2.11.16 Fee Preferences

This topic provides information on Fee preferences of Collateral Maintenance.

Fee Preferences sub-system defaults all the attributes from Fee & Accounting Class screen including the Holiday Treatment along with the Fee Rule Maintenance screen attributes.

Holiday Treatment

You can view the defaulted holiday preference parameters and make changes.

Fee Rule Preferences

Fee Rule Preferences section contains all the fee rules associated with a fee class and their respective attributes.

Start Date and End Date

• You can enter fee start date and fee calculation starts from that day.
• You can enter fee end date and fee is calculated till this date.
• Fee start date if not entered, then it is defaulted from the collateral start date.
• Fee start date cannot be before collateral start date. The system validates and displays an error if fee start date is before collateral start date.
• Fee end date if not entered, then it is defaulted from the collateral expiry date.
• Fee end date cannot be after collateral expiry date. The system validates and displays an error if fee end date is after collateral expiry date.
• For all fee calculations, fee start date and end dates takes precedence over collateral start date and expiry date.
• If both collateral start date and collateral expiry dates and fee start date and fee end dates are provided respectively, then system considers the fee start and fee end dates for the calculation.
• Since, both collateral end date and fee end date are not mandatory, if none of them are provided, the system validates and displays an error to enter the dates.

User Input Fee Amount

The User Input Fee Amount is used for the fee of type USER INPUT.

You need to specify the fee amount in terms of absolute amount and it is considered for the whole liquidation cycle (frequency) and accrued accordingly based on the day basis and other parameters.

The system validates if fee type is of User Input and this field is left blank.

Branch

The Branch where the customer account exists and it is used for debiting the collateral fee.

Account No

The Account No which needs to be debited for collateral fee. This is based on the branch selection in Branch field. You can specify the individual accounts for respective fees.

If you have multiple accounts in a bank or in a branch, you can specify the individually for each fees the accounts that needs to be debited.

Waived

Out of multiple fee rules attached to a fee class which are populated during collateral creation, one or more fee rules can be waived by selecting check box under waived column.

Effective Dates

Effective Dates is used to specify the dates from which fee rate details are applicable. A fee rule can be configured having multiple effective dates. As the effective dates are reached, the corresponding rate details becomes applicable for each fee.

The system validates and displays an exception if fee type is Rate/Amount and effective date details are not maintained.

For create event fee, effective date has to be always collateral creation date. In addition, only one effective date is allowed for create event fee as create event is always one time.

Fee Rate Details

Fee Rate Details is used to specify the values as opted in Fee Rule Maintenance screen.

Basis Amount

Specify the multiple basis amounts. The system validates and displays an exception if fee type is Rate/Amount'and rate details are not maintained.

Rate

Specify the rate for the defined basis amount if fee is configured as Rate.

The system validates and displays an error if fee type is of rate and user inputs amount or leave the rate details as blank.

Rate details are applicable based on the effective dates applied.

Amount

Specify amount for the defined basis amount if fee is configured as Amount.

The fee value as amount is considered for the whole liquidation cycle (frequency) and accrued accordingly based on the day basis and other parameters. The system validates if fee type is of amount and user inputs rate or leave the rate details as blank.