3.3.1.5 Specifying Holiday Preferences for All Schedules
Note:
You can change the holiday parameters for schedules through amendment at tranche/ drawdown contract online screens, if required. You can specify that:- Holidays must be ignored
- Checks must be made for schedule dates falling on holidays
Holiday Treatment Type
The Holiday Treatment Type is the parameter that defines how the system checks for schedule dates falling on holidays. You can specify one of the following options:- Include Branch Holiday
Select this check box to indicate that you want the system to check whether a schedule date falls on a local holiday defined for the branch.
The system checks the holiday table for your branch. If it encounters a contract entered in your branch, with a schedule date falling on a branch holiday, the holiday is handled according to the holiday-handling preferences you specify. - Use Facility Currency
If you choose this option, the system checks whether the schedule date falls on a holiday defined for the currency of the facility (borrower) contract, if this currency is different from the holiday currency you have indicated.
- Use Local Currency
If you choose this option, the system checks whether the schedule date falls on a holiday defined for the local currency, if this currency is different from the holiday currency, facility currency and contract currency you have indicated.
- Holiday Ccy
If the system must check whether the schedule date falls on a holiday defined for the currency of the contract, you must specify the code of the holiday currency.
Further, you have the following options to specify the specific currency for which the check must be done:- Facility Currency
- Local Currency
Holiday-handling Preferences for Schedule Dates
If you have specified that the system check for schedule dates falling on holidays, you must also specify the treatment for schedule dates encountered by the system that do fall on holidays. The following preferences can be set:- Moving the Schedule Date Backward or Forward
You can indicate whether the schedule date falling on a holiday must be moved forward to the next working day, or backward to the previous one.
- Moving Across Months
- If you have indicated either forward or backward movement, and the moved schedule date crosses over into a different month, you can indicate whether such movement is allowable; it will be allowable only if you indicate so in the Move Across Months field.
- Cascading Schedules
If one schedule has been moved backward or forward in view of a holiday, cascading schedules would mean that the other schedules are accordingly shifted. If you do not want to cascade schedules, then only the schedule falling on a holiday is shifted, as specified, and the others remain as they were.
Holiday Processing on Commitment Reduction Schedules
Select the Move Comm Redn Sch check box to indicate the holiday processing rule should be applied on commitment schedules. This is applicable only to tranche products.Holiday Processing on Repayment Schedules
Select the Move Payment Sch check box to indicate the holiday processing rule should be applied on repayment schedules. This is applicable only to drawdown products.Holiday Processing on Interest Rate Revision Schedules
Select the Move Revision Sch option to indicate the holiday processing rule should be applied interest rate revision schedules. This is applicable only to drawdown products.Specifying Holiday Preferences for Maturity and Value Dates
The maturity date for a contract could fall on holidays defined for your branch. In the Product Preferences, you can specify whether the system should check for maturity dates falling on holidays, and how such dates must be handled. These specifications would default to any borrower facility contract using the product, and also to underlying borrower tranche or drawdown contracts that are opened under the facility contract. You can specify that:- Holidays must be ignored OR
- The maturity date falling on a holiday must be moved according to the holiday-handling preferences that you specify.
Holiday Treatment Type
The Holiday Treatment Type is the parameter that defines how the system checks for maturity dates falling on holidays. You can specify one of the following options:- Include Branch Holiday
Select this check box to indicate that you want the system to check whether a maturity date falls on a local holiday defined for the branch. You will not be able to specify a check for currency holidays, if you choose this option.
The system checks the holiday table for your branch. If it encounters a contract entered in your branch, with a maturity date falling on a branch holiday, the holiday is handled according to the holiday-handling preferences you specify. - Use Facility/Tranche Currency
If you select this check box, the system checks whether the maturity date falls on a holiday defined for the currency of the facility (borrower)/tranche contract, if this currency is different from the holiday currency you have indicated.
- Use Local Currency
If you select this check box, the system checks whether the maturity date falls on a holiday defined for the local currency, if this currency is different from the holiday currency, facility currency and contract currency you have indicated.
- Holiday CcyIf the system must check whether the maturity date falls on a holiday defined for the currency of the contract, you must specify the code of the holiday currency. Further, you have the following options to specify the specific currency for which the check must be done:
- Facility Currency
- Local Currency
- Apply Financial Centre Holiday Treatment
This check box allows you to enable financial centre holiday treatment and add the financial centres for the holiday treatment.
For more information about maintaining financial centre for holiday treatment refer to Products User Manual.
Holiday-handling Preferences for Maturity Dates
If you have specified that the system check for maturity dates falling on holidays, you must also specify the treatment for maturity dates encountered by the system that do fall on holidays.- Moving the Maturity Date Backward or Forward
You can indicate whether the maturity date falling on a holiday must be moved forward to the next working day, or backward to the previous one.
- Moving across months
If you have indicated either forward or backward movement, and the moved maturity date crosses over into a different month, you can indicate whether such movement is allowable; it is allowable only if you indicate so in the Move Across Months field.
Parent topic: Specifying Preferences for Tranche/ Drawdown Products