Create Package Application
A package application is essentially a group of related loan/lease application records, with visibility into the child applications, borrower and collateral data at the package level.
Q2 Origination is enhanced to provide the ability to the financial institutions to originate complex credit facilities, which are essentially credit ‘packages’ consist of one or more loan/lease applications (defined as credit facilities/child application in this context). The financial institutions can create an overall deal application (parent application) with an umbrella credit limit. Each draw from this overall credit limit becomes its own credit facility with its individual repayment terms.
With each draw/child application, the credit available decreases, and the system allows the following:
Multiple draws/takedowns/ child applications against the overall deal/credit limit/parent application.
Draws on the previously established credit limit.
Enables to create Loan/Line of credit/Lease applications with different products and varying repayment terms.
For a package application, the underwriting is performed at the parent application level where the applicant has applied for the overall credit limit. Once the underwriting is completed, you can add the child application or the credit facilities such as term loan of $750,000, line of credit of $500,000. Each child applications has their own repayment terms and pricing.
Prerequisites
Before you proceed to create a package application, ensure that the following prerequisites are met:
Contact or account is set up.
CL Product is defined for record type "Package" and the Use As Package Product checkbox is selected for the defined CL Product.
The Assigned Record Type checkbox is selected, follow the steps to do the same:
Go to Setup.
Search Profiles in the search box and select Profiles in the search results.
Select System Administrator.
Go to the Apps section and select ObjectSettings.
Select Applications and then select Edit.
In the Application: Record Types and Page Layout Assignments section, select the Assigned Record Type checkbox for the Package Record Type.
Select Save.
Steps
To create a package application:
Log in to your Salesforce account.
Go to (App Launcher) > Applications.
On the Applications tab, select New.
Select Package as the record type and select Next.
Select the required CL product. (Displays only products of record type "CL Package").
Specify the required field values as described in the following table, and then select Save:
The application is created with specified information.
For example, the Deal Statistics section is displayed with the Total Available Amount field.
Field | Information |
---|---|
Select Product | |
CL Product | The lending product for which you are creating the application. This can be a Lease, Line of Credit, Loan, or Package. |
Asset Class | A grouping of products with similar characteristics. |
Borrower Information | |
New Contact | The checkbox is to indicate whether the applicant is a new contact or an existing customer of the lending organization. |
Contact | The name of the applicant. In case the application is for an organization, this signifies the primary contact person of that organization. |
Individual Borrowing Entity | |
First Name | Name of the borrower. |
Middle Name | |
Last Name | |
Birthdate | The date of birth of the borrower. |
The email address of the borrower. | |
Marital Status | The status of the marriage of the borrower. |
Legal Entity Type | The legal entity type of the borrower. For example, Individual, Corporation, or Association. The borrower type determines the documents required for application origination, and the type of financial and credit checks to be performed. |
SSN | The SSN number of the borrower. |
Mobile Phone | The 10-digit mobile phone number of the borrower. |
Other Phone | The 10-digit other phone numbers of the borrower. |
Country of Citizenship | The name of the country of citizenship. |
Permanent Resident | Select this checkbox if the borrower is a permanent resident of the country where they hold the citizenship. |
Country of Residence | The name of the country of residence. |
Current Address | |
Current Street | The current address details of the borrower where they are currently residing. |
Current City | |
Current State/Province | |
Current Zip/Postal Code | |
Current Country | |
Time at Current Address | The period in the years and months that the borrower have stayed in the current address. |
Residential Status | The status of the resident. The supported options are:
|
Monthly Payment Amount | The monthly payment amounts that the borrower is paying for the current address. |
Mailing Address | |
Same as Current Address | Select this checkbox if the mailing address is same as the current address. |
Mailing Street | The mailing address details of the borrower. |
Mailing City | |
Mailing State/Province | |
Mailing Zip/Postal Code | |
Mailing Country | |
Previous Address | |
Previous Street | The previous address details of the borrower. |
Previous City | |
Previous State/Province | |
Previous Zip/Postal Code | |
Previous Country | |
Additional Information | |
Employee | Select this checkbox to mark the contact as employee. Note:
|
Insider Relationship | Select the option to specify whether the contact is an insider or related interest of an insider. |
Deal Information | |
Branch | |
Purpose | The primary purpose of the application. |
Deal Type | Nature of the package application. The supported options are:
|
Term | The loan term. |
Requested Amount | The loan amount requested by the applicant. |
Application Date | The date when the application is created. |
Application Close Date | The date when the application is to be closed. |
Expiry Date | The date when the application is to be expired. |
Interest and Payment Information | |
Payment Frequency | Select the loan Payment Frequency. The supported options are:
|
Expected First Payment Date | The expected first payment date of the loan. |