Teller System > Transactions > Loan Transactions > Loan Transaction Codes > Tran Code 2510-04, Curtailment from Partial Payment

This transaction runs automatically in the afterhours and will debit any Partial Payments (tran code 500) and automatically credit the principal balance (tran code 510) as a curtailment at the same time. This transaction is only for mortgage loans.

This transaction processes each transaction separately, and they will appear in history as two separate transactions.

Note: Institution option OPPP PPPC (Partial Payments–Pay Curtailment?) must be set up in order for this transaction to run. After paying all full payments (and fees and late charges if the appropriate options are set), the system will post any excess funds as a principal decrease (only on loans not sold to an investor (Percent Sold equal to zero)). After bringing the loan current, paying the late charges and fees (according to the option), and paying the loan ahead (according to the option), any remaining funds will be posted to pay down the principal. (Current means the due date is greater than or equal to today (the run date).)

See the Partial Payment Options topic on the Loans > Account Information > Account Detail screen for more information.