Applying and Reversing Fees and Penalties
  • 22 Nov 2019
  • 2 Minutes To Read
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Applying and Reversing Fees and Penalties

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Apply manual and arbitrary fees

Manual fees

Manual fees must be defined in the product's settings first (see Setting up new loan products), but can then be added to any account that has been disbursed.

To apply a manual fee:

  1. Navigate to the account.
  2. Click More Actions > Apply Fee.
  3. Select the appropriate fee from the dropdown menu.
  4. Enter the amount.
  5. Click Apply Fee.

More dropdown with Apply Fee option and Apply fee pop-up.

Arbitrary fees

Arbitrary fees do not have to be set up in advance and can be applied on an "ad hoc" basis -- to any account, at any time as long as the option "Allow Arbitrary Fees" is checked in the product's settings.

To apply an arbitrary fee:

  1. Navigate to the account.
  2. Click More Actions > Apply Fee.
  3. Select Other from the dropdown menu.
  4. Enter the amount and a reason for the fee.
  5. Click Apply Fee.

After applying an arbitary fee to an account, the amount will be displayed as Total Due until they are paid out, which will happen according to the Payment Allocation Order defined in Lending Parameters.

Please Note
You can apply arbitrary fees to an account in any state except Closed.

Adjust Fees or Penalties

To adjust a fee that has been applied by mistake or with the wrong amount **open the loan account > click on Transactions > click on Actions button that's on each transaction row > enter the reason for the reversal > click on Adjust Fee or Adjust Penalties.

actions button next to a fee transaction, with adjust button highlighted in green and indicated with a red arrow

Please Note
If the repayment was late for long enough that several penalties were applied, then the adjustment should be made for each penalty applied transaction, as described above.
Please be Aware
Penalties can be reversed only before the repayment is entered.

Reduce Fees and Penalties

For Dynamic Loans, Fees and Penalties Due can be "reduced" (or written-off) instead of reversed.
To do this click on More > Reduce Balances > Select Fee/Penalty > Type new amount due > Click "Reduce Balance"
This will result in the write-off of the difference between the original amount due and the new amount due.

Reduce Balance screen with Reduce drop-down, new balance and account notes. Available buttons are Cancel and Reduce Balance.


Ask the Mambu Community

If you have a question about how anything works or have come across something you haven't seen explained here, get in touch with our community of fellow users and Mambuvians where someone will lend a hand.

Ask a question about Lending

* If you don't already have an account you will be prompted to create one when you first visit the site.

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