The loan ledger card helps to generate a detailed track of loans processed, i.e., from loan application, approval, disbursement, a breakdown of installments due and even repaid loan amounts if any.
How to view the Loan Ledger Card.
To view the loan ledger card you go to menu Loans/Portfolio Reports/Loan Ledger Card. A screen will appear looking as follows:
Print range of loans: Tick this check-box if you want to select a range of loans for which you want to generate loan ledger cards. The From Loan No and To Loan No option will then be displayed for you to specify the range of the ledger cards to be printed, e.g., "KA/000001" to KA/000009". See below:
Currency: Select, from the drop down, the currency in which the ledger card should be displayed, e.g., "UGX".
Loan number: Enter the number in this field or click on the Choose command button to select the loan number from the list that is displayed, e.g., " KA/000001".
Report Format: From the drop down box, select the sequence of column titles in which the report will be displayed. In the first screen (in our example), we selected Date, Transaction, Voucher, Penalty, Running Balance, Balance ... etc. which is the first option in the drop down box. This means the report to be generated will be displayed in that format.
The above Loan ledger cards have two interest rates displayed: The Annual Interest Rate (AIR) and the Effective Interest Rate (EIR).
The Effective Interest Rate means the total costs involved in securing the Credit/Loan stated as an annual rate of Loan/Credit. It is the total value of the Credit calculated according to the methodology presented there in
The two (KA/000010 and KA/000011) loans above have the same loan conditions in terms of Loan amount, annual interest and loan period. But one has other fees like Stationery, loan commission and development fees as identified below and that is the cause of the difference in the Effective Interest Rate between the two loans.
See the image below: Total cost of credit to the customer means all costs, including interest, commissions, taxes and any other kind of fees which the customer is required to pay for the MFI in connection with the credit agreement/contract; other compulsory expenses in respect of ancillary services relating to the credit agreement, in particular. Loan Performer will compute the EIR along side the annual interest rate and will reflect both on the client's Loan Ledger card as shown above:
Print against original dues:
When this option is selected, the loan ledger card will show the original installments due for a loan at disbursements against the actual repayment date and amount paid. If a repayment is made after the installment due date, the principal amount will be the same but the interest amount paid will be different because of the recalculation of interest (If Always Re-calculate Interest at Repayment if Declining Balance option is selected at Loan Product General Settings.) When you click on the okay button, you will have a report.
In the example below, we shall look at Loan number KA/000012 that appears as bellow: As seen above, the installment due on 03/03/2022 was repaid on the same date: which was 134,001(principal being 133,080 and interest 920.55. On 04/04/22
a repayment is made which is one day after the installment due date. The principal shown is as per schedule but the interest changes to 702 (not 680.10) because interest is recalculated at repayment. Therefore the repayments made are shown against the original dues at disbursement.
Print against current dues:
When this option is selected, Loan Performer shows how the interest has been adjusted because of early or late payments. (This is only possible for loans where the interest is recalculated and loans are on the declining balance method). Below is a Loan Ledger card generated against current dues.
In the example below, we shall look at printing against current dues. The report for Loan number KA/000012 appears as follows: In the above loan ledger card, an installment was due on 03/04/22 and a repayment was made on 04/04/22. The payment was one day late and Loan Performer has recalculated the interest. The recalculated interest is more than the due date interest of the previous day. The report for current dues shows this as the due installment of 03/04/2022 with zero interest, a new installment due on 04/04/2022 showing the recalculated interest and a repayment on 04/04/2022.
The above options (print against current dues and print against original dues at disbursements) will work only if the interest calculation method selected is the declining balance and not flat rate.
Choose the appropriate category of loan for which you want to generate the loan ledger card, e.g., "Individual loan". You can also choose "Group loan" or "Group member(s)".
Update passbook:
When this option is checked, you will get a pop up screen shown like the one below. This shows details of the loan number that has been selected.
figure 1
This is only possible if only a single loan number is selected. If you select a range of loans then this option will be read only.
From this pop up screen, you can identify the line number(s) that you want to print in the passbook. When the right line(s) has been identified, then close to revert to the loan ledger card screen. The loan ledger card screen will then look as follows (only when the Update passbook option is selected and a loan number has been entered).
Transaction date: Select the date on which you want to print the passbook entries from the pop up screen (i.e. figure 1), e.g., "04/04/2022".
Line No.: Enter the line number from which you want the passbook to be printed. (This is from what you identified in figure 1). The To" option, enter the line at which you would like details in the passbook to end printing. Make sure that the lines entered have transactions for the date selected.
Print passbook: Click this button to print the passbook after ensuring that the right details have been entered and also the passbook has been placed on the right printer. Check Passbook printing settings.
Print Photo: Tick this option if you want the client photo to appear on the printed passbook.
Accumulate penalty due: When this option is selected, penalty calculated will be accumulated and shown in the penalty column. Penalty calculations can be done at Penalties on arrears.
Click on the Ok command button to view the loan ledger card which looks like below:
