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?Renewal/Pro-rate |
  
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Navigation: Loan Screens > Payoff Screen > Balances tab > Payoff Fields field group >
?Renewal/Pro-rate
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?Renewal/Pro-rate |
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Entry: System, checkbox
F/M: No
Mnemonic: PORNWL
Screen: Loans > Payoff > Balances tab
This field indicates whether a rebate will be made to the customer for the remainder of the month (multiplying the Per Diem by the number of days remaining in the month) when the loan is paid off. This field is used with precomputed and signature loans (Payment Methods 3 and 16).
If Institution Option CPRP is enabled and this field is marked, all Prepayment penalties will be cleared from the payoff. If Institution Option OP15 IRFP is set and this field is marked, the system will calculate the interest rebate on precomputed accounts the same as it would for a cash payoff. This field will be ignored.
If the Use Anniversary of 1st Due Date field on the Loans > Account Information > Precomputed Loans screen is marked, the amortization of the unearned interest and the payoff refund is calculated as follows:
•If this field is marked, the interest is pro-rated based on the actual number of days during the period from the date opened to the first due date. After the first due date, the number of days is based on a 30-day month.
•If Institution Option RDPM is enabled and this field is marked, the system will look at the Rebate Rule Days field on the Loans > Account Information > Precomputed Loans screen when calculating an interest rebate. If the loan is paid off before the first due date, the system uses the opened date plus the Rebate Rule Days to determine the date to start refunding. After the first due date, the Rebate Rule Days are added to the day the loan opened or is first due.
See the Per State Renewal Calculations help page to learn more about renewal calculations for Florida, Kentucky, and North Carolina.
Note: If you are institution 364 or 366 and the Interest Rebate Method field on the Loans > Account Information > Precomputed Loans screen is equal to 0 or 3 (precomputed loans only), this field will not allow the system to prorate interest even if marked.
See also: