4.6 Redefine Schedules

This topic describes how to redefine schedules.

Repayments that are scheduled for a date later than today is redefined. This redefinition did even after the deal has come into effect and a few schedules are liquidated.

However, schedules with a date earlier than today’s date that is yet to be liquidated cannot be rescheduled. You have to liquidate them through the Manual Liquidation function. Ageing analysis and penalty processing will be done on such overdue schedules if they are borrowings.

The redefinition of schedules will be done automatically on the following occasions:

• When the Maturity Date has changed - a change in the Maturity Date will be handled in the following manner:
• Extension of the Maturity Date: The principal repayment schedule that was defined for the earlier Maturity Date is moved to the new Maturity Date. Other components (interest, commission or fee) that are dependent on the tenor of the deal will be recalculated and spread equally over the rest of the repayment schedules for these components.
• Advancement of the Maturity Date: All the schedules that are beyond the new Maturity Date is advanced to the new Maturity Date. The number of other components (interest, commission or fee) that are dependent on the tenor of the deal will be recalculated and spread equally over the rest of the repayment schedules for these components.
• When the Principal is increased: the increased amount is added on to the last principal schedule. Other components (interest, commission or fee) that are dependent on the Principal of the deal will be recalculated and spread equally over the rest of the repayment schedules.
• When there is a prepayment of interest, and you have defined recalculation of schedules on repayment.

In some situations wherein you would want to redefine the schedules, i.e., you may want to change the payment dates or amounts. In such cases, you can change the schedules by invoking the Contract Input screen and going to the Schedule Redefinition screen by clicking on the ‘Revision Details’ button. If you click the redefinition button on the schedules screen, all the schedules with today’s date or a date in the future are erased, and you will be allowed to enter a new set of schedules. To redefine a schedule for only one component, highlight the schedule and make the changes. If the schedules have already been authorized, then you will have to make the changes through the Modify function. After making the changes, you can save the redefined schedules by clicking the save icon. To delete a schedule (before authorization) click delete icon.

Authorizing a Redefined Schedule

A redefined schedule has to be authorized before it is used.