Pool Agreement 
Definition
A set of one or more collateral agreements grouped together for collective collateralization of receivables.
You must assign atleast one collateral agreement to a pool agreement. You must relationship type while assigning single collateral agreements to the pool agreement. You can choose from the relationship types namely Is a member of (to specify that collateral agreement is part of a pool agreement) and Has member (to specify that the collateral agreement is itself a pool agreement).
For detailed information on the business background for pool agreements, see
Business Scenario for Pool Agreements
Use
Use pool agreements for collateralization of any number of receivables belonging to several pool banks. Normally, a pool bank can contribute more than one collateral agreements in a pool agreement. The poolbanks collectively define the terms of usage of the pool agreement with respect to the collateralized receivables.
You can create pool agreements for the following scenarios:
· If individual collateral agreements cannot sufficiently collateralize receivables of the bank.
· To minimize the risk exposure for the poolbanks involved in the business of granting loans and credits.
· For faster credit processing within the bank.
· To optimize the processes in managing same or different types of collateral agreements.
· For collective management and liquidation of collaterals in a scenario where independent financial institutions are involved in granting loans and credits.
· To simplify the usage of collateral for the borrower.
Structure
The master data specific to the pool agreements includes:
· Contractual parties
· Collateral agreements assigned to the collateral pool using the relationship type
· Collateral terms and collateralized receivables
· Distribution rules for allocation of collateral value of the collateral pool to the receivables
· House currency for the pool agreement (the system uses this currency in the calculation of the assessment value of the pool agreement)
· Mode of liquidation such as By a simple majority or In agreement with all pool banks
· Percentage of release threshold limit beyond which the pool agreement will be obliged to release collaterals from the pool
· Details of costs incurred in the pool agreement
· Documents assigned to the collateral pool
The general structure for pool agreements is the same as any other collateral agreement. For detailed information, see
Integration
The equations for the calculation functions for pool agreements will be different from those used for normal collateral agreements. For more information, see