OBCL: LFDACFIN- Amortization Fee Schedules Remains Unchanged On Reversal Of Payment (Doc ID 3005149.1)

Last updated on FEBRUARY 19, 2024

Applies to:

Symptoms

On : 14.7.0.0.0 version, Implementation Support

ACTUAL BEHAVIOR
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LFDACFIN- Amortization Fee Schedules remains unchanged on reversal of payment

Fee Amortization schedules are created using LFDACFIN for a loan. calc start date and end date are same as Loan Value date and maturity date.
System has correctly defined the Fee Amortization schedules using PRINCIPAL EXPECTED as the BASIS. User makes a partial repayment of principal thus the basis amount gets reduced.
After the payment system correctly redefines the Fee Amortisation Schedules.

If user Reverses the payment , the Fee Amortization Schedules does not revert to its previous definition even though basis amount , Principal outstanding has been successfully restored.

EXPECTED BEHAVIOR
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Post Payment Reversal FEE Amortization schedule should also revert back to original value

STEPS
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The issue can be reproduced at will with the following steps:
 1. Create a loan using a product that has Accrual Fee Setup & Setup entries for FACR – AMND_FEE
 2. CREATE LOAN CONTRACT FOR 12 MONTHS
3. CREATE ADHOC FEE LFDACFIN
4. MAKE PARTIAL PRINCIPAL REPAYMENT FOR 4 SCHDULES OLDPMNT
5. CHECK THAT THE FEE ACCRUAL SCHEDULES GOT RECOMPUTED DUE TO BASIS AMOUNT CHANGE.
6. REVERSE THE PAYMENT
7. CHECK THE FEE ACCRUAL SCHEDULES

BUSINESS IMPACT
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The issue has the following business impact:
Due to this issue, users cannot find any change in Fee schedule post reversal

Changes

Cause

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