Navigation:  Loan Screens > Account Adjustment Screen > Modify Account field group > New Payment Amount

Entry: User, numeric

F/M: Yes

Mnemonic: LNPICN

Screen: Loans > Account Adjustment screen

 

This field has multiple uses. You can enter new information in the New Term field to recalculate a new payment amount that will show in this field. You can also enter a new payment in this field to recalculate a new term. The amount in this field is the portion of the regular payment that is divided between the amount to interest and amount to principal.

 

Click <Recalculate> and the new amount or term will appear (depending on which field was entered).

 

When you click <Save Changes>, any changes you made to the New Payment Amount field will appear in the P/I Constant field in the Current Account Information field group.

 

If modifying an account, the following criteria must be met (unless a certain institution option is set):

 

•The New Payment Amount must be at least half of the previous payment amount (PI Constant).

•The New Payment Amount must be greater than the minimum payment based on the New Interest Rate.

•The New Interest Rate cannot be greater than the Original Interest Rate.

•The New Payment Amount cannot be greater than the Original Payment Amount.

•If determining a New Payment Amount based on a desired New Term, the system will determine the minimum payment amount of the New Payment Amount so that the loan can be paid off according to the New Term.

•For accounts in bankruptcy, the New Payment Amount must be greater than $20, unless the RCNP option is set.

 

If any partial payments exist on the loan and you try to adjust the payment amount of a loan for less than the amount of partial payment (see Applied To Payment field description), the following message appears:

 

"The new P&I of $XXX.XX is less than the partial payments made ($XX.XX). Would you like to automatically advance the due date and reduce the partial payment amount by the new P&I?"

 

•If you click <Yes>, the system will reduce the Applied To Payment (also known as Partial Payments) amount by the amount entered in the New Payment Amount field. The system will also advance the Due Date by one frequency.

 

•If you click <No>, the system will close the message and clear the amount you entered in the New Payment Amount field.

 

To change the payment and the term:

 

1.In the New Term field, enter a new total term minus the number of payments already made.

2.Click <Recalculate>.

The adjusted payment amount will appear in the this field.

3.Enter a reason in the Reason for Payment Adjustment field.

4.Click <Save Changes>.

 

To calculate a new term:

 

1.Enter a new payment in this field.

2.Click <Recalculate>.

3.Enter a reason in the Reason for Payment Adjustment field.

4.Click <Save Changes>.

 

Note: See the GOLDPoint Systems Only box on the Modify Accounts field group for institution options that affect the New Payment Amount.

 

Field-level security options are available to restrict users from file maintaining this field.

 

Note: If your institution uses institution option OPCO COPI, changing the P/I Constant on the loan will cause the system to apply Special Comment Code "CO" (account adjustment) on the account during monthend credit reporting.

 

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