Line of Credit Maintenance

Overview of IL802

Line of Credit Maintenance may be used either to establish a new line of credit or to modify an existing line of credit.

• From the DDI Connect main menu, double-click Financial Services
• Double-click Line of Credit
• Double-click Transactions
• Double-click Line of Credit Maintenance. You will see this screen:

Adding a New Line of Credit

To add a new line of credit, click the Add button on the toolbar. Your screen will now look like this:

There are several tabs available on this screen.

Summary tab

The Summary tab appears as such:

The following fields are available on this screen:

Field	Description
Credit limit	Maximum amount that can be advanced to the borrower
Account	Type the borrower's account number
Last interest post date	Example
Last advance	Example
Credit balance	Any advanced dollar amount yet to be repaid for this line of credit
Interest due month	This field is calculated throughout the month to reflect the interest applied month-to-date. If a transaction happens in the middle of the month this value is not the monthly interest amount.
Interest now posted	Interest currently posted to this line of credit
Actual interest due	Accrued but unpaid interest balance for this line of credit
Due amount	The Due amount reflects that last posted prepaid/past due amount. It only gets updated when IL823 is processed in update mode or a payment is made. Therefore in the middle of the month, IL823 will NOT match what is displayed on the screen, because the line is not yet due. The total amount of monthly interest calculated at the end of each month less the total interest amounts associated with each line-of-credit payment received. At the end of each month the interest attributable to that month is calculated, interest is deemed due by the beginning of the next month. This gives the borrower 30 days to send in payment before the interest amount is considered delinquent
Refund amount	Current refund balance for this line of credit
Maintenance fee due	Current maintenance-fee balance for this line of credit

To enable the additional fields on this screen, enter the credit limit and account information, then click Save. Now, click Edit. The additional fields activate:

Amounts tab

When you click the Amounts tab, you will see this screen:

The following fields are available on this screen:

Field	Description
Advanced YTD	Total dollar amount advanced to the borrower during the current year
Advanced total	Total dollar amount advanced to the borrower on this line of credit
Adv fees paid YTD	Total advance fees paid by the borrower for the current year
Adv fees paid total	Overall total advance fees paid by the borrower
Maint fee paid YTD	Total maintenance fees paid by the borrower during the current year
Maint fee paid total	Total maintenance fees paid by the borrower on this line of credit
Principal paid YTD	Total principal paid by the borrower during the current year
Principal paid total	Total principal paid by the borrower on this line of credit
Interest paid YTD	Total interest paid by the borrower during the current year so far
Interest paid total	Total interest paid by the borrower on this line of credit

Settings tab

When you click the Settings tab, you will see this screen:

The following fields are available on this screen:

Field	Description
Delinquent	Whether the selected line of credit is currently delinquent on interest payments (yes/no). Display only
Advance fee rate	Percentage deducted from the advance amount for an advance fee, if applicable
Times delinquent	Number of instances that the line-of-credit record has switched from current to delinquent status. Display only
Maint fee rate	Percentage deducted from the advance amount for a maintenance fee, if applicable
Line type	Whether the credit extended to the borrower is secured or unsecured, if known. Impacts general-ledger account usage
Interest rate	Overall interest rate for the line of credit
Monitor	Individual responsible for monitoring activity for the selected line of credit. Click the drop down arrow to select from a list of active monitors in the system
Base interest rate	Minimum interest rate to be charged to the borrower
Interest method	Base assumption of the number of days in a month for purposes of calculating interest on the selected line of credit. One selection uses the actual number of days in the month, calculating more interest due in longer months. The other selection assumes that each month contains 30 days, calculating the same amount of interest due each month
Approved	Date when the line of credit was approved or will be approved to begin issuing advances
Rate adjust method	Method used to periodically adjust the interest rate of the selected line of credit. Users select whether the line of credit interest rate goes through a periodic adjustment process similar to loans. Click the drop down arrow to select the adjustment method
Expire	Date when the line of credit is no longer eligible to issue advances. Enter the date in mm/dd/yyyy format
Adjust freq (months)	Frequency with which the interest rate of the line of credit is eligible for adjustment. Enter the frequency in months (i.e., 12, 24, 36, etc.)
Next adjust	Next interest-rate adjustment date for the selected line of credit
Currency	Currency selection used to ensure that partial payments are not applied to lines of credit with different currency codes. One borrower may have multiple lines of credit, for example. But instead of supplying multiple checks, the borrower may send in one large check to be processed across the different lines. If the check has been written using U.S. funds, DDI-Connect will ensure that only lines of credit with a U.S. currency code can receive partial payments. Click the drop down arrow to select the currency
Active	Whether or not the selected line of credit is currently active (yes/no). This field is maintained by the user. Lines of credit can reach a balance of $0.00 but still remain eligible for advances. Your organization determines when the line of credit is no longer active and must change the active value from yes to no

Routing tab

When you click the Routing tab, you will see this screen:

The following fields are available on this screen:

Field	Description
Routing Number	Bank routing number serving as the destination for advances, payment receipts, and refund payments
Bank Account	Bank account number serving as the destination for advances, payment receipts, and refund payments
Account Type	Whether the account identified in the Bank Account field is a checking or savings account. Click the drop down arrow to select the account type
Transmission Type	Encoding method used for automated fund transmissions to and from the account. Click the drop down arrow to select the transmission type

Support tab

When you click the Support tab, you will see this screen:

This screen displays any supporting investments associated with this Line of Credit. It is a display only screen.

When you have finished entering all of the information, click Save to retain your changes.

View Button

If you click the View button on the toolbar, you will be taken to the Transaction Inquiry screen for this line of credit. When you have finished viewing the transactions, click Exit to return to the Line of Credit maintenance screen.

Memo Button

If you click the Memo button on the toolbar, you will be taken to the Memo screen, where you can add or modify memos associated with this line of credit.

Account Button

If you click the Account button, the system will launch the borrower's Account Entry screen in view mode. When you have finished viewing the account, click Exit to return to the Line of Credit maintenance screen.

Editing an Existing Line of Credit

To edit an existing line of credit, type the line number and click Find or click the list icon to select from a list of line of credit accounts. When the line of credit information populates the screen, click Edit to activate the fields for editing:

When you have finished making your changes, click Save to retain them.