Loan Types/Rates/GL Accounts
Overview of IL460
Loan Type/Rate/GL Maintenance controls the general-ledger accounts affected by changes in loan principal balances. When Adjustable Mortgage Processing (IL448) changes a loan’s interest rate, this can also modify the G/L account in which the loan’s current principal balance and subsequent changes to principal are categorized. This setup application allows you to maintain how different combinations of loan types and interest rates impact your general ledger. IL448 creates journal entries, when necessary, to transfer principal balances from one general-ledger account to another.
- From the DDI Connect main menu, double-click Financial Services
- Double-click Loan
- Double-click Setup
- Double-click Loan Type/Rate/GL Maintenance. You will see this screen:
Please note that what you see on this screen will depend entirely on what your organization has already set up in this area.
- To add a new item, click the "Add" button on the toolbar. The fields now become active for editing:
| Field | Description |
|---|---|
| Loan Type | Loan categorization as defined in Loan Type Maintenance (IL440). Click the list icon to the right of the field to select from a list of available loan types. For information on how to set up loan types, reference this page: Loan Type Maintenance |
| Rate | Interest rate to which the selected loan type and G/L account apply. When a loan’s interest rate changes, the system looks for the last loan type/interest rate combination where the interest rate listed is less than or equal to the proposed, new interest rate. The G/L account listed is the destination for the transferred principal |
| GL | General-ledger account affected by principal balances for loans with this combination of loan type and interest rate. You can type in the GL number or click the list icon to the right of the field to select from a list of available GL numbers |
When you have entered the information, click Save to retain your changes.
