2.2.28 Processing of Advanced and Manual Facility Fees

This topic describes about the detailed information on advanced and manual facility fees processing.

Oracle Banking Enterprise Limits Management supports Advanced Fee and Manual Payment of fee for facility. The steps involved in processing advanced and manual fee payment is as follows:

Advanced Fee

You can capture Liquidation Method as Advanced in the Fee & Accounting Class Maintenance screen for a rule code in Rule Preferences screen.

At the time of facility creation in Facility Maintenance (GEDFACLT) screen, this value gets defaulted as Advanced in Liquidate Method field in facility Fee Details screen.

You can choose your own schedule start by selecting Start Date and Start Month in Fee Rule Preferences section.

The following are the various advanced fee scenarios:
  1. Advanced fee can be of type User Input or Rate/Amount selected in Fee Rule Maintenance screen.
    • User Input can only be specified in terms of amount value
    • Rate/Amount is based on the underlying SDE selected in SDE Type
    • For User Input or Rate/Amount, the value specified is considered for the whole liquidation cycle (frequency) and accrued accordingly based on the day basis.

    For example, Fee Amount = 2400, Accrual Frequency = Daily, liquidation frequency = Monthly, Days in month = 30, Day Basis = Actual/Actual

    Fee accrued per day is 2400/30 = 80. This process is repeated for every schedule (in this case every month)

  2. Advance fees can be collected/liquidated both manually or automatically (configured in liquidation preference in Fee & Account Class Maintenance screen as Manual or Auto.)
    • If Manual then fee type has to be User Input
      • For fee type as User Input and liquidation as Manual, advanced Fee is collected manually from Manual Fee Payment screen
      • FLIQ event is triggered once the record is saved in Manual Fee Payment screen
      • You are not allowed to make advance payments
    • If Auto then fee type can be either User Input or Rate/Amount.
      • For fees types as User Input and liquidation as Auto, advanced fee is collected automatically on the day of facility creation and then based on the frequency
      • For fees types as Rate/Amount and liquidation as Auto, advanced fee is collected automatically on the day of facility creation (and then based on frequency) if the underlying SDE’s have balances

Note:

  • If on facility start date, the SDE closing balance is 0 the fee is not collected
  • Fees are collected from the date the balances are updated
  • In this case, if the balances are updated in mid of the fee liquidation cycle the fees are adjusted as part of PRLQ (PRLQ_REC/PRLQ_PAY) event triggered on cycle last date
  • Fee accrual starts from the date the balances are updated

Manual Fee

You can capture Liquidation Method as Manual in Fee & Accounting Class Maintenance screen for a rule code in Rule Preferences screen.

At the time of facility creation in Facility Maintenance (GEDFACLT) screen, this value gets defaulted as Manual in Liquidate Method field in facility Fee Details screen.

Manual Liquidation screen

You can perform manual fee payment by selecting facility detail and limit date in the Manual Liquidation screen GEDFCFPT.

  1. On the Home screen, specify GEDFCFPT in the text box and click Next arrow icon.

    Figure 2-30 Manual Fee Payment


    Description of Figure 2-30 follows
    Description of "Figure 2-30 Manual Fee Payment"

    Once you select the Liability No, Line Code, and Limit Date, and click Populate, the Fee Rule Details and Schedule Details sections get displayed.

    The Serial No field is disabled and it gets defaulted from the Facilities Maintenance screen.

    It shows the summary of amount due and amount scheduled for a particular fee starting from start date to limit date.

    Note:

    • Payment can be done till today's date only. Reversal of payment is allowed for latest version and today paid payment only
    • Fees that are due for backdated facility till facility book date can be liquidated once the facility record is authorized

    As part of manual liquidation of facility fees, FLIQ (Fee Liquidation) event is triggered and appropriate entries are passed by system.

    REVP (Reverse Payment) and RPRL (Reverse Pay/Receive Liquidation) events are system generated events when reversal of manual payment and pay-receive liquidation is opted for which accounting entries are internally generated by the system.

    Note:

    • Pending fee will be liquidated at the time of facility closure for the accrued amount.
    • In case the Fee Parameters at Facility level are modified after populating the Fee details in GEDFCFPT, you can click Populate again to recalculate the fee details.

Parent topic: Facilities Maintenance