Overview

This section discusses the process of setting up a loan facility within Finvisage. It further covers various fields and structures that go towards setting up a loan facility.

Navigation

From the side panel, select Loan facility to navigate to the blotter for the same.

Select the + button from the menu icon on the bottom right to add new loan facility 

Steps - create a loan facility

1. Select the type of loan facility - Unsecured loan, General secured loan, Specific charge loan.

2. ROC reference number - the ROC reference number refers to the registered number with Registrar of companies. 

3. Entity - the legal entity of the user's organisation that is booking the loan facility

4. Counterparty - the bank or financial institution that the user's entity is booking the facility with (dropdown based on Masters setup)

5. Loan account - refers to the unique id provided by bank or financial institution referring to this facility. to be setup within the Masters

6. Operating account -  refers to the bank account of the user's organisation that will be used to pay back the principal and interest (to be setup within the Masters)

7. Payment account -  refers to the counterparty's bank account to which the payment shall be debited. (to be setup within the Masters)

8. Start date and End date define the period of the loan facility

9. Facility amount -  the total facility amount available to the client organisation

10. Total security cover - the total security provided

11. Interest rate slabs - set up the interest rates in slab format

Interest rate slabs can be set up by entering the start date , end date and type of slabs within the system.
Finvisage allows the user to set up both fixed and floating interest rates. Floating interest rates require benchmarks to be set up prior within the Masters section.

Click on New Interest Rate Slab to add the desired number of slabs.This slab is editable and can be changed from the date of last actual interest payment, even while the loan facility is in effect. This will allow users to manage negotiated rate changes within Finvisage.

In cases of multiple interest refixing periods,please do not click on create before all interest slabs are input. 

12. Covenant default interest rate - defaulting rate for missing any covenant other than payment

13. Payment default interest rate - the penal interest rate for missing payment dates 

14. Security trustee - Name of the trustee 

Setting up drawdowns

Once the loan facility is set up, the user is allowed to add drawdowns as long as the sum of amounts disbursed within all drawdowns is less than the loan facility amount.

Click on Add Drawdown within the Drawdowns side panel.

Enter the drawdown details captured in the screen shown below to add a drawdown to the loan facility.