Navigation:  GOLD Services > GOLD Services Screens > General Ledger Screen Group > GTPC Loan Funding Rules Screen > Setup of Loan Funding Rules

The steps for setting up GOLDTrak PC funding rules are as follows:

 

1.In order to determine what funding rules are needed, representatives from GOLDPoint Systems' Accounting, Loans, and GOLDTrak departments should outline the entire open new loan process for each loan product with your institution's staff members of the same three areas of expertise.

 

2.Once the transaction needs are determined, the team can outline which transaction codes (Appendix D) and field numbers (see GOLDTrak PC Field Numbers) should be assigned to each funding transaction. Then the team can apply GTPC Field Names or Good Faith Item Numbers to every transaction to be processed to the Loan, General Ledger, and Deposit systems.

 

3.Determine which GTPC Field Numbers are necessary with each transaction. There are three sources of GTPC Field Numbers:

 

•The first is to store the GTPC Loan Field Number. The GTPC Loan Field Number identifies the monetary field in the Loan system that should be affected by the transaction. For example, if we wanted to increase Remaining Deferred Fees with a transaction code 510 (Field Credit), we would see Field Number 235 (Remaining Deferred Fees).

 

•The second is to store the LIP Budget Description Code. The LIP Budget Description Code is used to describe the purpose for the LIP disbursement or increase. For example, perhaps an LIP Budget Description Code 801 was created to describe the disbursement of a deferred fee. Then the LIP disbursement transaction (tran code 430) would have an 801 in the Field Number field representing the disbursement for the Deferred Fee.

 

•The third is to identify which bank account number should be posted to for the Check Printing and Voiding funding rules. This is only necessary if your institution uses Posting Field 29 (Bank Account Number) in the organization options GLLN, GLDP, or GLOT. The Bank Account Number helps determine which Check Issued Account should be posted to for the type of check being processed.

 

 

7000: Non-Cash Payoff or In-House Refinance
8001-8025: Check Sequences 1-25

 

 

In the Category field on LIP Budget Description Codes, it is recommended that "GTPC" be entered to distinguish these codes from the other LIP items (as with true constructions loans).

 

5.The next step is to determine how many GTPC Rule Sets are necessary for funding. There are two reasons that a new Rule Set is required.

 

•First, if a G/L Debit or Credit transaction for the same GTPC Field Name or GFI# posts to a different G/L account, then an additional Rule Set is required. For example, the GTPC Field Name AH_PREM (representing an Accident and Health Insurance Premium) posts to G/L account 2090 BR for consumer loans. The same Field Name posts to 2091 BR for mortgage loans. This example would require two different Rule Sets, one for Sales Finance and one for Personal Property.

 

•The second reason for a different Rule Set deals with the open new loan transaction. GTPC requires that Rule #1 always be the open new loan transaction (tran code 680). Line of Credit loans use the GTPC Field Name LOC_OPENING_BALANCE (when the associated GTPC Field Name LINE_OF_CR = Yes) for the open new loan transaction, while every other loan uses LOAN_AMOUNT. Because the GTPC Field Name for Rule #1 differs between line-of-credit loans and regular loans, a separate Rule Set is required.

 

6.Begin creating the actual funding rules. Remember, Rule #1 in each Rule Set must be the Open New Loan transaction (tran code 680). There are two possible GTPC Field Names that can be used to open new loans.

 

•First when opening a line-of-credit loan the GTPC Field Name LOC_OPENING_BALANCE is used to carry the amount of the open new loan transaction. This field name is only used if the additional GTPC Field Name of LINE_OF_CR = Yes. A line-of-credit may be opened for an amount greater than or equal to zero.

 

•Second, for all other types of loans, the GTPC Field Name on the open loan transaction should be LOAN_AMOUNT. Generally, this debit transaction should be offset with a Field Credit (510 tran code) to the LIP Balance (loan field number 98). After funding is complete, the LIP balance will normally be zero (other than with true construction loans).

 

7.The GTPC Funding Rules always process two transactions: a debit and a credit. Generally, both transactions process by journal out/in (L-3 Net Journal by Transaction Origination Code (TORC) 0, D-3 Net Journal by TORC 347, or O-3 Net Journal by TORC 347). The Check Printing and Voiding Funding Rules process by Check Out (O-30 Check Out by TORC 347). It is necessary to enter a G/L account number only for transaction codes 1800 and 1810 (G/L Debits and Credits). For all other transaction codes, the system will determine the corresponding amount field and then read the Autopost Parameters to find the appropriate G/L account.

 

8.Each LIP check disbursement (Fee Checks and Loan Proceed Checks) should be offset with a G/L Credit transaction to the GTPC Check Clearing Account. Then, two funding rules should be set up per Rule Set for check printing and voiding.

 

•Rule #9000 for check printing. When GTPC Fee and Proceed checks are printed from GTPC Checkwriter, the Rule# 9000 will post a G/L debit (tran code 1800) to the GTPC Check Clearing Account and a credit to the Checks Issued Account (Autopost Amount Field O-30 Check Out).

 

•Rule# 9100 for check voiding with an 1800 tran code (G/L Debit) pointed to the GTPC Check Clearing Account and the Check Out checkbox selected (Credit to the Checks Issued Account). When GTPC checks are voided, Rule# 9100 will post a debit correction (credit) to the GTPC Checks Clearing Account and a credit correction (debit) to the Checks Issued Account (Autopost Amount Field O-30 Check Out).

 

•Remember that the Check Printing Funding Rule# 9000 should have the Check Transaction Funding Rule checkbox selected and the Void Check Funding Rule # 9100 will have both the Check Transaction Funding Rule and Void Check Funding Rule checkboxes selected.