Process Loan Interest entry is generated during each loan interest accrual cycle and can also be utilized for manually managing loan interest accrual.

To access the Process Loan Interest Accrual list, go to:

> Home > Loan Management > Loan Processes > Process Loan Interest Accrual

Interest on loans will be accumulated automatically on a monthly basis, occurring on the first day of each month for demand loans and one day prior to the payment day for term loans through a background job. However, if you prefer to manually accrue interest against a loan, you can accomplish this by utilizing the “Process Loan Interest Accrual” function.

1. Prerequisites

Before creating a Process Loan Interest Accrual, you must create the following first:

• Loan

2. How to create Process Loan Interest Accrual

1. Go to Process Loan Interest Accrual List, click on New.
2. Provide the Posting Date, which signifies the date up to which interest will be accrued from the last interest accrual date.
3. Specify the Loan Type if you wish to accrue interest for a particular Loan Type. If no Loan Type is specified, interest will be accrued for all Loan Types.
4. Enter the Loan if you want to accrue interest for a specific loan. If no loan is entered, interest will be accrued for all loans.
5. Click “Save” to retain the draft of the Process Loan Interest Accrual.
6. Click “Submit” to formally submit the Process Loan Interest Accrual.