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Start under Default Interest and Fees.
The first field, under the Amount column, is for the interest rate. You must key the APR in with the "%" sign or you will get strange results. After you key this in hit your "Tab" key and check what you have entered. The second through fifth fees are discussed later. Next, under the Description column, should be "Simple" Do not change this without talking to AOCG first. |
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Under the Type Column put APR if using an Annual Percentage Rate or MPR if using a Monthly Percentage Rate.
Initial would normally not be checked if you are doing daily interest. It would normally be checked if you are charging interest from the first day of the loan. Recurring should be checked in all circumstances unless you are doing renewals. Most of the time the second amount field will be blank. If you are going to finance the fee, check the checkbox under the Finance Column. If you are not financing the fee, do not put a checkmark in the Finance Column. The third amount field will always be used for the Title Lien Fee. Enter the Title Lien Fee amount then the Description. The fourth and fifth fee fields are for documentation fees, etc.. If you have any unusual fees, do a test loan and if the fee does not appear on the contract, call AOCG and explain where it should appear on the contract. | ||
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Max Terms is used only in states where the default interest can only be charged for a certain number of periods. (example: In Georgia Max Terms is 3 because you can only charge interest over 12.5% for the first 3 months.
Accrual Method is normally daily if doing daily interest. The computer will figure the interest to the closed penny and round. Daily Rounded per period, the system will try to be more accurate with the interest and will round the interest each day so the interest for the period will be as close to the APR as possible. If you do not understand this please call AOCG. Loan Length Average Daily balance waits till the end of the period based on the average daily balance. Max Days is not used anymore. Due Date Calc is normally "default". "With Payment" tells the computer that if the persons pays all the interest that is owed by a certain date, automatically they get the loan length number of days before they have to make a payment. If you do not understand this please call AOCG. | ||
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Renewal Activation Date is only used in Tennessee. It is 11/01/2005. Leave blank for all other states.
Use Progressive Due Date Calculation Method? The normal answer is "Yes". If someone makes a payment and they are not current, the due date will move forward to the end of the last period they paid in full. If "No" is selected when the customer becomes past due the due date freezes and it never moves forward again until they become current. Allow Advance Installment Loan Payments should always be "No". Do not answer "Yes" unless you talk with AOCG first. | ||
At this point, you would start to configure the Company Setup - Alternate Interest and Fees (Charged after last term) section
Click link to go to "Title Loan Tab - Alternate Interest & Fees"