The Loan – Lending Contract Management module in FTS Accounting is designed to centrally manage all information related to loan contracts and internal/partner lending contracts. The system enables enterprises to closely monitor contract terms, implementation status, payments, loan interest and overdue interest, while connecting directly with other functional modules to ensure automated, transparent, and accurate data updates.
1. Contract Information Management
- General information: Contract type, contract number, contract name, term, effective date, expiry date, borrower/guarantor.
- Value information: Currency, listed value, converted value, base interest rate, overdue interest rate.
- Terms & Purpose: Payment terms, loan purpose, and actual capital usage are closely monitored.
2. Monitoring Contract Execution and Payments
The system continuously updates and reflects the actual status of each contract:
- Payment status: Records payment history of principal and interest, current outstanding balance, upcoming payment periods, and status (paid, overdue).
- Execution status: Monitors disbursement progress and actual fund usage compared to the agreed purpose.
- All transactions such as disbursement, principal collection, and interest collection are automatically updated into the Cash Management module.
- Ensures data consistency and transparency, minimizes manual entry errors, and provides real-time visibility into cash flows.
3. Automatic Calculation of Loan Interest and Overdue Interest
The system supports multiple interest calculation methods according to enterprise policies:
- Loan interest calculation: Automatically calculates interest receivable based on outstanding balance and agreed interest rate.
- Overdue interest calculation: When a contract becomes overdue, the system automatically applies the overdue interest rate to calculate charges, helping manage risk and improve debt recovery efficiency.
4. Bank Guarantee Management
- Fully stores guarantee information:
- Payment information: Guarantee letter date, guarantee type, content, start date, expiry date, payment date, guaranteed party, guarantee conditions, guaranteeing bank, credit limit contract.
- Value information: Guaranteed amount, guarantee fee, guarantee type, margin percentage, margin amount.
- Monitors guarantee status (e.g., “Under monitoring”), helping control risks and potential obligations.
- Supports printing guarantee documents and creating payment orders (UNC).
5. Loan – Lending Contract Reporting & Analysis
The system provides complete reports and summaries:
- List of loan – lending contracts by party, term, and status.
- Contract performance reports.
- Payment reports: principal, interest, overdue interest.
- Interest calculation summaries by period.
- Reconciliation between contract – transactions – payments.
- Loan and lending balance summary by period.
These reports support leadership in assessing capital efficiency and making more accurate financial decisions.