Create a consumer line of credit application – Symphonix

A Line of Credit is a credit arrangement in which a financial institution agrees to lend money to a customer up to a specified limit. Generally, the line of credit is arranged before the funds are actually required, thus providing flexibility to the customer. It ensures the ability to meet short-term cash needs when the need arises.

Prerequisites

The following are the prerequisites for creating a line of credit:

The Line of Credit CL Product is set up
A contact or an account is set up

Steps

Perform the following steps to create a line of credit application:

Log in to your Salesforce account.
Go to Applications.
Select New.
Select Line of Credit as the Record Type of new Record and select Continue.
On the New Application page, go to the Select Product section and specify the required CL Product to identify the line of credit product.

The Asset Class Name is displayed identifying the type of line of credit. For example, Consumer(Unsecured), Consumer(Secured) or Consumer(Real Estate).
In the Borrower Information section, do one of the following:
1. Select the New Contact checkbox if the borrower is a new customer.
2. For existing customers, select on the search icon in the Contact field and select the account or business name.
For an existing contact, you can modify the displayed information, if needed.
If you have selected the New Contact checkbox, specify the field values as described in theIndividual Borrowing Entity section of the field reference table.
1. Specify the field values as described in the Current Address section of the field reference table.
2. Specify the field values as described in the Mailing Address section of the field reference table.
3. Specify the field values as described in the Time at Current Address section of the field reference table.
4. Specify the field values as described in the Previous Address section of the field reference table.This section is available if time at the current address is less than or equal to 1 year.
Specify the field values as described in the Additional Information section of the field reference table.
Specify the field values as described in the Loan Information section of the field reference table.
Specify the field values as described in the Key Dates section of the field reference table.
Specify the field values as described in the Interest Information section of the field reference table.
Specify the field values as described in the Payment Information section of the field reference table.
Specify the field values as described in the Loan Codes section of the field reference table.
Select Save.

An application ID is generated.

As the next step, you must define the borrowing parties in Q2 Origination, capture their business information and assess their creditworthiness. Following this, you need to score the application as per the required criteria and price the application. Once the applicant approves the pricing, you can verify the documentation is completed by the user and all obligations are met, and convert the application into a formal contract.

Field reference

Field Name	Description
Record Type of new record	The lending product for which you are creating the application. This can be Lease, Line of Credit, or Loan.
Select Product section
CL Product	The type of Line of Credit being applied for. This is based on the record type selected. This is a mandatory field.
Asset Class Name	A grouping of products with similar characteristics. For example, you may group Line of Credit for purchase or construction of consumer properties like hotels or hospitals, or renovation of business complexes under asset class Consumer Real Estate.
Borrower Information section
New Contact	The Check box 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 lease is for an organization, this signifies the primary contact person of that organization.
Individual Borrowing Entity section
First Name	The First Name of the borrower.
Middle Name	The Middle Name of the borrower.
Last Name	The Last Name 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.
Birthdate	The date of the birth of the borrower.
Email	The email address of the borrower.
Marital Status	The status of the marriage of the borrower.
SSN	The SSN numbers.
Mobile Phone	The 10-digit mobile phone number.
Other Phone	The 10-digit other phone numbers.
Country of Citizenship	The name of the country of citizenship.
Permanent Resident	Select this checkbox if you are a permanent resident.
Country of Residence	The name of the country of residence.
Current Address section
Current Street	Specify the current address details.
Current City
Current State/Province
Current Zip/Postal Code
Current Country
Mailing Address section
Same as Current Address	Select this checkbox if the mailing address and current address are the same.
Mailing Street	Specify the mailing address details.
Mailing City
Mailing State/Province
Mailing Zip/Postal Code
Mailing Country
Time at current address section
Years	The period in the years and months that you have stayed in the current address.
Months
Residential Status	The status of the resident.Options supported: Rent Own Home Living with Parents Other
Monthly Payment Amount	The monthly payment amounts.
Previous Address section
Previous Street	Specify the previous address details.
Previous City
Previous State/Province
Previous Zip/Postal Code
Previous Country
Additional Information section
Employee	This checkbox is automatically selected if any one of the borrowers is an 'Employee'.The Employee field is selected on the Party page.
Insider Relationship	Specified contact is an Insider or Relative Interest of an insider. The supported options are: Insider Related Interest of Insider
Military Relationship	Specified contact is a service member or service member dependent. The supported options are: Service Member Service Member Dependent
Service Member Military Status	The military status of the service member. The supported options are: Active Duty Retired Reserve Veteran
Loan Information section
Credit Limit	The credit limit is the maximum advance amount that can be given to the borrower at any point in time.
Company	Displays the selected Company.
CL Purpose	The primary purpose of the application.
Primary Source of Repayment	The primary source from which the borrower is expected to repay the loan.
Secondary Source of Repayment	The alternative or additional source from which the borrower may repay the loan.
Status	The status of the loan.
Key Dates section
Expected Start Date	This field represents the date on which the application is created or started processing(for backdated applications)
Expected Close Date	This field represents the date on which the application processing is expected to complete
Expected First Payment Date	The expected first payment date of the loan.
Maturity Date	The date of the maturity of a loan.
Participation Date	This is the date on which another financial institution may contribute to a loan. In participation, several banks may contribute to fund say, a large commercial loan, and share the returns as well as the risks.
Disbursement Date	The Disbursement Date of the loan amount.
Interest Information section
Interest Rate	The Interest Rate of the loan.
Interest Calculation Method	The interest calculation method. The supported options are: Declining Balance Flat FlexibleRepayment
Spread	This is the difference between the average yield received by the organization from loans and other interest-generating activities and the average rate paid on deposits and borrowings.
Margin	This is the fixed percentage rate added to an index value to determine the fully indexed interest rate for a variable-rate loan.
Interest Only Period	The Interest Only period, if any.
Discount Rate	Any Discount Rate that is applicable to the current interest rate.
Discount Rate Based On	Select the criteria the Discount Rate is Based On. This can be the Number of Payments or the Ending Date.
Payment Information section
Term	The loan term.
Amortization Term	The Amortization Term over which the borrower payments can be spread. If this is shorter than the loan term, it results in the last payment being a balloon payment.
Days Convention	The number of days convention of the loan. The supported options are: 30/360 365/365 ACTUAL/ACTUAL ACTUAL/360 Note The value of this field is copied from the product in the application.
Payment Amount	The Payment Amount on the loan.
Rate Floor	The Rate Floor for a loan. Note The value of this field is copied from the product in the application.
APR	The annual percentage rate (APR) is the annual rate charged for borrowing or earned through an investment. APR is expressed as a percentage that represents the actual yearly cost of funds over the term of a loan.
Draw Term	This is the period in which the amount can be disbursed to the user.
Payment Frequency	Daily Weekly Bi-Weekly Monthly Quarterly Annual Semi-Monthly Bi-Monthly Semi-Annual Singlepmt Semi-Monthly_PD
Balloon Payment	Any Balloon Payment that the borrower is making.
Prepayment Penalty	Select the Prepayment Penalty checkbox if a penalty must be applied in case the borrower prepays the loan.
Prepayment Penalty Description	Provide the Prepayment Penalty Description if the prepayment penalty is applicable.
Rate Ceiling	The rate ceiling for a loan. Note The value of this field is copied from the product in the application.
Loan Codes section
Call Code	The call code for CRA reporting.
Class Code	The class code to identify the loan or lending product type.
Portfolio Code	The portfolio code if the loan is included in a portfolio of related loans.
Primary Collateral Code	The primary collateral code, if any, to identify the type of collateral.

Field reference

Note

Note

Note

In This Article