Florida does not require institutions to waive miscellaneous fees or late charges that have been assessed within a certain number of days of the loan's payoff for renewal (unlike Kentucky).

Accrued Interest (Payment Method 6 and 16)

For interest-bearing accounts (payment method 6 and 16), Florida only allows 60 days of unpaid accrued interest as part of the payoff/renewal. Therefore, after you click Renewal/Pro-rate, the Payoff screen will reflect the new payoff amounts of only 60 days of unpaid accrued interest.

The Payoff screen will reflect any adjusted accrued interest after you click Renewal/Pro-rate.

Example:

Account 123456 was originated in Florida (LTSTCD = 12) and is more than 60 days late. The Date Interest Paid To is 05/12/2020 and today’s date is 12/15/2020 (days difference is 217).

To test this, we first need to know some details of the loan, such as:

•Principal Balance = 4,000

•Interest Rate = 26.97970

•Interest Calculation Method = 101 – 365/365 (This is the base of the interest calculation used. This is important when determining the Days Difference below.)

•Days Difference between Date Interest Paid To (05/12/2020) and Payoff Date (12/15/2020) = 217 (Tip: Use the Days Difference Calculator under Miscellaneous in the left tree navigation of CIM if you need help calculating the number of days. You can set the Days Difference using the base, such as 360, 365 (actual days).)

Then we use the following calculation to find the amount of accrued interest that has not been collected:

Accrued Interest = Principal Balance x Interest Rate x Days Difference from Date Last Accrued to Payoff Date / by base

4,000 * .26979 * 217 / 365 = 641.58 (rounding may vary slightly)

But if we check the Renewal/Pro-rate box, the system now calculates the accrued interest as only 60-days interest, as follows:

4,000 * .26979 * 60 / 365 = 177.40 (rounding may vary slightly)

Late Charges and Miscellaneous Fees (All loan payment methods)

If the Renewal/Pro-rate? field on the Loans > Payoff screen is marked, then late charges and miscellaneous loan fees will be calculated only if they are assessed or accrued within 60 days of the Payoff Date. Any late charges of fees assessed later than 60 days will be waived.

Example: If the Payoff Date is 08-01-20, then 60 days prior is 06-03-20. Only late charges and miscellaneous loan fees assessed or accrued during this period and not already paid will be collected at time of payoff.

Late Charges Details

•The program first checks the Date Last Assessed (LNLTDT) on the Loans > Account Information > Account Detail screen > to see if it is within the last 60 days.  

•If no, then any late charges assessed will be waived.

•If yes, then the program determines the amount of two late charges and compares this amount to what is in Late Charges Due (LNLATE) field. If what is calculated is greater than or equal to the assessed late charges, then the amount in Late Charges Due is the amount collected. Otherwise, the calculated amount is collected.

Miscellaneous Loan Fees

•The program checks all miscellaneous loan fee codes, which can be found on the Loans > Marketing and Collections screen > Delinquent Payments tab.

•If there is a remaining amount of miscellaneous fee codes, and the date last assessed is within 60 days of the Payoff Date, then that fee is collected at payoff.

Note: If there are fees that were assessed but never collected prior to the last 60 days from payoff, they are left on the account and must be waived manually.

Accrued Interest (Payment Method 6 and 16)

For interest-bearing accounts (payment method 6 and 16), Kentucky only allows 60 days of unpaid accrued interest as part of the payoff/renewal. Therefore, after you click Renewal/Pro-rate, the Payoff screen will reflect the new payoff amounts of only 60 days of unpaid accrued interest.

The Payoff screen will reflect any adjusted late charges, loan fees, and accrued interest after you click Renewal/Pro-rate, as shown below.

Accrued Interest (Payment Method 6 and 16)

For interest-bearing accounts (payment method 6 and 16), Florida only allows 60 days of unpaid accrued interest as part of the payoff/renewal. Therefore, after you click Renewal/Pro-rate, the Payoff screen will reflect the new payoff amounts of only 60 days of unpaid accrued interest.

The Payoff screen will reflect any adjusted accrued interest after you click Renewal/Pro-rate.

Example:

Account 123456 was originated in Kentucky (LTSTCD = 21) and is more than 60 days late. The Date Interest Paid To is 05/12/2020 and today’s date is 12/15/2020 (days difference is 217).

To test this, we first need to know some details of the loan, such as:

•Principal Balance = 4,000

•Interest Rate = 26.97970

•Interest Calculation Method = 101 – 365/365 (This is the base of the interest calculation used. This is important when determining the Days Difference below.)

•Days Difference between Date Interest Paid To (05/12/2020) and Payoff Date (12/15/2020) = 217 (Tip: Use the Days Difference Calculator under Miscellaneous in the left tree navigation of CIM if you need help calculating the number of days. You can set the Days Difference using the base, such as 360, 365 (actual days).)

Then we use the following calculation to find the amount of accrued interest that has not been collected:

Accrued Interest = Principal Balance x Interest Rate x Days Difference from Date Last Accrued to Payoff Date / by base

4,000 * .26979 * 217 / 365 = 641.58 (rounding may vary slightly)

But if we check the Renewal/Pro-rate box, the system now calculates the accrued interest as only 60-days interest, as follows:

4,000 * .26979 * 60 / 365 = 177.40 (rounding may vary slightly)

North Carolina does not require institutions to waive miscellaneous fees or late charges that have been assessed within a certain number of days of the loan's payoff for renewal (unlike Kentucky).

Accrued Interest (Payment Method 6 and 16)

For interest-bearing accounts (payment method 6 and 16), North Carolina only allows 90 days of unpaid accrued interest as part of the payoff/renewal. Therefore, after you click Renewal/Pro-rate, the Payoff screen will reflect the new payoff amounts of only 90 days of unpaid accrued interest.

The Payoff screen will reflect any adjusted accrued interest after you click Renewal/Pro-rate.

Example:

Account 123456 was originated in North Carolina (LTSTCD = 37) and is more than 90 days late. The Date Interest Paid To is 05/12/2020 and today’s date is 12/15/2020 (days difference is 217).

To test this, we first need to know some details of the loan, such as:

•Principal Balance = 4,000

•Interest Rate = 26.97970

•Interest Calculation Method = 101 – 365/365 (This is the base of the interest calculation used. This is important when determining the Days Difference below.)

•Days Difference between Date Interest Paid To (05/12/2020) and Payoff Date (12/15/2020) = 217 (Tip: Use the Days Difference Calculator under Miscellaneous in the left tree navigation of CIM if you need help calculating the number of days. You can set the Days Difference using the base, such as 360, 365 (actual days).)

Then we use the following calculation to find the amount of accrued interest that has not been collected:

Accrued Interest = Principal Balance x Interest Rate x Days Difference from Date Last Accrued to Payoff Date / by base

4,000 * .26979 * 217 / 365 = 641.58 (rounding may vary slightly)

But if we check the Renewal/Pro-rate box, the system now calculates the accrued interest as only 90-days interest, as follows:

4,000 * .26979 * 90 / 365 = 266.09 (rounding may vary slightly)

Virginia is identical to North Carolina above. Virginia does not require institutions to waive miscellaneous fees or late charges that have been assessed within a certain number of days of the loan's payoff for renewal (unlike Kentucky).

Accrued Interest (Payment Method 6 and 16)

For interest-bearing accounts (payment method 6 and 16), Virginia only allows 90 days of unpaid accrued interest as part of the payoff/renewal. Therefore, after you click Renewal/Pro-rate, the Payoff screen will reflect the new payoff amounts of only 90 days of unpaid accrued interest.

The Payoff screen will reflect any adjusted accrued interest after you click Renewal/Pro-rate.

Example:

Account 123456 was originated in Virginia (LTSTCD = 51) and is more than 90 days late. The Date Interest Paid To is 05/12/2020 and today’s date is 12/15/2020 (days difference is 217).

To test this, we first need to know some details of the loan, such as:

•Principal Balance = 4,000

•Interest Rate = 26.97970

•Interest Calculation Method = 101 – 365/365 (This is the base of the interest calculation used. This is important when determining the Days Difference below.)

•Days Difference between Date Interest Paid To (05/12/2020) and Payoff Date (12/15/2020) = 217 (Tip: Use the Days Difference Calculator under Miscellaneous in the left tree navigation of CIM if you need help calculating the number of days. You can set the Days Difference using the base, such as 360, 365 (actual days).)

Then we use the following calculation to find the amount of accrued interest that has not been collected:

Accrued Interest = Principal Balance x Interest Rate x Days Difference from Date Last Accrued to Payoff Date / by base

4,000 * .26979 * 217 / 365 = 641.58 (rounding may vary slightly)

But if we check the Renewal/Pro-rate box, the system now calculates the accrued interest as only 90-days interest, as follows:

4,000 * .26979 * 90 / 365 = 266.09 (rounding may vary slightly)