OBCL:: PRE PAYMENT PENALTY AMOUNT IS WRONG (Doc ID 3050569.1)

Last updated on OCTOBER 02, 2024

Applies to:

Symptoms

On : 14.6.0.5.0 version, Implementation Support
Patch set : 14.6.0.5.0 , Maintenance line

ACTUAL BEHAVIOR
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OBCL:: PRE PAYMENT PENALTY AMOUNT IS WRONG

Bank is using OBCL for corporate customers and has a practice of collecting prepayment penalty on the principal paid. For the same we have configured 1% pre payment penalty charge for all principal amount paid for the contract.

Observation: Bank is facing issue on the prepayment penalty amount which is wrong. As and when customer pays the principal amount, system should take the pre penalty on the principal paid on the day.

Note: Debugs of all the actions are attached along with simulation screenshots and spool for product and contract level.

EXPECTED BEHAVIOR
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prepayment penalty amount should be correct.

STEPS
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The issue can be reproduced at will with the following steps:
Step 1: Take any existing account or new account from OLDTRONL.
Step 2: Do the payment in OLDPMNT
Step 3: Give account number
Step 4: Change the limit date .
Step 5: Click on P button
Step 6: Check for charges tab in OLDPMNT.
Step 7: Give the amount which need to be paid on the amount paid.
Step 8: Click on S button.
Step 9: Click on save.
Step10: Authorize with checker accordingly.

BUSINESS IMPACT
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The issue has the following business impact:
Due to this issue, prepayment penalty amount is wrong

Changes

Fix has been provided by commenting the validation to enable Prepayment penalty for Amort loan.

Changes are done to calculate Prepayment penalty amount based on user provided penalty rate. 

Cause

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