Create Package Application

  • Updated

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:

    1. Go to Setup.

    2. Search Profiles in the search box and select Profiles in the search results.

    3. Select System Administrator.

    4. Go to the Apps section and select ObjectSettings.

    5. Select Applications and then select Edit.

    6. In the Application: Record Types and Page Layout Assignments section, select the Assigned Record Type checkbox for the Package Record Type.

    7. Select Save.

Steps

To create a package application:

  1. Log in to your Salesforce account.

  2. Go to image idm3559 (App Launcher) > Applications.

  3. On the Applications tab, select New.

  4. Select Package as the record type and select Next.

  5. Select the required CL product. (Displays only products of record type "CL Package").

  6. 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.

This is based on the record type selected. For example, if the Record Type is Package, you will have products related to package record type.

This is a mandatory field.

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.

Email

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:

  • Rent

  • Own Home

  • Living with Parents

  • Other

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

  • 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

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:

  • Revolving

  • Non-Revolving

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:

  • Daily

  • Weekly

  • Bi-Weekly

  • Quarterly

  • Annual

  • Semi-Monthly

  • Bi-Monthly

  • Semi-Annual

  • Singlepmt

  • Semi-Monthly_PD

Expected First Payment Date

The expected first payment date of the loan.