3.3.1.3 Specifying Other Preferences
Table 3-1 Borrower Product Preferences - Other Preferences
Fields | dESCRIPTION |
---|---|
Prime Loan | Oracle Banking Corporate Lending enables you to pay the interest
applicable on the principal. This is applicable only if you select the
Prime Loan check box. You also need to select
the Liquidate Interest on Prepayment check box at
the contract level (in the Drawdown Contract
Online screen) to liquidate the interest
component.
Note: If you do not select the ‘Liquidate Interest on Prepayment’ check box at the contract level, the system treats the prepayment against a Prime Loan as normal prepayment, where the principal alone is liquidated even if the interest schedules are due or overdue.You can pay the interest component along with the principal either on the frequency-based schedule or at the time of principal prepayment. In case of the latter, interest is calculated only on the principal prepaid. Onselecting the Prime Loan check box, Oracle Banking Corporate Lending allows you to define only a bullet schedule for the principal component. Note: At the time of amendment of the product, you cannot change the value of the Prime Loan check box. |
Assignment Validations Applicable | Select this check box if the assignment validations are applicable at
the product level.
If this field is deselected, then you cannot amend this field at the contract level. Note: Based on the product level selected, the system defaults this field to the Tranche online. |
Suppress Advices | Select this check box to indicate advices should be suppressed for
all contracts booked under this product (say for example, an LC
product). If you check this box for a drawdown product, all the advices
are suppressed for contracts booked under the drawdown product. The
advices being generated for the tranche contract is also suppressed for
such drawdowns.
For those products for which you have selected the box
Suppress Advice:
|
Int/Fee Distribution | You can indicate the method in which the interest and fee components
have to be distributed among the participants when an assignment is
executed before the liquidation date.
Note: This option is applicable to both fee and interest components. |
Sighting Funds Applicable | Select this check box to indicate that sighting funds is applicable
for the Borrower drawdown product.
Note: Compensatory component is not available for schedule definition. The Main interest component schedules are internally considered for the Compensatory component. |
Floor/Ceiling Restricted to Base Rate | Select this check box if you want to maintain floor and ceiling only for base rate. |
Media Priority | Select this check box to indicate that the media priority is required for the Borrower drawdown product. |
Bankers Acceptance | This check box is enabled only if the payment type is
Discounted for the drawdown product. Ensure
to deselect Liqd of Interest on Prepaid Principal
and Allow Rollover before selecting
Bankers Acceptance.
Note: Sighting Funds Applicable’ check box is disabled if the payment type is 'Discounted' for the drawdown product. |
Allow schedules for discounted | The Allow schedules for discounted and
Track Pay Receive check box are selected if
the Payment Type is
Discounted or True
Discounted. The periodic interest payment schedules are
supported if the Payment Type is
Discounted or True
Discounted.
Note: Rollover is supported for discounted products also if the Payment Method is Discounted or True Discounted and if the Allow Rollover check box is selected at the product level. |
Parent topic: Specifying Preferences for Tranche/ Drawdown Products