Creating a New Loan
  • 17 Mar 2022
  • 3 Minutes To Read
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Creating a New Loan

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Every loan account you create in Mambu is an instance of a loan product that has been created before. So, the terms that were set for the product will determine the new loan accounts' terms and conditions.

This allows you to keep all your accounts organised by the products they belong to. Thus you'll be able to compare the performance of your organization's products in the Reporting section in Mambu.

Therefore, before you create a loan account, make sure have already set up loan products.

There are different ways of creating a new loan account in Mambu. You can either:

  1. Click on Create > Loan Account on the top menu bar > enter all the account's details > click on Create Account.

Loan Account creation from Create button top bar.

  1. Click on New Account > New Loan Account on the right-hand side of the client's profile > enter all the account's details > click on Create Account.

Loan Account creation from Clients' Profile

  1. Create an account using an API call.
POST /loans

You can find further details about this call in our API documentation.


Offset for first Instalment due date

When you create a new loan, Mambu automatically sets the first repayment date after one repayment interval - after 1 month, 2 weeks, etc. - from the disbursement date. In addition to this interval you can also have a default offset to the first instalment due date.

The offset limits are set at the product level and the validation will be done when you set the first repayment date either when creating the account or when disbursing it.

Disbursement Details section from Loan Account creation with Channel drop-down, Anticipated Disbursement and First Repayment Date

Example
A loan with monthly repayments has an anticipated disbursement date on December 1, 2015.

  • Regular First Repayment date, without a default offset: January 1, 2016.
  • With a 10 days default offset, Mambu will add 10 days to the regular first repayment date: January 11, 2016.
  • If the product has a minimum offset of 2 days, the first repayment date will have to be on or after January 3, 2016 (Image above).
  • If the product has a maximum offset of 20 days, the first repayment date can't be after January 21, 2016.

Based on the account terms and anticipated dates, you can finally preview the schedule with the detailed repayments divided in principal and interest, total amounts due and how the balance evolves over the loan duration.


Solidarity group loans

If you're opening an account for a hybrid group, this means that its members may receive different amounts and that their accounts will be tracked individually. In this case, you need to specify the amount that each member will receive.

To do this enter the amount for each member. As you do this you can see that the amount that is still unallocated is updated in the bottom.


Loans with tranched disbursements

When a new loan account is created for a product that accepts disbursement in multiple tranches (see Setting Up New Loan Products > Loan Amount, the amounts that are expected to be disbursed in each tranche have to be specified here, under the “Tranches” section, with an expected disbursement date for each tranche as shown below:

Tranches section at Loan Account creation with three tranches defined each with amount and anticipated disbursement

The repayment schedule calculated for a loan account with multiple disbursements will include the additional tranches as defined above, assuming that they will be released on the anticipated disbursement date:

Schedule Preview section at Loan Account creation for the specified number of tranches and anticipated disbursement dates.

The resulting loan account will have the information about pending tranches displayed in the “Overview” section and will be activated when the first tranche is disbursed (via the regular “Disbursement” button).

In the “Schedule” tab at loan account level, the principal and interest that are due will be displayed based on the tranches that were already disbursed, but you can always toggle the schedule view options under “Preview Schedule With”, to check how the schedule looks after a future tranche will be disbursed.


Association

Optionally, you can associate a loan account to a branch. In order to do that, you must have the Manage Loan Association permission.

Association section with Maputo Downtown branch.

The branch to which the loan account is assigned can be viewed in the loan account overview page under the General section as seen in the below image.

General details from Loan Account dashboard

Please Note
You can change the branch of the loan account later via the UI or via API 2.0.

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