5.1 Amendment Evaluation - Credit Evaluation

This topic describes information about the Credit Evaluation of the Amendment Evaluation.

The following table provides a high level overview about the Credit Evaluation stage.

Information Available for User

Activities that can be performed by user

Customer summary Customer group Structure Liability details Facility details Other bank facilities Group wise exposure Connected party details Facility over utilized Facility overdue Breached covenants Breached T&C Existing Collateral details Existing covenants and T&C Amendment summary Details about changes related to facilities, collateral, covenants, and T&C Comments added in previous stages

Perform the Quantitative Analysis View ratios and the scores generated View Peer analysis View trend analysis of the ratios Perform the Qualitative Analysis by answering questions maintained Debtor analysis Creditor analysis Sector analysis Global Economic analysis Domestic analysis Capture comments about the performed credit evaluation Send back the application if additional information is required

To perform credit evaluation for the proposal, perform the following steps:

1. From Home screen, click Tasks. Under Tasks, click Free Tasks.
   The Free Task page is displayed.

   Figure 5-1 Free Tasks

   
   

   
   Description of "Figure 5-1 Free Tasks"

   
   
2. Click Acquire & Edit the required Credit Evaluation task.
   The Credit Evaluation - Customer Summary page is displayed.

   Figure 5-2 Customer Summary

   
   

   
   Description of "Figure 5-2 Customer Summary"

   
   

   Note:

   For information on actions that can be performed in the Customer Summary page, refer Credit 360 User Guide.

   After reviewing the Customer Summary, Upon clicking Next, The Amendment Summary page is displayed.

   Figure 5-3 Amendment Summary

   
   

   
   Description of "Figure 5-3 Amendment Summary"

   
   

   Note:

   Refer Amendment Initiation - Amendment Summary for information on actions that can be performed in Amendment Summary page.

   Click Next in the Amendment Summary page, The Credit Evaluation page is displayed.

   Figure 5-4 Credit Evaluation

   
   

   
   Description of "Figure 5-4 Credit Evaluation"

   
   

   In Credit Evaluation page, the banker can perform the following analysis for the party and its child parties by answering simple questions related to the analysis:

   • Quantitative Analysis
   • Qualitative Analysis

   The Quantitative Analysis comprises the following analysis for the customer:

   • Creditor Analysis
   • Debtor Analysis
   • Global Economic
   • Domestic Economic
   • Sector Analysis
3. Upon clicking Evaluate in any of the tile, the Questionnaire window is displayed.

   Figure 5-5 Global Economic Analysis

   
4. Select answers for the available questions and click Next Category.

Right arrow icon appears in case of multiple questions, click the right arrow and answer all the questions in all the category.

A score is generated and displayed for the sector based on each answer provided.

Click Save. Cumulative score is displayed in the Quantitative Analysis page as shown below:

Figure 5-6 Quantitative Analysis

Description of "Figure 5-6 Quantitative Analysis"

For Creditor and Debtor Analysis, the Creditor and Debtor details can be added directly from the questionnaire window.

Figure 5-7 Creditor Analysis

Description of "Figure 5-7 Creditor Analysis"

5. Click the Creditor Details / Debtor Details in the Questionnaire window.
   The Creditor Details / Debtor Details window is displayed.

   Figure 5-8 Creditor Details

   

   For information on fields in the Creditor Details page, refer the below table.

   Table 5-1 Creditor Details

   Fields	Description
   Fetch	Fetch the Creditor / Debtor Details for the required period.
   Add	To add Key Creditor / Key Debtor, click and expand the respective section and then click the Add icon.
   Save	After adding the information, click Save.

6. After performing the quantitative analysis, click Qualitative Analysis tab.
   The Qualitative Analysis page is displayed.

   Figure 5-9 Qualitative Analysis

   
   

   
   Description of "Figure 5-9 Qualitative Analysis"

   
   
7. To analyze the account conduct, click Evaluate in Account Conduct tile.

   Figure 5-10 Account Overviiw

   

   To view the summary of current, loan and deposit accounts, click and expand the Account Overview section.

8. To add the current account, click Add.
   The Current Account Performance Details window is displayed.

   Figure 5-11 Current Account Performance Details

   

   For information on fields in the Current Account Performance Details page, refer the below table.

   Table 5-2 Current Account Performance Details

   Fields	Description
   Current Account No	Type the Current Account No.
   Branch and Currency	Search and select the Branch and Currency.
   OK	Click OK. Details are added and displayed in Current Accounts page.
   Refresh	To refresh the current account list, click Refresh.
   View	To view the current account details, select the current account and click View.
   Edit	To modify the current account details, select the current account and click Edit.
   Delete	To delete the current account details, select the current account and click Delete.
   fields	Specify the following details in corresponding fields: Average Credit Balance Average Debit Balance Limit Current Balance No Of Excess in 6 Months
   Add	To add the loan account, click the Loan Accounts tab and then click Add.

   The Loan Account Performance Details window is displayed.

   Figure 5-12 Loan Account Performance Details

   

   For information on fields in the Loan Account Performance Details page, refer the below table.

   Table 5-3 Loan Account Performance Details

   Fields	Description
   Loan Account No	Type the Loan Account No.
   Currency	Search and select the Currency.
   Discrepancy switch	If there is a discrepancy in payment, enable the Discrepancy switch.
   OK	Click OK. Details are added and displayed in Loan Accounts page.
   Refresh	To refresh the loan account list, click Refresh.
   View	To view the loan account details, select the loan account and click View.
   Edit	To modify the loan account details, select the loan account and click Edit.
   Delete	To delete the loan account details, select the loan account and click Delete.

9. Specify the following details in corresponding fields:
   • Sanctioned Amount
   • Tenor (In Months)
   • EMI Paid
   • EMI Remaining
   • Balance Outstanding
10. To add the deposit account, click the Deposit Accounts tab and then click Add.
    The Deposit Account Performance Details window is displayed.

    Figure 5-13 Deposit Account Performance Details

    

    For information on fields in the Deposit Account Performance Details page, refer the below table.

    Table 5-4 Deposit Account Performance Details

    Fields	Description
    Deposit Account No	Type the Deposit Account No.
    Account Type	Select the Account Type from the drop down list.
    Branch and Currency	Search and select the Branch and Currency.
    Balance	Specify the Balance in deposit account.
    OK	Click OK. Details are added and displayed in Deposit Accounts page.
    Refresh	To refresh the deposit account list, click Refresh.
    View	To view the deposit account details, select the deposit account and click View.
    Edit	To modify the deposit account details, select the deposit account and click Edit.
    Delete	To delete the deposit account details, select the deposit account and click Delete.
    Post	Post the Comments for the account conduct.
    Account Conduct	Close the Account Conduct window. A score is generated for the account conduct and displayed in the Qualitative Analysis window
    Evaluate	To perform peer analysis in Qualitative Analysis, click Evaluate in Peer Analysis tile.

    The Peer Analysis window is displayed.

    Figure 5-14 Peer Analysis

    

    For information on fields in the Peer Analysis page, refer the below table.

    Table 5-5 Peer Analysis

    Fields	Description
    Period and the Quarter	Select the Period and the Quarter and then perform the peer analysis. A score is generated for the analysis.
    Post	Post the Comment for the Peer Analysis.
    Close	Click Close. The score is displayed in the Qualitative Analysis window.
    Evaluate	To perform financial analysis in Qualitative Analysis, click Evaluate in the Financial Analysis tile.

    The Financial Analysis window is displayed.

    Figure 5-15 Financial Analysis

    

    For information on fields in the Financial Analysis page, refer the below table.

    Table 5-6 Financial Analysis

    Fields	Description
    Period and the Quarter	Select the Period and the Quarter and then perform the financial analysis. A score is generated for the analysis.
    Post	Post the Comment for the Financial Analysis.
    Close	Click Close. The score is displayed in the Qualitative Analysis window.
    	To perform covenant analysis in Qualitative Analysis, click Evaluate in the Covenant Analysis tile.

    The Covenant Analysis window is displayed.

    Figure 5-16 Covenant Analysis

    

    For information on fields in the Covenant Analysis page, refer the below table.

    Table 5-7 Covenant Analysis

    Fields	Description
    details	In Covenant Analysis window, the following details are displayed: New Covenant Proposed Existing Covenant Past Performance
    Post	View the covenant details and Post the Comments.
    Close	Click Close. Met and Breached covenants are displayed in Covenants tile.
    Evaluate	To perform covenant analysis in Qualitative Analysis, click Evaluate in the Covenant Analysis tile.
    Evaluate	To analyze terms & conditions in Qualitative Analysis page, click Evaluate in the T&C Analysis tile.

    The T&C Analysis window is displayed.

    Figure 5-17 T&C Analysis

    

    For information on fields in the T&C Analysis page, refer the below table.

    Table 5-8 T&C Analysis

    Fields	Description
    Post the Comments	View the terms and conditions and then Post the Comments.
    Close	Click Close. Count of New, Removed and Modified terms and conditions is displayed in the T&C Analysis tile.
    Edit	To perform the analysis again, click Edit in the corresponding tile.
    Comment	To capture comments for the analysis, click Comment in the corresponding tile.
    	In T&C Analysis window, the following information are displayed: New Terms And Conditions Proposed Existing Terms & conditions compliance
    Next	After performing the qualitative analysis, click Next in the Credit Evaluation page.

    The Comments page is displayed.

    Figure 5-18 Comments

    
    

    
    Description of "Figure 5-18 Comments"

    
    
11. Type the overall Comments for the credit evaluation and click Post. Comment is posted below the Comments box.
12. Click Submit.
    The Policy exceptions window is displayed.

    Figure 5-19 Policy exceptions

    
    

    
    Description of "Figure 5-19 Policy exceptions"

    
    

    By default, policy exceptions are displayed for both the party and child parties.

    To view the policy exception detail specific to party or child party, select the party from the drop down list at top left corner.

13. Click the Checklist data segment.

    Figure 5-20 Checklist

    
    

    
    Description of "Figure 5-20 Checklist"

    
    

    For information on fields in the Checklist page, refer the below table.

    Table 5-9 Checklist

    Fields	Description
    Outcome	Select the Outcome as PROCEED, if additional information is not required. Otherwise select the Outcome as Additional Info.
    Submit	Click Submit.

    Note:

    Write Up data segment appears, if the data segment is enabled in the Maintenance module. For information on Write up data segment, refer Amendment Initiation chapter.