Loan Repayment Schedule
Loan Repayment Schedule is a detailed payment plan that outlines how a loan will be repaid throughout its tenure. It provides a breakdown of each repayment, including the principal amount, interest component, and payment dates.
In Frappe Lending, the Loan Repayment Schedule is automatically generated based on the repayment schedule configuration defined in the Loan Product and the details captured during Loan Booking and Loan Disbursement.
Did You Know?
A repayment schedule helps both lenders and borrowers track upcoming payments, outstanding balances, interest accruals, and loan demands throughout the loan lifecycle.
Accessing Loan Repayment Schedule
To view loan repayment schedules, navigate to:
Home > Lending > Disbursement and Repayments > Loan Repayment ScheduleHow Loan Repayment Schedule is Generated
No manual input is required to create a Loan Repayment Schedule. The system automatically generates the schedule based on:
- Loan Product configuration
- Repayment Schedule Type
- Disbursed Loan Amount
- Loan Booking details
- Loan Disbursement details
Note
The repayment schedule is generated automatically after loan disbursement and serves as a tentative payment plan for tracking future loan obligations.
Information Available in Loan Repayment Schedule
| Information | Description |
|---|---|
| Payment Date | Displays the scheduled date for each repayment. |
| Principal Amount | Shows the portion of repayment applied towards the original loan amount. |
| Interest Amount | Displays the interest component applicable for each repayment period. |
| Outstanding Balance | Tracks the remaining loan balance after each scheduled payment. |
Benefits of Using Loan Repayment Schedule
| Benefit | Description |
|---|---|
| Payment Visibility | Provides a clear view of upcoming repayment obligations. |
| Interest Tracking | Helps monitor interest calculations and accruals throughout the loan term. |
| Demand Management | Supports accurate generation and tracking of loan repayment demands. |
| Loan Monitoring | Allows lenders and borrowers to track loan progress and outstanding amounts. |
Loan Repayment Schedule and Interest Accruals
The generated repayment schedule acts as the foundation for managing loan demands and interest accruals. Based on the schedule, Frappe Lending helps track:
- Upcoming repayment obligations.
- Interest amounts due.
- Principal repayment progress.
- Outstanding loan balances.
Best Practices
- Configure repayment schedule types accurately while creating Loan Products.
- Review generated repayment schedules after loan disbursement.
- Ensure loan terms and disbursement details are accurate before generating schedules.
- Use repayment schedules for monitoring loan performance and payment tracking.
