Santosh Math updated FINERACT-307:
    Fix Version/s: 1.3.0

> Accruals accounting does not accrue income on loans closed prematurely
> ----------------------------------------------------------------------
>                 Key: FINERACT-307
>                 URL: https://issues.apache.org/jira/browse/FINERACT-307
>             Project: Apache Fineract
>          Issue Type: Bug
>          Components: Loan
>            Reporter: Santosh Math
>            Assignee: Shaik Nazeer Hussain
>            Priority: Major
>              Labels: p1
>             Fix For: 1.3.0
> Reported by Sander at https://mifosforge.jira.com/browse/MIFOSX-2093
> Original Description:
> If a customer makes the final payment before the end of the loan schedule the 
> loan status changes to closed, and the balance reports 0, which is correct. 
> These loans are non-recalculating and accrue interest in line with their 
> schedules (periodic). As such all interest portions are booked into the 
> Interest Receivable account.
> However because of the closed status the accruals batch job no longer 
> generates the periodic accruals for this loan (query excludes any status 
> which is not active). As a result a part of this income will remain in the 
> Interest receivable account indefinitely, which is not the expected 
> behaviour. We would either expect the accruals to continue in line with the 
> schedule, or for the accrual to be generated alongside the final (closing) 
> transaction of the loan.
> The quick-fix for this is to adjust the batch job to look not just look at 
> loan status but also at any loan where the interest accrual date is smaller 
> than the expected maturity date.
> As a permanent fix we should investigate whether new accounting types/rules 
> need to be defined for this scenario to also book this prepaid income as a 
> liability instead of an asset account, such as Prepaid Interest received.

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