Loan Tenor and Amount Configurations Update

Earlier, configurations for loan amounts needed to be made on both the admin and on MP and any mismatch between the two configurations led to applications failure for loans.

So to avoid these application errors, we have now moved that responsibility to merchants on MP. We have now made an update on the loan tenor and amount configurations for loans on Originate. This means account managers will no longer be required to configure loan tenors and amount on admin anymore.

How it works

Merchants set up their minimum loan amount and maximum loan amount, duration type and the minimum and maximum duration for their loan products on MP. They can do so when creating a new loan product or by editing an existing one.

On the CP, what happens is once the customer has entered their loan amount, the backend will fetch a list of available durations that the borrower can select. This list is based on a match between the entered loan amount by the borrower and the duration and duration type that fits that amount for all the active loan products configured on MP.

Example:

A merchant configures 3 active loan products:

Loan Product A has the loan amount range between 1,000 - 5,000 with a duration range of between 1 - 6 and a duration Type of daily

Loan Product B has the loan amount range between 5,000 - 20,000 with a duration range of between 1 - 6 and duration Type of weekly 

Loan Product C has the loan amount range between 10,000 - 50,000 with a duration range of between 6 - 12 and duration Type of monthly

If a customer enters a loan amount of 15,000, the backend will check all loan products that the loan amount fits into, in this case 15,000 is an available loan amount for both Loan Product B and Loan Product C. The backend will then return a list of applicable loan tenors of Loan Product B and Loan Product C so the list of available loan tenors and duration Type that the customer can choose from will be:

1 week

2 weeks

3  weeks

4  weeks

5  weeks

6  weeks

6  months

7 months

8 months

9 months

10 months

11 months

12 months