4.35.4 Manual Linking of Standalone Loans with Commitments

Floor and ceiling propagation happens when standalone loan is getting linked with the commitment, or the loan is de-linked and linked to a different commitment, through the Linkage Amendment screen.

While saving linkage amendments, system provides necessary over-ride stating that all-in rate of the loan interest component is not within Floor / ceiling limit maintained for the newly linked commitment, if all-in-rate of any of the component under the loan is not within the maintained Floor/Ceiling.

• On click of OK, all-in rate propagation is done based on Floor and ceiling maintenance and the system registers Rate Amendment (RTAM) event for the propagation.
• On click of Cancel, Commitment linkage amendment fails.

The Rate Amendment (RTAM) event gets authorized along with the Linkage Amendment (LAMD) authorization.

Floor/Ceiling validations are not done if the loan is de-linked from a commitment and converted to a stand-alone loan from the Linkage Amendment screen.