2.1.3 Processing of Loans Deposit Product

Deposit creation in Loan and Commitment - Contract Input screen

Specify the User ID and Password, and login to Homepage.

1. On the homepage, type OLDTRONL and click next arrow.
   The Loan and Commitment-Contract Input screen is displayed.

   Note:

   The fields which are marked in asterisk red are mandatory fields.

   Figure 2-6 Loan and Commitment-Contract Input

   
   

   
   Description of "Figure 2-6 Loan and Commitment-Contract Input"

   
   
2. In Loan and Commitment-Contract Input screen (OLDTRONL), Click Preferences option.
3. In Preferences tab, select Funding Method as Automatic. If the disbursement is mode is auto, on contract creation deposit is initiated for the amount disbursed. This triggers deposit creation automatically on contract save.
4. On save of deposit creation, the following takes place in the staging table.
   • Fetches deposit details from the Branch Auto Funding Product Maintenance screen and rates from the Treasury Floating Rate Maintenance screen.
   • Value date of the deposit is based on the following dates,
     • Back dated contract - Application date is the value date of deposit.
     • Current dated and Future dated contract-Value date of the contract.
   • Deposit amount is sum of principal due amount starting from the application date of the contract for that disbursement.
   • Web service is exposed for Deposit creation.

   Processing of Loans Deposit Product is explained in the below table.

   Table 2-4 Processing of Loans Deposit Product

   Process	Description
   OL Contract Authorization - Auto Disbursement	OL Contract authorization is validated with the deposit contract initiation status. If deposit creation is successful, then OL contract authorization is allowed. If deposit creation is failed/ unprocessed, then OL contract authorization is not allowed.
   OL Contract Reverse Authorization - Auto Disbursement	OL Contract reverse authorization is validated with the reverse deposit contract initiation status. If the reverse deposit authorization is processed, then OL Contract reverse authorization is allowed. If the reverse deposit authorization is unprocessed or failed, then OL Contract reverse authorization is not allowed.
   OL Contract modification- Auto Disbursement	If deposit creation is unprocessed, then OL contract modification is not allowed. If deposit creation is processed, then OL contract modification is allowed, Loan modification is saved. Initiates Reverse Deposit request for already processed deposit. Initiate a new deposit creation request (if loan modification on Amount, Maturity Date, Value Date of the contract). Previous request status is updated to D (Deleted). If deposit creation is failed, then OL contract modification is allowed, Loan modification is saved. Initiate a new deposit creation request (if loan modification on Amount, Maturity Date, Value Date of the contract). Previous request status is updated to D (Deleted).
   OL Contract Deletion - Auto Disbursement	If deposit creation is in unprocessed, then OL contract deletion is not allowed. If deposit creation is failed, OL contract deletion is allowed. Previous request status is updated to D (Deleted).
   OL Contract Reversal - Auto Disbursement	On reversal of loan contract, reverse deposit request is initiated.
   Reversal of OL Contract after Authorization - Auto Disbursement	If the reverse deposit is processed, then OL Contract reverse authorization is allowed. If the reverse deposit is unprocessed or failed, then OL Contract reverse authorization is not allowed. If deposit reverse is failed/ unprocessed, then OL contract reversasl authorization is not allowed. Once deposit reverse gets processed, contract reversal deletion is not allowed.