An employee applies to the HR department for a loan related to a particular project. The HR department checks whether specific conditions, such as length of service at the company or the reason for the loan, apply to the employee. Together with the employee, the amount of the loan and the repayment type (installment loan or annuity loan) are determined. Repayment methods and interest conditions are also discussed. The validity period and approval date are also determined.
If the HR department approves the application for a loan, all of the data required for the loan is entered in the system. A payroll run can be performed at a predetermined time to pay all of the loan. Once a specified period of time has elapsed, the employee starts to repay the loan.
Master Data for Loans
Displaying Repayment Plan
Displaying the Balance
Correcting Incorrect Loan Data