Navigation:  Loan Screens > Account Information Screen Group > Precomputed Loans Screen > Options field group > Acquisition Charge Amount

Entry: User, drop-down

F/M: Yes

Mnemonic: LN78AA

Screen: Loans > Account Information > Precomputed Loans screen

 

The charge amount is used in the calculation of rebated interest.

 

Example:

a. Original finance charge is 100.00.

b. Calculated amount to amortize refund is 100.00 - 20.00 = 80.00.

c. Calculated refund is 80.00, amortized at rule of 78s.

d. Earned is (a - c).

 

Acquisition charge is $20.00.

 

If the acquisition charge is greater than the original finance charge, there is no refund.