of the schedule.

Applied Flag

The system displays if the revision was applied or not.

5.1.8 Charges Tab

You can calculate and apply charges on an account by specifying the basis on which we would like to apply charges. For example, we may want to apply charges on the basis of the debit turnover in an account. When we define a Charge product, we have to specify the Charge basis.

When we apply the charge product on an account or an account class, charges for the account will be calculated on this basis.

The following details are captured:

Description

Specify the description for the component.

Component Type

Select the type of component from the drop-down list. Following are the options available in the drop-down list:

Component Currency

The system displays the currency associated with the component. The component currency is defaulted from the Product level.

Settlement Currency

Select the settlement currency form the option list.

Dr Payment Mode

Select the debit payment mode from the drop-down list. Following are the options available in the drop-down list:

Dr Prod Ac

Specify the Product/ Account to be used for Debit payments.

Dr Acc Brn

Select the details of the branch where the Dr account resides from the option list.

Cr Payment Mode

Select the credit payment mode from the drop-down list. Following are the options available in the drop-down list:

Cr Prod Ac

Specify the details of the Product/ Account to be used for Credit payments.

Cr Acc Brn

Select the details of the branch where the Cr account resides from the option list.

Charge Appl Date

Specify the details of the date from which the charge is applicable.

Service Branch

Specify the branch that services the account.

Service Account

Specify the account in the service branch.

Due Date

Specify the date on which the charge was applied.

Amount Due

Specify the details of the amount due for repayment.

For each component, the following details are displayed:

Waiver Flag

Select this option to waive off the charges.

5.1.9 Linkages Tab

Clicking against the ‘Linkages’ tab in the ‘Account Details’ screen invokes the following screen:

Linkage Sequence Number

Specify the sequence number for the linkage.

Linkage Type

Select the type of linkage from the option list.

Linkage Branch

Select the branch of the linkage type

Customer ID

Specify the ID of the customer to be used for corresponding linkage type by clicking ‘C’ button.

Linkage Ref No

Specify the linkage reference number be used by clicking ‘L’ button.

Linkage Amount Click on ‘L’ button

Specify the linkage amount.

Linked Currency

Specify the linked currency.

Link%

Specify the linkage percentage.

Block Reference No

On save the system displays the block reference number.

Secured Portion

Specify the part of the principal that is backed by some asset.

On save:

5.1.10 Advices Tab

Clicking against the ‘Advices’ tab in the ‘Account Details’ screen invokes the following screen:

You can specify the following Advice details:

Message Type

The system displays all the advices for all the events for the account. The list will include all the advices that are defined at the product level

Suppress

This field allows the user to suppress the generation of the advice for a particular event. The options are Yes or No.

Priority

Click the option list to select the priority of generation. A list of values is displayed. Double click on a value to select it.

The options are High, Medium or Low

5.1.10.1 Suppress Advices across the Account

The generation of an advice across the life of the account can be suppressed.

Message Type

Select the type of advice, the generation of which can be suppressed across the account from the option list.

You can suppress the Payment Message defaulted in case you do not need a credit through swift message.

The message is automatically suppressed if the Principal Credit Settlement account is changed to a GL or if the receiver in ‘Swift Msg Details’ screen is not valid to receive the message i.e, if the Customer Type of the Receiver party is not a Bank.

Also, if the settlement mode for PRINCIPAL component is anything other than CASA, the swift message is automatically suppressed.

If the Transfer Type is chosen as blank i.e, neither Customer Transfer nor Bank Transfer, then PAYMENT_MESSAGE will become CREDIT_ADVICE by Swift (MT910) if the Receiver is a bank and the credit settlement account is a current account.

5.1.11 Credit Score Tab

Click ‘Credit Score’ tab to specify the details for calculating the credit score.

You need to specify the following details here:

Rule Name

The system displays the rule associated with the leasing product. However you can amend this field.

User Input Score

Specify the credit score associated with the customer.

Automated Score

The system displays the credit score calculated based on the rules maintained at the product level.

Agency Code

Specify the code of the external agency, to be approached for calculating the score.

External Credit Score

The system displays the score as calculated by the external agency.

Click ‘Score’ button to auto-generate the credit score for the customer. Click ‘External Score’ button to auto-generate the credit score for the Bureau.

5.1.12 Capturing Additional Details for Leasing

The buttons on the ‘Account Details’ screen enable you to invoke a number of functions vital to the processing of a leasing account.

For more details on the field explanation of each links refer section ‘Creating a Commitment Account’ in the ‘Account Creation’ chapter of Retail Lending user manual.

5.2 Saving and Authorising Mortgage/Commitment Ac­count

You have to save a contract after entering all the required details in the system. Click Save icon on the Toolbar to save an account. The system updates this as an unauthorised contract. To authorize an account, click ‘Authorize’ icon on the Application toolbar.

Note

You cannot authorise a contract from the ‘Leasing Account Details’ screen in the following cases:

5.3 Multilevel Authorization of a Contract

High value contracts may require multilevel of authorization. The levels of authorizations are defined in the ‘Product Transaction Limits’ screen. You can use the ‘Multilevel Authorization Detailed’ screen for authoring a contract n-1 times. However, final authorization can take place only in the contract screen.

For more details, refer the ‘Multilevel Authorization of Contract/Loan Account’ section in the ‘Procedures’ User Manual.

5.4 Viewing Lease Account Summary Details

You can view details of lease account in the ‘Account Summary’ screen. You can invoke this screen by typing ‘LESACCDT’ in the field at the top right corner of the Application tool bar and clicking the adjoining arrow button.

You can query on records based on any or all of the following criteria:

Click ‘Search’ button. The system identifies all records satisfying the specified criteria and displays the following details for each one of them:

5.5 Maintaining Events Dairy

An ‘event’ may be defined as any action starting from application entry to collections. This module captures the details of events applicable to the account.

You can maintain events dairy using ‘Events Dairy’ screen. You can invoke this screen by typing ‘LEDEVDRY’ in the field at the top right corner of the Application tool bar and clicking on the adjoining arrow button.

The screen has a separate processed and unprocessed events under two different headings.

5.5.1 Processed Events

The processed events are all the events which have already taken place. This displays the details like the sequence number of the event. The date on which the event was processed, the value date, the event code, the cutoff status, and a brief description of the event. The screen also displays the details of the events according to the events selected.

The following details are displayed:

Events

The processed events are all the events which have already taken place. The following event details are displayed:

Advices

The following advice details are displayed:

Entries

The following entry details are displayed:

5.5.2 Unprocessed Events

The Unprocessed event screen has all the details of the overdue and the Due events for the account.

The following details are displayed:

Overdue Events

An event which has crossed the due date becomes an overdue event. The number of days after the due date is used by the bank to calculate penalty for the event.

The following Overdue event details are displayed:

Components

Component name: Name of the component affected by the event.

Events due

The date on which the event is supposed to take place is the due date of the event. In case of repayments, the customer is informed by the bank regarding the due date.

The following details are displayed:

Components

Component name: Name of the component affected by the event.