Protect Loans

The Protect feature is set up on lending products with an additional option to configure protect fees for automated processing. To enable this feature, the existing lending products' configuration needs to be updated, or new lending products need to be configured with Protect fees. The protect fee percent must be set at the time of contract creation. The Protect tab of a contract displays the details of the protect fees and protect claims.

The Protect functionality rests on the following: 

1. A Fee with fee purpose as Protect is created, as part of Fee Setup.
2. Investor Share % is defined as part of setting up the Protect fee.
3. The Protect feature is enabled during lending product creation. The Protect Fee setup is a prerequisite for creating a protect enabled loan.
4. In the lending product:
   1. Protect Type - partial or full - is opted 
   2. The Protect Fee Split is defined. This can be defined at the product or contract level. For more information, refer to section Define the Protect Fee Split.
5. The payment transaction type of Waived is available for creating payments that are waived off when protect is claimed by borrower. (provided as part of CL Loan package)
6. Protect claim approval process is defined by the lender. CL Loan requires only the Approval or Rejection status for its processing.