This page covers the options available on the Account Type Settings, Credit Limit page. Beneath the image you will find brief descriptions of the relevant check boxes and fields.
Used/Count
Define if and how many Credit Limits are to be used per account.
Keep Credit Limits when Refinancing?
Tick to keep the Credit Limits from the original Account's Limits when Refinancing a Loan Account.
Use Pending Withdrawals?
Define if Accounts of this Account Type use Pending Withdrawals.
Use Uncleared Funds?
Define if Accounts of this Account Type use Uncleared Funds when calculating available credit.
Description
Define the Credit Limit description, up to 50 characters.
Value
Define the value of the Credit Limit.
Description
Define the Credit Limit description, up to 50 characters.
Value
Define the value of the Credit Limit.
Description
Define the Credit Limit description, up to 50 characters.
Value
Define the value of the Credit Limit.
Default Basis
Define the basis to calculate the over Credit Limit basis.
| Default Basis | Description |
|---|---|
| None | To have no over limit charge. |
| Balance | Credit Limit - Balance = $$ Over Limit |
| Balance less Interest | Credit Limit - Balance - Interest Balance = $$ Over Limit |
| Balance less Interest/Fees | Credit Limit - Balance - Interest Balance - Fees Balance = $$ Over Limit |
Threshold %
Define a percentage to allow the credit to exceed before it is in default.
For example, if the Credit Limit is $10,000 and the Threshold % is 20% then the Over Limit Fee will kick in the moment the balance goes above $12,000 (assuming that the "Default Basis" is set to Balance Less Interest/Fees).
Threshold
Enter a "Threshold" amount for charging default interest. If the Balance is equal to the Credit Limit plus the threshold or below this value then default interest is not charged for the period.
For example, if the credit limit is $10,000, the Threshold is set to 100 and the Threshold % is set to 20% then the Over Limit Fee will kick in when the total balance is $12,120. Once again, this assumes that the "Default Basis" is set to Balance Less Interest/Fees
Over Limit Fee
The Over Limit Fee is a fee that is charged if the loan has exceeded it's Credit Limit when based upon the Default Basis settings. Fee is charged inline with the Interest cycle. If the fee element on the Account Type is set to Due Immediately, when the fee transaction has been posted it will impact the overdue and default interest may apply if the charge is not paid on that day.
Charge Basis
Define the charge basis to calculate the over Credit Limit basis.
| Charge Basis | Description |
|---|---|
| None | To have no over limit fee charge. |
| Per Charge | A flat fee charged. |
| Per Day | A flat fee charged. For example, if the value is set to 0.50 at 20 days = $10.00 |
| Per Month | A flat monthly fee. If the Interest Cycle is weekly, it will charge the fee weekly. For example, if the value is set to 5.50 then the weekly fee will be charged at $1.26. |
Value
Define the value of the default fee to charge.