Configure automated consolidated payments for a Master Facility loan
You must configure the automated consolidated payments in the system so that the system can consolidate payments automatically for a Master Facility loan.
Prerequisites
To configure the automated consolidated payments for a Master Facility, ensure that the following prerequisites are met:
The Enable Master Facility and Automatic Consolidated Payment checkboxes in Custom Settings > Enable Loan Features is selected.
Note:To know the steps to select these checkboxes in Enable Loan Features, see Enable Loan Features.
The Enable Cash Receipts checkbox in the Custom Settings > CL Platform Settings is selected.
Configure ConsolidatedPaymentfilegenJob to generate ACH file for consolidated payments.
Note:To know the steps to configure this job, see Configure ConsolidatedPaymentfilegenJob.
Steps
To configure automated consolidated payments for a master facility, do the following:
Step 1: Configure Automated Payment Configuration in the system
Step 2: Configure Consolidate Retry Configuration in the system
Step 3: Create a Master Facility lending product and parent loan contract
Step 4: Attach Consolidated Retry Configuration to the Master Facility parent loan contract
Step 5: Configure Automated Payment Setup for the Master Facility parent loan contract
Step 6: Create a Master Facility child loan contract
Step 7: Configure Automated Payment Setup for the Master Facility child loan contract
Step 1: Configure Automated Payment Configuration in the system
Refer to the Set up Automated Payment Configuration section of this guide for the steps to configure Automated Payment Configuration in the org.
Step 2: Configure Consolidated Retry Configuration in the system
If a consolidated payment is failed or rejected, the system retries the payment based on the consolidated retry configuration. Thus, you must configure the retry configuration and then associate it with the master facility loan from Additional Parameters.
Once it is associated, this retry configuration is used by the LoanPaymentTransactionCreationJob to create a retry LPT and cash receipts for the master-child loans. The retry configuration of a master facility applies to all its child loans.
To configure a consolidated retry configuration, do the following:
Go to Servicing Configuration > ACH... > Consolidated Retry Config.
In the Define a New Consolidated Retry Configuration section, select Define New Consolidated Retry Configuration.
In the New Consolidated Retry Configuration window, provide the details as explained in the following table, and then select Save:
Note:You can refer to the image following this table as an example.Field Action and Information Consolidated Retry Configuration Enter a name that uniquely identifies this consolidated retry configuration that you are creating. Retry Attempt Interval (in days) Enter the number of days required between two retrial attempts.
These are the number of days after a rejection.
Apply NSF on Attempt Select the unsuccessful attempt number for which a Non Sufficient Funds fee will be charged.
For example, if a transaction is repeatedly rejected by the bank, the lender may charge an NSF fee after the third attempt.
Return Codes for Retry Select which return codes you want to retry payments with.
Return codes are customized to each customer. For example, RO1 is related with insufficient funds.
Retry To retry a rejected ACH payment, select Enabled from the Retry drop-down menu.
If no value is selected in the Retry field, the system assumes the value Disabled and does not retry a failed or rejected payment.
This field indicates whether the payment retry option is available for this transaction. A null value defaults to Disabled.
Number of Retry Attempts Enter the number of times the system must retry the rejected payment. The following image is an example of creating a New Consolidated Retry Configuration:
Step 3: Create a Master Facility lending product and parent loan contract
Refer to the Create a Master Loan Product and Create a parent master facility loan contract sections of this guide for the steps to create a master facility lending product and parent loan contract. While creating a master facility parent loan, ensure that you attach NSF fee set to the loan. For more information on creating a fee set, see Define a Fee Set.
Step 4: Attach Consolidated Retry Configuration to the Master Facility parent loan contract
To attach the consolidated payment configuration to the Master Facility parent loan contract, do the following:
After creating a Master Facility parent loan contract, select Edit Additional Parameters in that loan contract.
The Additional Parameters window gets displayed.
In the Additional Parameters window, select the consolidated retry configuration created in the preceding Step 2, and then select Save.
Note:This option to select the Consolidated Retry Configuration is only available in the Master Facility parent loan contract.
This attaches the consolidated retry configuration to the Master Facility loan.
Step 5: Configure Automated Payment Setup for the Master Facility parent loan contract
Refer to the Set up automated payments section of this guide for the instructions on how to configure an automated payment setup for a Master Facility parent loan. When configuring, ensure that you select Total Outstanding Bill Amount as the Amount Type for the automated payment.
Step 6: Create a Master Facility child loan contract
Refer to the Create a child loan contract section of this guide for the steps to create a Master Facility child loan contract in a master facility loan.
Step 7: Configure Automated Payment Setup for the Master Facility child loan contract
You must configure Automated Payment Setup (APS) for the child loan contract too as the payment dates may vary for different child loan contracts.
Refer to the Set up automated payments section of this guide for the steps to configure an automated payment setup for a Master Facility child loan.
This configures the Automated Consolidated Payments for your Master Facility loan.