Cost Items - Fixed and Variable Loans

Cost Items - Fixed and Variable Loans

Purpose

Cost Items are the components that make up a loan, and are unique to each finance company. The Cost Items will mirror the items financed on the loan agreement.

Access

  1. Fixed Loan | Edit/View Control Details - Cost Items
  2. Variable Loan | Edit/View Control Details - Cost Items

Rules

Interest

Cost Item 11 must always be Interest

Deposit and Trade In

Cost Items 9 and 10 are understood by the system as credit transactions, therefore are used for Deposit and Trade In. However they are entered as positive values

Quote

The order of the module Cost Items should always be replicated exactly in the Quote Profile Setup, so when the Quote is made into a live account, the cost items are mapped to the correct fields

Dealer Payout

Cost Items that will be transferred to the Dealer for payout must also be setup in the appropriate Fixed Loan Dealer Profile / Variable Loan Dealer Profile dialog

Insurer Payout

Cost Items that transferred to an Insurer account must be identified in the Insurer Control record

Setup

Fixed Loan


Variable Loan


Highlight and  the Cost Item line to present the below dialog:



Field
Explanation
Description
Enter a description of the cost item

This would usually be the same as the description on the loan agreement

For Example:
  1. Loan Advance
  2. PPSR Fee
  3. Establishment Fee
Transaction Type
[F2] and  the Transaction Type that will be used when the cost item is posted from the Finance dialog

The Transaction Type would usually be setup with the below controls:
  1. Ledger - Future
  2. Control Method - Control
Where the Cost Item will be advanced to an external party, the GL Code should be set to the respective Module Dealer Transfer Account

Where the Cost Item is income for the finance company, the income GL Code should be selected to the Transaction Type

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