7.3.1 Specifying Contract Details

The following details have to be captured in the Contract Details section of the screen:

Table 7-2 Contract Details

Fields	Description
Module	You have to select the module for which the fee rule details are being maintained. Choose LS to indicate that the fee rule details are specific to the Loans Syndication (LB) module. When you select the module, the description associated with it is displayed alongside.
Contract Ref No	You have to select the reference number of the syndication contract (facility/tranche/ drawdown) for which fee details have to be maintained. According to the contract you select, the following details are defaulted. Facility Ref No User Ref No Book Date Value Date You also have the option to select ALL here, to indicate that the rule details can be applied to all contracts processed in the LB Module. In this case, the following details are displayed: Facility Ref No: All Facility User Ref No: All Contracts
Counter Party	Selection in this screen depends on your specification in the Contract Ref No field. If you choose to maintain the fee details for a specific contract, the option list displays the names of the borrowers maintained for the selected contract and also the ALL CUSTOMERS option. If you select a specific customer, the components are applicable for only the selected customer. If you select ALL, the components are applicable to all counterparties of the selected contract. If you select ALL in the Contract Ref No, you can select only the ALL option here. This indicates that the fee details may be applied to all LB contracts and all counterparties of all contracts.
Fee Rule	You have to select the rule for which you want to maintain details. The fee rules you define through the Fee Rule – Definition screen are available in the option list provided. Select a rule from this list. When you select the rule, the following attributes that have been defined through the Fee Rule – Definition screen also defaults and you cannot change these: Component Type – Slab or Tier Fee Type – Rate or Amount
Amount/Percentage	You can define the Slab/Tier structure for the contract, based on which fee will be applicable either in terms of amount or percentage. Select the appropriate option.

Specifying Currency Details

Capture the following in the Currency Details section of the screen:

• CCY

  You have to select the currencies for which the rule details are applicable. If you are maintaining fee details for a specific contract, the contract currency is displayed here. You can select additional currencies, if required. The option list displays all the currencies allowed for your branch.

  When you select a currency code, the name of the currency is also be displayed.

  Click the Add Row button to select the next currency, if required.

Specifying Effective Dates

Capture the effective date in the Effective Details section of the screen:

• Effective Date

  For each currency you select, specify the date from which the fee amount that you specify for an amount Slab/Tier should become effective in the system. Fee is applied to contracts based on the Slab/Tier (specified for the contract currency) from this date onwards. Capture the date in DD-MMM-YYYY format.

  For each effective date captured for a currency, you have to maintain the Slab/Tier structure in the Fee Details section of the screen.

Maintaining the Slab/Tier Structure

You can maintain the Slab/Tier (as specified in the Fee Rule – Definition screen) in the Fee Details section of the screen. Specify the following for the structure:

• Amount From/Percent From

  Enter the amount slabs for which you want to specify a fee amount. You can maintain different Slab/Tier structures for each effective date captured for the fee. Depending on the Amount Type you select, whether Amount or Percent, the system displays zero as the Amount From or Percent From for the first Slab/Tier. For subsequent slabs, the Amount To or Percent To of the previous slab is displayed.

• Amount To /Percent To

  Capture the upper limit for the various Slabs/Tiers here. For type Amount, the maximum limit allowed is 999,999,999,999.99. The amount/percent specified here becomes the From Amount/Percent for the next Slab/Tier.

• Fee Amount/Rate

  Depending on the fee type you specify (whether Rate or Amount), capture the rate/amount applicable for each Slab/Tier. The rate specified here is applicable on the tranche amount which vary based on the percentage utilization.

Example

The following example illustrates the way in which Oracle Banking Corporate Lending applies the slab based fee rule details that you have maintained:

Refer to the Fee Rule Maintenance above. The following are the details entered:

• Currency - EURO
• Effective Date - 1^st January 2004
• Slab Details

  Amount From	Amount To	Fee Amount
  0	20,000,000	2,000
  20,000,000.01	40,000,000.00	4000
  40,000,000.01	60,000,000.00	6000
  60,000,000.01	80,000,000.00	8000
  80,000,000.01	100,000,000.00	10,000

Say, for example, the contract amount is 50,000,000 currency units. On the 1^st of January 2004, for the contract currency EURO, the fee amount applied is 6000 currency units.

You can enter the Effective Date for various other currencies and the fee amount that should be applied to the contract. If you enter a back value dated contract, the appropriate fee amount is taken.