Defining Org Parameters

You can set up some key org parameters that allow you to record amounts, create schedules, and use objects in a consistent manner across all products in your organization. You can also select the interest only period behaviors to apply to all contracts serviced by your org

Prerequisites

None.

Steps

To define the org parameters, perform the following steps :

1. Log in to your Salesforce account.

2. Go to (Setup) > Setup.

3. In the Quick Find box, search for Custom Settings, and then click it.

4. Click Org Parameters, and then click Manage.

   Note:

   If you do not see this in the Custom Settings list, check that CL Loan is selected in the View drop-down list.

5. Click Edit and define the values. You can specify more parameters as per your requirement.

   Parameter	Description
   Adjust Rounding in last Payment	If this checkbox is selected, the payment amounts are rounded off, and the adjustments are made in the last principal or interest due amount. This checkbox is selected when you install CL Loan for the first time.  Also, see Final Payment Differ (in Amz Schedule) section.
   Applet Jars Location	Deprecated.
   Batch size for daily jobs	The number of records that can be processed in a single execution of a batch job.
   Biometric DB Connection	Deprecated.
   Check Teller Balance before EOD	Deprecated.
   Concurrent Batch Jobs	The number of instances of the batch job that can run in parallel.
   Custom Fee Calculator Class	The name of the class for calculating the custom fee.
   Default Tolerance Rate	The organization-wide percentage tolerance value for loan repayments. For example, a 5% tolerance rate means if an amount of $95 is received toward a payment amount of $100, the payment is considered satisfied.
   Digits After Decimals	The number of digits you would like to see after the decimal for all amount fields.
   Disable Rounding In Amz Schedule	If this checkbox is selected, all interest and payments amounts in the amortization schedule are reflected as exact values without any rounding off.
   Disable Triggers	If this checkbox is selected, all triggers are disabled. This option must be used only while migrating data into the system. It must be deselected at all other times.
   Draw Amortization Schedule	If this checkbox is selected, then the amortization schedule is drawn when a loan is rescheduled.
   Enable Bank Trust Account Validation	If this checkbox is selected, then you cannot create more than one bank trust account.
   Enable Fractionalization	If this checkbox is selected, then the organization supports fractionalized loans, or loans funded through one or multiple investors.
   Enable Griaule Biometrics	Deprecated.
   Enable M2SYS Biometrics	Deprecated.
   Enable New Spread Option	If this checkbox is selected, you can define a payment spread. If this is deselected, the default payment spread provided in the CL Loan package is used.
   Enable Teller Management	Deprecated.
   Exclude Delinquency Grace Days in Aging	If this checkbox is selected, the calculation of delinquency aging begins after the delinquency grace days are over for a contract. For example, for a contract, the bill is due on January 5, 2017, delinquency grace days are 5, and the bill is not paid till January 17. The contract becomes delinquent only on January 11 and the aging is calculated as 7 days - from January 11 to January 17.
   Final Payment Differ (in Amz Schedule)	This works in combination with Adjust Rounding in Last Payment parameter. If both checkboxes are selected, then rounding is done in last payment by increasing the last payment amount. If this checkbox is deselected, is then all the payments are equated. This checkbox is selected by default when you install CL Loan for the first time.
   Financial Calculator Version	The version of the Financial Calculator. Specify 3 here if you want to use Financial Calculator version 3. If you leave this field blank, the Financial Calculator version 2 is used. If you leave this field blank, the Financial Calculator version 2 is assumed by default.
   Integrate Salesforce CRM	If this checkbox is selected, the standard Salesforce objects, Accounts, and Contacts are used.
   Interest Only Period Behavior	The method used by the system to calculate the interest amount during interest only period for a loan. Refer below for details on the behavior of each option. Note: The default value selected for this field is Actual.
   Keep Same Maturity Date on FIT Disbursal	If the draw billing method for an FIT loan is 'Interest Only' and the disbursal date is after draw period end date, then, if this checkbox is selected, new repayment schedules are created for the remaining terms, starting from the disbursal date up to the current maturity date. The maturity date remains the same.  If this checkbox is not selected, new repayment schedules are created for a given number of installments after the disbursal date. The maturity date gets extended accordingly.
   Log Level	The logging level of the application. Valid options are: Debug, Error, and None.
   Namespace Prefix	This is an internal CL Loan setting. Do not delete or edit this value.
   Production	If this checkbox is selected, it indicates a Production system. In that case, you cannot change or move the system date.
   Rounding Mode	The rounding behavior for numerical operations capable of discarding precision.
   Shift Date Before Holiday	Deprecated.
   Skip Holidays for Daily Loans	Applicable to loans with payment frequency as Daily. If selected, holidays are not included in dates of the amortization schedule, and no dues are generated on holidays.
   Statements Logo File Name	The file name for the loan account statement.
   Skip Holidays for Late Charge Grace Days	If selected, holidays and non-business days as set up in the Salesforce Business Hours, are excluded while calculating the grace days for applying a charge on late payments.
   Enable Fault Tolerant Batch Processing	If selected, it allows the payment transaction creation job to complete even if one or more contracts from a batch fail, and process the remaining contracts. Note: With this behavior, payments must be cleared using the payment clearing job instead of the payment transaction creation job. See Define Transaction Approval Configuration section.
   Daily Interest Accrual Time	Specify either SOD or EOD. If SOD is specified, then interest accrual is calculated at the beginning of the day in the SOD (Start Of Day) job on the opening principal balance of the day. If EOD is specified, then interest accrual is calculated at the end of the day on the closing principal balance of the day in the EOD (End Of Day) job.

6. Click Save.

Interest Only Period Behavior

For CL Loan systems using Financial Calculator version 2, the system selects the method for calculating the interest payment for borrowers for the Interest Only Period of a loan contract based on factors, such as the loan contract, payment date, and payment periods.

The Financial Calculator version 3 provides lenders the flexibility to select from the following methods for interest calculation:

Actual: In this method, the interest amount is based on the actual interest calculation for that period. For example, for a loan of $12,000 at 12% interest, and time counting method of 30/360, an Interest Only Period of 2 months, and a loan term of 12 months, the unpaid principal would be considered as $12,000 and the interest would be 1% for each month. So, the interest amount is a constant amount of $120 for each month in the interest only period. In the time counting method of Actual/365, the number of days in each month is different. For example, 30 in April and 31 in May. Therefore, the interest amount may vary slightly. This difference in interest amount is apparent based on the Payment Frequency. For example, in the Payment Frequency of Weekly, the interest amount is constant in each payment period.

First Period Interest: The interest applicable for the first payment period is charged for all the interest only periods.

One Cycle Interest: The interest is calculated as per a payment interest cycle. For example, for a weekly payment cycle, interest is calculated every week. In case of monthly payment cycles, where the days of in a month may vary, CL Loan assumes a constant payment cycle of 30 days and applies it to each payment period. 

Uniform Interest Spread: This option computes the interest based on the Actual option, and averages it out for the entire interest only payment period. This is the recommended selection for interest calculation as a constant interest amount, allowing automated payment setup.