2.3.1 Loan Interest Details

This topic describes systematic instructions to configure loan interest details.

The Interest Details data segment displays the interest applicable for the account .

To add interest details:

1. On acquiring the Application Enrichment task, the Interest Details data segment appears

   Figure 2-19 Loan Interest Details

   
   

   
   Description of "Figure 2-19 Loan Interest Details"

   
   
2. Specify the fields on Loan Interest Details screen.
   For more information on fields, refer to the field description table.

   Table 2-20 Loan Interest Details – Field Description

   Field	Description
   Interest Rate (In %)	Specify the interest rate. Interest Rate is fetched from host back end product to which this loan account is mapped via the Business Product configuration.
   Rate Type	The system fetches the rate type from host back end product to which this loan account is mapped via the Business Product configuration.
   Margin (In %)	Specify the margin in percentage. This field displays if the Rate Type is selected as Floating. This field is editable if the Margin Allowed toggle is ON at the product level
   Variance (In %)	Specify the variance in percentage. This field displays if the Rate Type is selected as Fixed. This field is editable if the Margin Allowed toggle is ON at the product level.
   Effective Rate (In %)	Displays the effective rate for the loan calculated as Interest Rate + or – Margin/Variance.
   APR	Displays the annual percentage rate value for each applicable interest .

3. Click Next to navigate to the next data segment, after successfully capturing the data. The system will validate all mandatory data segments and data fields. If mandatory details are not provided, the system displays an error message for the user to take action. User will not be able to proceed to the next data segment, without capturing the mandatory data.