12 Limit Configuration

This topic provides systematic instructions about the Limit Configuration of the Credit Amendment.

In this stage, the bank user further fine tunes the facility as advised in the proposal amendment stage by creating a detailed limit structure, setting restrictions in place, etc. and submits the proposal for further action. Post this stage, the details of the revised liability, facility, collateral and covenants gets recorded in the back office system.

The following table provides a high level overview about the Limit Configuration 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 Credit evaluation scores and details Legal evaluation score and details Risk evaluation score and details Write up added in previous stages Comments added in previous stages

Configure the facilities approved Capture the restrictions related to Currency Customer Branch Product Add comments Hand off to ELCM

1. On Home screen, select Tasks. Under Tasks, select Free Tasks.
   The Free Task page is displayed.

   Figure 12-1 Free Tasks

   
   

   
   Description of "Figure 12-1 Free Tasks"

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

   Figure 12-2 Customer Summary

   
   

   
   Description of "Figure 12-2 Customer Summary"

   
   

   Note:

   For information on actions that can be performed in Limit Configuration - Customer Summary page, refer Customer Summary section in Amendment Structuring chapter.
3. Upon clicking Next in the Limit Configuration - Customer Summary page.
   The Amendment Summary page is displayed.

   Figure 12-3 Amendment Summary

   
   

   
   Description of "Figure 12-3 Amendment Summary"

   
   

   Note:

   For information on actions that can be performed in the Amendment Summary page, refer Amendment Enrichment - Amendment Summary
4. Click Next in the Amendment Summary page.
   The Limit Configuration page is displayed.

   Figure 12-4 Limit Configuration

   
   

   
   Description of "Figure 12-4 Limit Configuration"

   
   

   In Limit Configuration page, Facilities, Collaterals, Covenants and Terms & Conditions added during the proposal initiation are displayed.

5. To configure the limit, click on the facility and then click the edit icon. Facility Details window is displayed.
6. Click and expand the Limit Details section.

   Figure 12-5 Limit Details

   

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

   Table 12-1 Limit Details

   Fields	Description
   Is Revolving Line?	To set the facility as revolving facility, enable Is Revolving Line? switch.
   Is UnAdvised Currency?	If the currency of the facility is unadvised, enable Is UnAdvised Currency? switch.
   Available	To make the facility available, enable the Available switch.
   Netting Required	Specify is Netting Required for the facility.
   Shadow Limit	Enable Shadow Limit switch, if required.
   Line Start Date and Line Expiry Date	To specify the facility validity, click the calendar icon and select the Line Start Date and Line Expiry Date.
   Review Frequency	Select the Review Frequency for the facility.
   Renewal Date	Click the calendar icon and select the Renewal Date for the facility.
   Exception Transaction Amount	Specify the limit allowed for the facility in Exception Transaction Amount field.
   Exception Breach	Specify the breach limit for the facility in Exception Breach field.
   Day Light Limit and Day Light OD Limit	Specify the Day Light Limit and Day Light OD Limit for the facility.

7. Click and expand the Restrictions section.

   Figure 12-6 Restrictions

   

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

   Table 12-2 Restrictions

   Fields	Description
   Allow All, Allow Specific	Allow All, Allow Specific or Disallow Specific Customer, Currency, Branch, Product, and Exposure, based on the need.
   Save	Click Save. Limit Configuration page is displayed.

8. Click Next.
   The Comments page is displayed.

   Figure 12-7 Comments

   
   

   
   Description of "Figure 12-7 Comments"

   
   
9. Post comments, if required. Posted comment is displayed below the Comments box.
10. Click Submit.
    The Policy exceptions window is displayed.

    Figure 12-8 Policy exceptions

    
    

    
    Description of "Figure 12-8 Policy exceptions"

    
    

    By default, policy exceptions are displayed for both the organization (party) and its child party.

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

11. Click the Checklist data segment.

    Figure 12-9 Checklist

    
    

    
    Description of "Figure 12-9 Checklist"

    
    

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

    Table 12-3 Checklist

    Fields	Description
    Outcome	Select the Outcome as Proceed.
    Submit	Click Submit. The proposal is moved to the Handoff stage.

    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.