BNPL EMI Product Template

Configuration Fileds

Description

Example

EMI Product Name 

Name of the Credit Line EMI Product

M2P Postpaid

EMI Product Short name 

Short name of the Credit Line EMI Product

PP

Product Type

Type of the Product

BNPL

EMI Currency 

EMI Loan Currency

Indian Rupee

Computation Precision

Decimal Point

2

Installment in multiples of

EMI Amount multiples of 1/10/100

1

Enable rounding during foreclosure

If enabled, foreclosure amount will be rounded to nearest ones place value using 'ceiling rounding method'

No

Rate of Interest range

Min and Max Interest rate of EMI Product

Min    : 1%
Max    : 12%
Default : 6%

Principal Amount

Min and Max Principal amount of EMI Product

Min    : 1000
Max    :200000
Default :50000

Number of Installments

Min and Max Installment of EMI Product

Min    : 1
Max    : 12
Default : 6

Repayment Frequency(Repaid every )

Repayment Date of the EMI Product

5th of every month

interest calculation method

Reducing Balance/Flat methods for interest calculation

Reducing Balance

Installment amount derived based on

Amortization Type

Equal Installment

Interest Day count convention

Number of days count for EMI Interest calculation

30/360

Broken-period interest computation

Broken Period method for the days between Disbusement and First instalment date

Adding to the first Instalment’s Interest component

Repayment Strategy Before NPA

Repayment Strategy Before NPA

Principal, Interest, Penalties, Fees Order

Repayment Strategy After NPA

Repayment Strategy After NPA

Principal, Interest, Penalties, Fees Order

Enable excess payment parking?

To park the advance payment at loan level

No

Enable various deductions from disbursement

Charge fees are collected at the time of disbursement

Deduct processing fee(1%) from disbursement

Number of days a loan may be overdue before moving into arrears

Grace period given before moving into arrears

0

Maximum number of days a loan may be overdue before becoming a NPA (non performing asset)

Number of days for loan to tag as NPA

90

On NPA stop interest accrual in LMS & FA system also stop penalties

It stops all interest accrual in LMS and Finacial accounting

Yes

Account moves out of NPA only after all arrears have been paid

It defines when account should move out of NPA

Yes

EMI Sequence

Sequence pattern for the EMI Poduct

INDEMIL000001ABC