How to Open a Loan Account in Finacle

Loans Account Opening 

So,Lets understand,

    What is Loan?

A loan is the act of giving money, property or other material goods to another party in exchange for future repayment of the principal amount along with interest or other finance charges. A loan may be for a specific, one-time amount or can be available as an open-ended line of credit up to a specified limit or ceiling amount.

            In Banks for Disbursement of Loan a Loan account in opened in Finacle.

In Finacle for Opening a loan account there are different details which a person had to fill for opening Loan Accounts.

• G-DETAIL  OR   GENERAL DETAILS

• S-DETAIL  OR   SCHEME DETAILS

• I-DETAIL    OR   INTEREST DETAILS

• H-DETAIL  OR   LIMIT/SANCTION DETAILS

• V-DETAIL  OR    MIS CODE DETAILS

• E-DETAIL  OR    REPAYMENT DETAILS

• 5-DETAIL  OR    DOCUMENT DETAILS
• 6-DETAIL   OR    DSA DETAILS

Tip: You can remember these details by a simple trick i.e. by naming them as 

         GIVSHE56

So,Lets Open the Account.

For Every Type of Account Opening
Menu Option	OAAC

• Go to Menu option and enter option OAAC. The following screen will appear:

• Enter Customer ID & Press F11 for validating Customer’s Name
• Enter appropriate Scheme Code & GL Sub-head Code Press F4. Then following screen will appear
• For every account opening of Loans the General, Scheme, Limit Details, Interest, MIS and Repayment Schedule Details are mandatory.

• The above 1st Screen of General Details will appear then enter the details like mode of

          operation, location code etc. Then Press F6 for next screen.

• The above 2nd Screen of General Details will appear then enter the details like statement frequency, interest credit a/c flag etc. The most important field in this screen is Interest Rate Code. Please choose appropriate one. Press F6 for next screen.

• In the above 3rd screen important fields are as follows: -
• Interest Calculation Freq Dr: Please select the appropriate value.
• Next Int. Calc. Date Dr: Please select the appropriate value.
• Then Press F6 and will come on 1st screen. Now Press F4 for accepting General Details.
• In Option field enter ‘S’ for entering Scheme Details and Press F4. Then following screen will appear:
  

• In the above screen of Scheme Details fill the following fields as:
• Enter Loan Amount: Sanctioned Amount
• Loan Period: Enter total months in 1st Field
• Enter Credit File No.
• Holder In Operative A/C For Amount Due: ‘Y’ – Yes or ‘N’ – No
• Repayment Method: If above field value is ‘Y’, so Put here ‘E’, else put ‘N’
• Operative A/c No. above value is ‘Y’, so put appropriate SB, CA Account No.
• Debt Acknowledgement Date: Enter the date of loan documents / revival letter, which ever is latter
• All other mandatory fields needs to be filled. Then Press F6 for next screen
• Put appropriate information as per sanction letter and Press F4 for accepting SchemeDetails
• In Option field enter ‘H’ for entering Sanction and DP (Drawing Power) Details and Press
• F4. Then following screen will appear:
  

In the above screen of Sanction Details fill the following fields as:

• Sanction / Expiry / Document / Review Date
• Sanction Level / Authority / Ref. No. and Security Description. Then Press F4. Following Drawing Power Details screen will appear:
  

• In the above screen of Drawing Power Details fill the following fields as:
• Drawing Power Indicator: Enter ‘D’ Derived from Security in Case of CC Account
• A/C Recalled: ‘N’ and then Press F4 for accepting DP details.
• In Option field enter ‘I’ for entering Interest Details and Press F4. Then following screen will appear:
  
• Accept above details with Pressing F4 after valid values being filled.
• In Option field enter ‘V’ for entering MIS Details and Press F4. Then following screenwill appear:
  
• In above screen of MIS select appropriate codes.                                                                   After completion of the same Press F4 for accepting MIS Details.
• In Option field enter ‘E’ for entering Repayment Schedule Details and Press F4. Then following screen will appear:
  
• In the above screen of Repayment Schedule Details fill the following fields as:
• Flow ID is system generated as per selection of Scheme Code. Those are PRDEM and EIDEM. Enter Nos. of Installments
• Enter Principal Demand Date and then the Frequency.
• Then enter Interest Demand Date and frequency.
• Press F4 for accepting Repayment Schedule Details.
• You can add Documents detail by entering 5 in option menu.
• Enter the date on which documents are received and on which they expire.
• You can add DSA detail by entering 6 in option menu. 
• Now Press F10 for commit. and note down the temporary account number for verification.

NOW LET'S VERIFY THE LOAN ACCOUNT.

For Verification of Account Opening of Term Deposit
Menu Option	OAACAU

• Function: V (Verify)
• Input Generated A/c No. in Temporary A/c No. Field and Press F4 
  For visiting all screens of General Details Press F11 continuously.
• After coming on 1st Screen Press F4 for accepting General Details
• Enter option ‘S’ for verifying Scheme Details and press F4
• Press F11 for visiting next screen of Scheme Details
• Verify details and Press F4.
• Enter option ‘H’ and press F4 for verifying Sanction and DP Details
• First, Sanction Details will appear. Verify and accept with Pressing F4.
• Then, DP Details will appear. Verify and accept with Pressing F4.
• Enter option ‘I’ and press F4 for verifying Interest Details
• After appearing Interest Details verify and Press F4 for accepting the same.
• Enter option ‘V’ and press F4 for verifying MIS Details
• After appearing MIS Details verify and Press F4 for accepting the same.
• Enter option ‘E’ and press F4 for verifying Repayment Schedule Details
• After appearing Repayment Schedule Details verify and Press F4 for accepting the
  same.
• Press F10 to commit. The account number will be displayed.
• The Loan Account stands verified.

 THANKS FOR READING☺️