Payoff: Administration Data

Use

On the Administrative Data tab, you can specify the payer and payment details and enter data for offering a termination agreement as well as for giving notice on a loan if necessary.

For more information, see Payoff .

Procedure

  1. The section headed Payer(ee)/Payment Data contains the Payer of the payoff. The main borrower is entered here by default. However, you can specify a different partner as the payer for the payoff, as long as this partner is assigned to the contract with a customer role.

    You choose the Bank Details ID by means of the Partner Bank Type specified in the business partner master record.

    You can change the default proposal for the Payment Method .

    Note Note

    You can define a default proposal for the Payment Method field in the IMG activity Define Template.

    End of the note.

    If you set the Incoming Payment Distribution Block , the system automatically sets this block in the contract when you activate or post the payoff. The block prevents the open items for the loan from being cleared automatically by incoming payments. Instead, the system posts the incoming payments to the contract as overpayments, unless there are other loans in the same incoming payment distribution level to which postings can be made. It is still possible to process direct debits and payment postprocessing. You must reset the indicator in the contract manually, except when you delete or reverse the payoff.

    Note Note

    You can define a default proposal for the Incoming Payment Distribution Block in the IMG activity Define Template.

    End of the note.

    You can use the Incoming Payment indicator to have an incoming payment generated automatically when the payoff is posted, for example if you intend to withhold the payment from an employee's salary.

    Note Note

    You can define a default proposal for the Incoming Payment field in the IMG activity Define Template.

    End of the note.

    You can use the Payment Data According to Conditions field to copy payment data for the flows for the proportional and regular installments, such as the payer and the partner bank details, from the conditions.

    If you set the Block From Payoff indicator the system prevents the open items in the loan from being cleared automatically by incoming payments. This payment block affects the documents generated in connection with the payoff.

    You can use the Dunning Lock indicator to exclude all of the documents generated by a payofffrom the dunning run and from the dunning interest calculation. If you do not set this indicator, you can use the Dunning Area indicator to organize the dunning procedure for the documents generated by the payoff.

    Note Note

    You can define a default proposal for both fields in the IMG activity Define Template.

    End of the note.

  2. In the section headed Other Data you set the Posting Control Key indicator, which determines whether the debit items are generated from the planned records automatically or manually.

    Note Note

    You can define a default proposal for the Posting Control Key in the IMG activity Define Template.

    End of the note.

    If you want to exclude the whole loan contract from the dunning run, select the Exclude from Dunning indicator.

    Note Note

    You can define a default proposal for the Exclude from Dunning indicator field in the IMG activity Define Template.

    End of the note.

    You use the Payment Transaction indicator in conjunction with the settings for account determination to control whether or not a flow is a payment transaction. You should make the corresponding account determination settings as follows:

    • If this indicator is not set, the postings are made via clearing accounts.

    • If the indicator is set, the postings are made via customer accounts, in other words, via the payer. This allows you to generate corresponding payments using the customer payment programs.

    • If a product type is not posted to customer accounts in a particular company code (that is, if the value of the FI posting field is not "3" in the IMG activity Company Code-Dependent Settings for Product Type ), the postings are always made via clearing accounts. In this case, the indicator is ignored.

      Note Note

      You can define a default value for the Payment Transaction indicator in the IMG activity Start of the navigation path Define Condition Groups Next navigation step Assign Flow Types to Condition Groups per Application. End of the navigation path

      End of the note.

  3. In the Offer section, the Offer on field defaults to the current date. This field is used as a basis for determining the acceptance date for the termination contract, which appears as the default value in the Offer to field. The Offer to Date is the date up to which the offer is valid for this contract. You can change this data if necessary.

    Note Note

    You specify the acceptance period for the offer in the IMG activity Define Template by entering the number of time units in the Accept.Period field. You enter the corresponding time unit (days, months or years) in the Time Unit field.

    End of the note.

    You can enter the date on which the termination contract offer was accepted by the lender in the Accepted on field.

  4. If the lender gives notice on the loan, you can enter the notice date in the Notice section If the lender gives notice on the loan in conjunction with legal measures, you enter the date of the related correspondence in this section as the notice date.

    In addition, you can select a Notice reason on the part of the lender from the possible entries. The Rejection Reason field is available for entering the lender's reason for rejecting a termination contract offer. You can enter the reason the payer gives for the payoff in the Payoff Reason field.

    Note Note

    You define the possible reasons the lender may have for giving notice on the loan in the IMG activity Define Reasons for Notice.

    In the IMG activity Define Payoff Reasons you can define the possible reasons a payer may have for paying off the loan. You define the reasons a lender may have for rejecting a payoff in the IMG activity Define Rejection Reasons.

    Under Define General Control Data you can control whether or not the payoff or notice reason, which you enter here if applicable, is to be transferred to the field Notice Reason in the condition header.

    End of the note.