• The system calculates and debits the net withdrawal amount to the time deposit account

• The system calculates the early withdrawal penalty and the administration charge and debits these to the time deposit account.

• Disburses the net withdrawal amount in cash or transfers it to a customer account

   Note

  You must define the disbursement type and the counterparty in the early withdrawal on the Payment Advice tab page.

  End of the note.

• If you have selected the Generate Correspondence checkbox, the system creates the corresponding correspondence.

• Calculates the credit interest and credits this to the time deposit account Calculates the credit interest according to the financial condition that is defined in the time deposit account

   Note

  If you have defined conditions for periodic charges in the time deposit account (for example, account maintenance charge), the system calculates this also and debits it to the time deposit account.

  End of the note.

  

  Time deposit without and with regular settlement during the term

  The system calculates the credit interest using the balance of the time deposit account. It either uses the period from the start date of the time deposit to the value date of the withdrawal (time deposit without settlement), or the period from the last regular settlement date to the value date of the withdrawal (time deposit with settlement).

• The system includes the existing info items. These can, for example, be charges that the system is to debit to the time deposit account at a later time.

• The system calculates the early withdrawal penalty and the administration charge and debits these to the time deposit account

• The system disburses the resulting balance of the time deposit account or transfers it to a customer account.

• If you have selected the Generate Correspondence checkbox, the system creates the corresponding correspondence.

Full Withdrawal with Closure

When you activate early withdrawal, the system executes this directly (see above), creates an account closure, and activates it. On the SAP Easy Access screen, choose  Financial Services Account Management Periodic Tasks Account Closure Execute Due Account Closures and execute account closure.

Administration charge and early withdrawal penalty

• Administration charge

  The system calculates the amount using the corresponding condition type in the contract. The condition type is based on the condition category 115020 - Event Controlled Condition, which is assigned to the differentiation categories 006 - Feature and 090 - Origin of Early Withdrawal. You can thus use the origin to select the administration charge.

• Early withdrawal penalty

  The system calculates the amount with the BAdI: Calculation of Early Withdrawal Penalty:

  • Calculation with the standard implementation

    In the standard implementation, the system calculates the amount using the corresponding condition type in the contract. The condition type is based on the condition category 115070 - Early Withdrawal Penalty, which determines the calculation basis for the condition. You can, for example, specify that the system calculates the early withdrawal penalty as a percentage of the interest that is incurred from the term start of the time deposit agreement until the withdrawal date.

  • Calculation using your own BAdI implementation

    If you are using your own BAdI implementation, you can calculate the early withdrawal penalty differently. The BAdI enables you to specify for an early partial withdrawal whether the system generates early withdrawal penalties for a time deposit account as payment items or info items.

    • Payment items

      If the system generates the total early withdrawal penalties as payment items, it includes this in the gross or net amount. The system debits the time deposit account with the early withdrawal penalty at the same time as the early withdrawal.

    • Information items

      If the system generates the total early withdrawal penalties as info items, you can specify that the system does not include these in the gross or net amount. The system generates the total early withdrawal penalties as info items for the next settlement. The system debits the time deposit account during settlement with the total amount of the early withdrawal penalties.

       Note

      The system capitalizes the total amount of the early withdrawal penalties as info items on the time deposit account until the next regular settlement. This can be on the maturity date of the time deposit or if the time deposit has an interest capitalization, a periodic settlement during the term of the time deposit.

      In the settlement, the system calculates the credit interest for the time deposit account. You can restrict the early withdrawal penalty that the system debits to the time deposit account to the credit interest amount.

      In the Customizing activity Assign Condition Types for Accrual/Clearing of Info Items, you can specify this.

      If the early withdrawal penalty is higher than the credit interest, the system generates the difference automatically as info items for the next settlement. On the maturity date of the time deposit, however, the system debits the total amount to the info items that the time deposit account still has.

      End of the note.

    The system, therefore, does not debit the time deposit account with the early withdrawal penalty on the withdrawal date.

   Example

  A customer has a time deposit account with an amount of EUR 25,000. The system calculates an early withdrawal penalty of EUR 65 and an administration charge of EUR 10. The system debits the calculated net withdrawal amount and the administration charge to the time deposit account. The early withdrawal penalty that the system generated as an info item does not debit the time deposit account.

  • Net withdrawal amount

    The customer would like to withdraw a net amount of EUR 10,000. The result is as follows:

    • EUR 10,000 net withdrawal amount (requested)

    • EUR 10,010 gross withdrawal amount

    • EUR 14,990 remaining balance on the time deposit account

  • Gross withdrawal amount

    The customer would like to make an early withdrawal of a gross amount of EUR 10,000. The result is as follows:

    • EUR 9,990 net withdrawal amount

    • EUR 10,000 gross withdrawal amount (requested)

    • EUR 15,000 remaining balance on the time deposit account

  End of the example.

  • Calculation base

    Using the BAdI: Calculation of Early Withdrawal Penalty, you also specify the calculation basis that the system uses to determine the early withdrawal penalty. In the standard implementation, the calculation basis is the balance of the time deposit account. If you are using your own BAdI implementation, you can, for example, also specify the calculated gross or net amount as the calculation basis.