[jira] [Assigned] (FINERACT-2232) Capitalized Income

["Adam Saghy (Jira)" <ji...@apache.org>]

     [ https://issues.apache.org/jira/browse/FINERACT-2232?page=com.atlassian.jira.plugin.system.issuetabpanels:all-tabpanel ]

Adam Saghy reassigned FINERACT-2232:
------------------------------------

    Assignee: Adam Saghy

> Capitalized Income 
> -------------------
>
>                 Key: FINERACT-2232
>                 URL: https://issues.apache.org/jira/browse/FINERACT-2232
>             Project: Apache Fineract
>          Issue Type: New Feature
>    Affects Versions: 1.11.0
>            Reporter: Bharath Gowda
>            Assignee: Adam Saghy
>            Priority: Major
>             Fix For: 1.12.0
>
>
> Capitalized Income is a Feature required to support loan products like Merchant Term Loan (MTL) and Working Capital (WC).
> This feature would allow for posting a defined Income debit to a loan account, and amortizing a portion of that amount daily to income based on a defined effective interest rate (EIR) calculation.
>  
> h3. Requirement Details
>  # Capitalized income to be Introduced and configurable at the loan product level 
>  # Capitalized income can be FLAT (default) 
>  # 
>  ## % of Disbursement amount ( FLAT )
>  # Amortization strategy
>  # 
>  ## DEFAULT: Equal amortization 
>  # It is added to the loan account at Disbursement level and on disbursement date only through API
>  # 
>  ## New API to add Capitalized income
>  # 
>  ## Validation match with disbursement date 
>  # Once Disbursed, New Transaction Type to added separately for Capitalized income amount 
>  # 
>  ## New transaction type
>  # 
>  ## 
>  ### Normal, monetary transactions
>  # 
>  ## Accounting for this transaction type
>  # Capitalized income amount is considered as a principal portion,hence 
> -Schedule calculation will be based on (disbursement amount+Capitalized income)
> -Interest calculation will be based on (disbursement amount+Capitalized income)
> -No changes in allocation or working for other monetary transactions
>  # No changes in any other monetary transactions and its accounting entries 
>  # Validation of Disbursement amount <= approved amount should be changed to (Disbursement amount+Capitalized income) <= approved amount
>  # Add Amortization on Daily basic to recognize the portion of Deferred Income to income
>  # 
>  ## Amortization to be done on daily basis for origination fees at COB
>  # 
>  ## *System should maintain the fees balance during Amortization*
> *balance-§ Capitalized income - fee credits/adjustments - fee income recognized*
>  # 
>  ## Charge-off will also charge-off the Capitalized income and no amortization will be done after charge-off date
>  # 
>  ## Final Amortization will be done for balance amount if the loan gets Preclosed on the same day 
>  # We need an API where Capitalized income amortization information can be fetched
>  # 
>  ## Basic balance information
>  # 
>  ## Transaction list?
>  # New type of Capitalized income adjustment/credit - to be introduced
>  # 
>  ## Capitalized income Adjustment works as a Credit Transaction that reduces the Capitalized income balance
>  # 
>  ## Works similar like any other Credit Transaction In Fineract and reduces the loan balances as per the allocation set
>  # 
>  ## Capitalized income Adjustment Transaction can have its own Allocation Strategy set
>  # 
>  ## Capitalized income Adjustment Accounting entries works like a Mirror of Capitalized income entries
> TO DO
> Add usecases



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