5.2.3.1 Liquidation

Mode of liquidation of interest and fee components associated with the drawdown defaults from the drawdown product.

At the drawdown level, you can change the mode to any one of the following methods:

• Auto: The system automatically liquidates the schedule during EOD on the schedule due date of the component.
• Manual: In this mode, you have to liquidate the components manually through the Contract Payment screen. Fee components should be liquidated through the Fee Liquidation screen.

For more details on Contract Payment screen, refer the heading Processing Repayments Manually in the Processing Repayments chapter of this User Manual.

For more details on Fee Liquidation screen, refer the heading Liquidating Fee Components in the Processing Charges and Fees chapter of this User Manual.

• Component: If you choose this option as the mode of liquidation, the system automatically liquidates the components as per the order you maintain in the Component Liquidation Order screen at the product level. The order is maintained as part of specifying product preferences.
• Semi-Auto: If you choose this option, the message that should get generated during liquidation (Event: LIQD) will be kept on hold. The messages are available in the Outgoing Message Browser with status Hold. You need to use the Events for Forward Processing screen to release the messages.

For more details on this screen, refer the heading Forward processing of events in this chapter.