|
Description:
|
Periodic fee- if a periodic fee is applied to the loan account; amount equal to one fee installment should be added to the upcoming loan installment. After the upcoming installment, the recurrent fee installments should be added to future loan installments as per the periodicity of fee type.
Periodic fee can be removed from a loan account. If a fee is removed, it will be removed from all the future loan installments.
If a periodic fee is applied before loan is disbursed, it should be first charged to the first installment. Thereafter, the fee should be charged as per the fee periodicity and aligned to the loan installments.
The periodicity unit of recurrent fee and loan frequency should match. That is, if loan frequency is in months, recurrent fees with periodicity in months can be charged to the account but recurrent fee type where periodicity is in weeks cannot be charged to the account. Similarly a monthly fee cannot be charged to loan products with loan frequency in weeks.
Waiving Loan Fees and Penalties
Fee installments and penalty installments can be waived and the same amount will be reduced from the next installment details
Following amounts can be waived:
The fee due in next installment can be waived
Note- System will allow waiving of total amount of fees due (i.e. all fee types + misc fee). Waiving of individual fee amount will not be permitted.
The fee overdue (due to missed installments) can be waived i.e. the total fee overdue till the current date can be waived but partial amount or individual components of fee cannot be waived.
Penalty due in next installment- That is, if any misc penalty has been charged to the account, it will be part of the next installment. This misc penalty, which is charged to the account and is due in the next payment, can be waived.
Penalty overdue- Misc penalty charged during previous installments which were not paid, can be waived.
Note: waiving of partial fees/penalty will not be allowed. Also, waiving a particular component of penalty overdue (example, misc penalty, or penalty for installment #1 etc) will not be supported.
Once an amount is waived, it will require following update
Installment details
Account summary
Repayment schedule- In case, fee is waived, the amount under fee column should be updated
|
