Overview

This screen is the financial heart of the loan creation process. Here you will define the capital amount, calculate the cost of credit (including interest and fees), review affordability metrics, and configure instalment and insurance details.

Important: The "Loan Calculation" screen is specifically designed for One-Month Loans.

Prerequisites & Required Permissions

To access all features on this screen, an administrator may need to activate the following resources for your user role:

• Advanced Loan Calculation Button: Enables access to advanced calculation features.
• Enable Loan Cap: Allows the use of loan capping functionality.

Navigation

This screen is the second step in the New Loan wizard, following the "Loan Product and Status" page.

1. Navigate to Client Administration > Search for Existing Client.
2. Select the desired client and click New Loan.
3. Complete the first screen and click Next.

Field Descriptions

The screen is divided into several sections detailing the financial components of the loan.

Loan Totals

• Application Date: Displays the date the client applied for the loan. This field is not editable on this page.
• Agreement Date: Displays the date the client signed the loan agreement. This field is not editable on this page.
• Custom Reference: An optional field to enter a custom reference number, such as a recorded call ID. This reference can be included in the final loan agreement document.
• Loan Amount: Enter the principal capital amount the client is borrowing.
• Enable Loan Cap: Tick this box to apply a loan cap based on a percentage or method.
• Loan Cap Percentage: If Loan Cap is enabled, enter the percentage for the cap.
• Loan Cap Method: If Loan Cap is enabled, select the method for applying the cap.

Cost of Credit

• Interest Rate: The interest rate applied to the loan, determined by the selected loan product (e.g., Simple, Compound).
• Interest Amount: The total calculated interest amount repayable by the client.
• Override Initiation Fee Calculation: Tick this box if you need to manually enter a different initiation fee amount than the one calculated by the system.
• Initiation Fee: The calculated initiation fee. This field becomes editable if the override checkbox is selected.
• Total Initiation Fee: The total initiation fee including VAT, if applicable.
• Charge First Monthly Service Fee: Select if the first monthly service fee should be charged.
• Charge Pro Rata Final Monthly Service Fee: Select if a pro-rata portion of the final monthly service fee should be charged.
• Monthly Service Fee (ex/incl VAT): Displays the monthly service fee amount.
• Total Monthly Service Fee (ex/incl VAT): Displays the total service fees for the loan term.
• Charge Fees and Interest when "in Default": Select if additional charges should apply after the loan enters a default state.
• In Days: If charging for default, specify the number of days after the final due date before default interest is applied.

Affordability

This section displays affordability information based on credit checks and system calculations.

• Available for Instalment: The total amount the client has available for a new instalment.
• Credit Control / Overall Cap Amount Available: Displays credit availability based on internal credit control limits.

Instalments

• Number of Instalments: This will be set to 1 as this screen is for one-month loans.
• Override First Instalment Date: Tick this box to manually set the repayment date. If not selected, the system will calculate the date based on the loan term.
• First Instalment Date: The date the repayment is due. Use the calendar icon to select a date if the override is enabled.
• Final Instalment Agree Amount: The total amount payable for the single instalment.

Credit Protection Insurance (CPI)

• Credit Protection Insurance Premiums: The total premium for CPI, excluding VAT.
• Total Credit Protection Insurance Premiums: The sum of the CPI premiums, including VAT if applicable.
• Self Insurance: Select if the Credit Provider is paying the insurance premium on behalf of the client, with the cost charged to the loan. (Requires the Credit Protection Insurance Self Insurance permission).
• External Policy: Select if the client has provided their own external insurance policy, in line with NCA section 106(4). (Requires the Credit Protection Insurance External Policy permission).

Available Actions

• Calculate Loan Values: After entering or changing any financial values (like Loan Amount or fees), click this button to refresh all calculations on the page.
• Next: Once you are satisfied with all the loan calculations, click this button to proceed to the next step of the wizard.