SAP FS-CML Loans Management
SAP FS-CML Loans Management is used globally by many corporations that lend money to their customers or distributors.
Its main usage is for:
Commercial Lending
- Commercial Lines of Credit
- Agro Financing
- Receivable Financing and Factoring
- Construction Loans
- Loans Taken
- Employee Loans / Loans for Advances
- Collateralized Lending
Commercial Lending
- Mortgage Loans
- Student Loans
- Lines of Credit
- Auto Loans & Car Financing
- Buy Now Pay Later
- Secured/Unsecured Loans
Public Sector Lending
- Project Loans
- Subsidy Loans
- Escrow Management
- Construction Loans
Product Management
Flexible Loan Conditions
Position Management
Loan Contract Origination
Loan Disbursement
Cash Flow Disturbances / Loan Prolongation
New Business Process
- Main Loan
- Borrower Borrower (Additional)
- Authorized Drawer
- Correspondence Recipient
Position Management Process
- Display and Maintenance of Loan master data
- Contract Changes
- Posting to FI accounting based on the loan schedules
- Accruals and Deferrals
- Valuation
- Business Operations
Cash flow disturbance process
- Dunning of Open Items
- Interest on Arrears calculation
- Business Operations – manual non-scheduled transactions on individual loans
- Write-offs and Waivers
- Value adjustments (foreign currency, variable rates, etc.)
Loans Management Subledger is integrated with the General Ledger in real time.
Loans Management Subledger is integrated with the General Ledger in real time.
SAP CML FEATURES
Different Product Types can be maintained in SAP CLM. This allows for the creation of complex Loan Schedules. Loan Schedules are modeled with the use of Condition Items, which allow for a clear understating and control of calculations.
Contract Header
- Company Code
- Product Type
- Status
Contract Master Data
- Loan Type
- Loan Class
- Posting System
- Discretionary Accruals / Deferrals
Condition Header
- Commitment Capital
- Term Start / Fixed From
- Fixed until / Term End
Condition Items
- Condition (Interest, Repayment, Fee)
ACCOUNT DETERMINATION OVERVIEW
Planned schedule items are posted to FI Accounting when they are due.
Each Flow Type is posted to FI G/L or Customer accounts depending on an account determination.
Each flow type will post to debit and credit symbols. These symbols are resolved to specific customer of G/L accounts based on the account determination customizing.
RELEASE PROCEDURES
A multiple-level Release Procedure can be defined for the main functions of Loans Management:
- Loan Disbursement
- Loan Master Data Changes
- Charges
- Payoffs
- Waivers/Write-offs
- Reversals
Different Approvers/Agents can be assigned to each release step, and work items can be processed in the Business Workplace Inbox.