Limit based on original amount and not outstanding amount

[former_member309133]

Hello

In case of loans (MM transactions) (with nominal amount determination procedure) the free limits are calculated based on the outstanding capital. However I want the free amounts to be shown based on the original capital (original loan amount) and which should not free the limit when repayment is made. Please suggest as to how this can be achieved.

Regards,

Sangram

[former_member198450]

Hello Sangram,

Could you please try with below path.

TRM-->Transaction Manager-->MM--> TM-->Transaction type-->

In define transaction types please check the options Nominal principle or Exponential.

Please check with this settings and let me know, Sorry i couldn't test the same as my system is down.

All the best !

Regards,

Jain

[former_member309133]

Dear Jain,

I didn't find any option of nominal principle or exponential principle. There is one check box as Exponential which is only relevant for commercial paper.

[former_member198450]

Hello Sangram,

Could you please elaborate your requirement, So that I can look into the same into system.

I thought above point will help you to resolved this issue. As I said I couldn't replicate or look into system as the same is not working.

Best Regards,

Jain

[former_member309133]

Hello,

The requirement is like this.

In case of loans in MM the limit gets free when a repayment is made. This is working fine for us. However for certain instruments we want that the limit with a separate limit type should not get free when repayment is made.

Regards,

Sangram

[former_member198450]

Hello Sangram,

Hope you are doing good !

As i understood your requirement clearly you created a facilities which when used you have a problem with the repayment, Incase,my understanding is not correct. I would appreciate in future to elaborate your requirement with example, as we all are busy with our schedule.

You have to create new flow with same functionality of 1120 and assign it with the repayment date in capital structure change table.

I have used the facilities for investment purpose of 1M,

Now the cash flow type in system would appearing as below

1100 Investment 1M

1200 Nominal interest 10,000

1120 Full repayment upon maturity 1M

In case I want to change the same I will add the new flow type with 1120 functionality and  add the same on capital structure change option in system, Which will change the repayment flow based on my requirement.

I hope i answer your requirement, in case you need any further assistance, Please feel free to write to me.

Best Regards,

Jain

JJainvarghese@gmail.com