9.3.1 Rollover Preferences for a Loan Contract

To recall, when a loan is rolled-over (renewed), it is processed in the following manner, depending upon the rollover mechanism and rollover method specified:

• A new version of the loan with the same contract reference number is initiated.
• A new loan with a different contract reference number is initiated.
• The original loan could be split into multiple loans as a result of the rollover.
• The original loan could be consolidated along with other loans as a result of the rollover.

The rollover method indicates:

• Whether a single new contract must be created when the original contract is rolled over.
• Whether the original contract must be split into multiple contracts when rolled over.
• Whether the original contract must be consolidated into one single contract along with other contracts, when rolled over.

The rollover method specified for the product used by the contract is defaulted, and you can change it when you enter the contract, if required.