New given credit

Document type Given credits and leases company use for managing those kinds of documents where company gives credits and loans to other companies or individuals. In this chapter we have prepared user manual example where our own company gives credit to other company.

Case summary The person responsible wishes to create a Given credit document. On July 1st 2023. Company Tecta a.d. gave Alpha Trade CA Ltd. a credit in the amount of 20,000,000 EUR with a repayment term of 36 months, with the first 3 months being a grace period. Interest is calculated at 1% per annum and is added to the principal debt. Repayment is made after the grace period in 24 equal monthly installments. Opening the Given credit document Entering data in tab Header Preparing installments

1. Opening the Given credit document

The person responsible wishes to create a new credit document. For this purpose, in the Financials module is selected option Credits and Leases | Given . 

The document form GKR0 – Given Credits appears on the screen

To create a new document, the person responsible clicks the taskbar button  (Insert record). Among the navigation buttons a new record appears in the field 23-GKR0-??????, which receives a new serial number and is saved, when the button   (Post edit) is clicked.

In the next step, the data in the document header are entered:

• Clerk: Enters the clerk's name Adele Administrator, by typing the first letters of the persons name or by choosing from the list that the program has generated based of contact persons entered in the Subjects register.
• Document date: Specifies the date of the document 1.07.2023.
• Status: Defines  the status of the document from the list.
• Note: Writes the note for this specific document

2. Entering data in tab Header

The person responsible starts entering the data in the tab Header:

• Subject: Alpha Trade CA Ltd, the subject to whom the company gave the credit
• Date of Approval: 01.07.2023., the date of credit approval, the data specified in the credit contract.
• Repayment Start: 01.10.2023., the actual start date of loan repayment.
• Loan Start: 01.10.2023., the date when interest calculation starts.
• Months of Moratorium: 3 months, the number of months for moratorium on pay back of the principal.
• Interest Rate: C1, this is a code that is selected from the drop down menu and it was previously entered in the Interest rate Markups  
• Currency: EUR, because the credit is in foreign currency, the person responsible selects it from the drop down menu.
• Principal: Enters the loan principal value
• Format: Credit, from the document type register
• Repayment Type: Equal Annuity, the data specified in the credit contract
• Interest Rate Calculation Method: Monthly. Selects for what kind of an instalment type it goes. In this case 12 moths per year.

Next step is creating installments

3. Preparing installments

After making sure that all the details in tab Header are correct, the person responsible clicks the button Prepare Installments.

Now, credit given to Alpha Trade CA Ltd has all the essential data: Total Credit, Outstanding and tab Installments has all 36 Installments.