Ideas for the Mambu Banking Engine

First Due date offset constraints for schedules based on Fixed Days of Month

*What*: Ability to set first due date offset constraints for “Fixed Days of Month” option under “Payment Interval Method” section in the Loan Product setup defining the repayment schedule. This setup should allow tenants to define min and max number of days in the first installment.

Min number of days usage:

For example, if the min number of days of the first installment is set to 30 and the installments are expected on the 1st of each month --> if the disbursement is made on the 25th June, the first installment should be expected on the 1st August, not 1st July. Ideally, Mambu would in this case automatically move the First Installment due date to the 1st of a month that satisfies the first due date offset constraints rule.

Max number of days usage:

Should serve as a validation how far in the future can the first installment due date be moved to, returning an error if the first due date offset constrains are not met.

*Why*

Many tenants who offer to their clients repayment on the same day of a month want to control the minimum/maximum number of days between disbursement and first repayment day, applying a rule that the 1st installment should not be shorter than X days or longer than Y days. This is to avoid a situation when when let’s say all the repayments are expected on the 1st of each month and the disbursement is made on the 25th June --> the installment would be only 5 days long and the client would be expected to pay back 5 days after receiving the loan.

  • Szymon Klapcinski
  • Jun 26 2019
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