8.2 External Valuation

This topic provides systematic instructions about the procedure to add external valuation details.

Click Next in the External Valuation - Collateral Summary screen, the External Valuation data segment is displayed.

Figure 8-3 External Valuation

To capture the external valuation details for the collateral:

1. Click the action icon in the collateral record and select Edit.
   The External Valuation - Configure - Collateral Type screen is displayed.

   Figure 8-4 External Valuation - Configure - Collateral Type

   
   

   

   
   
2. Click Next and navigate to the Valuation menu.

   Figure 8-5 External Valuation - Configure - Valuation

   
   

   

   
   
3. Click the add icon in the External Valuation - Configure - Valuation screen.
   The External Valuation Details window is displayed.

   Figure 8-6 External Valuation Details

   
   

   

   
   
4. Capture the external valuation details in the above screen.

   For more information on the fields, refer to the field description table below:

   Table 8-1 Basic Details - Field Description

   Field	Description
   Agency	Select the Agency which performed external valuation.
   Valuation Type	Select the Valuation Type as External.
   Valuation Date	Specify the date on which the external valuation is carried out.
   Valuation Frequency	Select the Valuation Frequency from the drop down list.
   Frequency Unit	Specify the number of times the valuation must be done in the selected Valuation Frequency.
   Valuation Expiry Date	Specify the date till which the valuation is valid.
   Next Valuation Date	Next Valuation Date is displayed based on the specified Valuation Date, Valuation Frequency and Frequency Unit.
   Valuation Amount	Select a currency and specify the collateral Valuation Amount.
   Insurable Value	Specify the Insurable Value of the asset.
   Deviation Approval As Per Bank Policy	Provide the approval details in case there is any deviation in the construction from the approved plan and the bank has approved the deviation.
   Estimated Age of Asset	Specify the Estimated Age of Asset.
   Estimated Life Span of Asset	Specify the Estimated Life Span of Asset.
   Remarks	Specify the bank user Remarks.
   Valuer Remarks	Capture the Valuer Remarks for the collateral.

   Figure 8-7

   
   

   

   
   

   Table 8-2 Immovable Collateral Valuation Details - Field Description

   Field	Description
   Type of Property	Select the Type of Property from the drop down list. The options available are: Urban Rural Semi-Urban
   Date of Property Visit	Specify the date on which the valuation agency has visited the property.
   Number of Blocks/Wings	Specify the number of blocks or wings in the property.
   Number of Stories	Specify the Number of Stories available in the building.
   Number of Units Per Floor	Specify the number of flats available per floor.
   Age of the Property	Specify the present date of the property in years.
   Residual Life	Specify the remaining life of the building in years.
   Sanctioned Plan Details	Provide details about the plan sanctioned for building construction.
   Construction Permission / Commencement Certificate	Provide details of construction permission from the local authority.
   Permissible Usage As Per Sanctioned/Approved Plan	Specify the purpose of building as per the permission obtained from the local authority.
   Deviations If Any	If there is any deviation in the construction from the approved plan, specify the deviation details.
   Land Rate	Specify the Land Rate in the locality.
   Construction Rate	Specify the cost of construction per unit.
   Amenity Value	Specify the value of other amenities provided to the customers.
   Total Fair Market Value	Specify the fair market value of the building or apartment or unit.
   Forced/Distress Sale Value	Specify the possible sale value in case of default by customer.
   Realizable Value	Specify the value of realization in case of sale.
   Ready Reckoner Rate/Circle Rate	Specify the indexed rate or prevailing rate in the locality.
   Stage of Construction	Specify the current Stage of Construction.
   Negative Remarks	Capture Negative Remarks from the External Valuator, if any

   Figure 8-8

   
   

   

   
   

   Table 8-3 Immovable Collateral Area Details - Field Description

   Field	Description
   Unit of Area	Select the Unit of Area from the drop down list. The options available are: Acre Hectare Square Meter Square Yard
   Land/Plot Area	Specify the Land/Plot Area in the selected unit.
   Area per Agreement / Sale Deed	Specify the area as mentioned in the sale deed or agreement.
   Area Per Plan	Specify the area covered per flat as per the building plan.
   Area Per Measurement	Specify the proprty area as per measurement.
   Land Area	Specify the Land Area in the selected unit.
   Construction Area	Specify the total Construction Area on the land.

5. Click Add in the External Valuation Details window.
   The external valuation details are added and displayed as shown below.

   Figure 8-9 External Valuation - Configure - Valuation Details

   
   

   

   
   

   You can Edit, View, or Delete the added external valuation detail by clicking the action icon and selecting the required option.

6. After capturing external valuation details, click Next.
   The External Valuation - Configure - Questionnaire Evaluation screen is displayed.

   Figure 8-10 External Valuation - Configure - Questionnaire Evaluation

   
   

   

   
   

   Note:

   In the above screen, the questionnaires linked to the External Valuation stage in Business Process configuration are displayed. You can manage the questionnaire process linkage in Maintenance module.
7. Click Evaluate in any of the tile.
   The Questionnaire window is displayed.

   Figure 8-11 Questionnaire

   
   

   

   
   
8. Select answer for all the questions and click Submit.

   In case of multiple questions, the right arrow appears in the Questionnaire screen. Click the right arrow to view next question.

   Once the evaluation is completed, the system displays the overall score for evaluation in External Valuation - Configure - Questionnaire Evaluation screen based on the score generated for each answer provided in the Questionnaire screen.

   User can click the Action icon in the tile and select Edit or Comment to modify the answers or capture comment for the evaluation, respectively.

9. After performing all the evaluation, click Submit.

   Note:

   If the minumum number of valuation record is not added, the system prompts an error message based on the configured rule. You can capture the appropriate remarks and proceed to the next stage by obtaining exception approval or add the valuation records at a later date.