Create a Loan Application

The debt instrument, a loan application, will be created under an existing authorization from an earlier task. If the loan application was not associated with an existing authorization, then this task would be combined with the "Create a Loan Authorization" task to complete both the Authorization and Debt Instrument tabs of the LOANS transaction.

Please note this task creates the LOANM from the Transaction Catalog and then uses the Auto Apply action to pull in data. The transaction could also have been created from the Loan Authorization (LNAUTH) page with Create new Debt Instrument action.

1. Create an instance of the LOANM transaction.

2. Navigate to the Authorization tab where a row will already be inserted.

3. Authorization Debt ID: (enter or choose the authorization).

4. Use the Auto Apply action

3. Navigate to the Debt Instrument tab and use the Insert New Line action.

4. Navigate to the Debt Instrument tab where a row will already be inserted with your information and complete the following.

• Debt ID, Debt Instrument Name and Debt Instrument Short Name (Enter values of your choosing)

• Issue Date: 15th of next month

• Application Good From: 1st of next month

• Application Good To: 1st of 2 months from now

• Application/Loan Indicator: Application

• Principal: $25,000.00

• Debt Instrument Status: Application Ready to Loan

• Save action to save the Debt Instrument data

5. Skip to the Lender Information tab and navigate to the Lender COA tab where you will create just one record for principal and interest with the following:

6. Type of Payment: ALL

7. Percentage: 100%

8. Bank: Enter the default bank for the Fund used

9. COA: Enter all necessary to record revenues from loan repayments

6. Navigate to the Borrower Information tab and enter the following:

7. Customer Code: Enter or select the potential borrower

8. Billing Profile: Enter or select the one for borrowers

7. Skip the Borrower COA tab as it does not apply to the type of loan.

8. Navigate to the Schedule tab to enter information about the payment schedule

9. Selected Schedule: True

10. Principal and Schedule Start Date will default from the Debt Instrument tab

11. Debt Terms: Enter or select the pre-defined terms for the type of loan. (If not using Debt Terms, then please complete the necessary fields to generate the Schedule.

12. Use the Generate Schedule action

9. Validate the transaction

10. If errors exist, fix the errors and repeat step 9. If no errors exist, continue with Step 11.

11. Submit the transaction.