LOAN PERFORMER SAVINGS MODULE

This page was last updated on

18/08/2008 10:30:13

The LOAN PERFORMER savings module has recently been updated. Whereas in version 5 you use only 3 types of savings accounts, you can now define as many savings products as you want. 

For each product you can define the following parameters:
- Minimum Balances to be maintained
- Minimum Balances that carry interest
- Interest Method
- Starting Date for Interest Calculation and Interest Rate
- Interest Period
- Whether Interest should be calculated on dormant accounts
- Definition of dormant accounts as xx days without transactions
- Withholding tax on interest paid
- etc.

Savings accounts can be opened in the name of a Single Person with or without a Co-Account Holder, a Group or a Business/Institution. There is a maximum of 100,000 individual accounts per branch, 100,000 group accounts and 100,000 business accounts. 

In case of groups you have to decide whether you want to track at group level only or whether you want the details of each group member. You can set this up for each product separately, so that for one product you just need to enter the total deposited by the group, while for another you have to enter all the deposits and withdrawals for the group members.

You can also link savings balances to loans, so that they function as a guarantee. You can specify which savings product needs to have at least xx% of the loan amount in order to either allow a loan application or a disbursement. You can even setup several savings products that serve as loan guarantee. And you also have a feature to allow automatic repayments of arrears from the guaranteed savings product.

All savings transactions can be posted automatically into the General ledger. However, LOAN PERFORMER has a facility to (de-)activate the automatic booking of deposits and withdrawals. MFI's that take savings themselves would want the entry of deposits and withdrawals to be activated. MFI's that handle loans only, but still want to track their clients' savings with a local Bank (Village Banking methodology), don't want the entries to lead to GL bookings and they can de-activate this feature.

Minimum opening balances or balances to be maintained, can be set for each type of account. Dormant accounts are accounts without transactions in a certain period. The duration of the period can be set as a variable.  

Interest can be calculated either on a day by day running total or on a monthly minimum balance. The calculated interest can be added automatically to the accounts. Accounts with balances below certain user definable minimum balances don't get interest. Interest can be added for a certain number of months (max. 12).

Apart from withdrawals, deposit and interest, the savings module also allows to add Rewards or Charges to accounts. These can be rewards for excellent loan repayment behavior or annual ledger charges. The options are made flexible to allow for a certain range of accounts. A corresponding bookkeeping account has to be chosen to make the booking to the General Ledger.

Cheque deposits are supported (with clearing and bouncing). Bank accounts have to be entered as serving savings, loans or P&L accounts or they can also be mixed. There is no limit on the number of bank accounts.

LOAN PERFORMER can print receipts for deposit and withdrawal slips. A special printer can be assigned for this task. A receipt is printed on A4 paper with 1 A5 copy for the cashier and 1 A5 copy for the client.

LOAN PERFORMER can import savings transactions from external files (from DBF, XLS or TXT file formats). Also the importation of savings transactions from group members is supported. 

The branch manager can set a maximum withdrawal amount that the cashier or savings officer may handle.

Some of the Savings Reports produced by the module are: 


 We would like to know whether the above information was sufficient. If not, please leave your comment below:
 
Comment:  
Name::  
Organization:  
Email-address (so that we can send you a reply):