Configure Credit Contract Service Attributes

The Credit Contract Service controls the structure and business rules of credit agreements created between parties. Before launching a loan, BNPL, or lease product, this service must be configured to reflect the permitted terms, legal requirements, and commercial strategy of your offering.

This service works in conjunction with others (Entity, Collateral, Interest Configuration, Product Configuration) to enable end-to-end credit product lifecycle management.

1. Supported Currencies (Required)

Define which currencies contracts can be created in.

  • Required field

  • Example: EUR, USD

  • Ensure alignment with the currencies supported in Product Configuration Service

2. Purpose of Credit (Required)

Specify allowable contract purposes for regulatory reporting, risk analysis, and pricing rules.

Each purpose includes:

  • A unique code (e.g. 4, 12_A, 13_A)

  • A clear label (e.g. Margin Lending, Residential Real Estate, Working Capital)

These are often used in pricing engines and eligibility logic.

3. Custom Fields

Add business-specific fields to collect additional metadata per contract. These can be used in decisioning logic, approval workflows, or reporting.

Example:

  • Name: Legal proceeding status

  • Code: LGL_PRCDNG_STTUS

  • Type: String

  • Required: Yes

  • Values:

    • No legal actions taken

    • Under judicial administration / receivership

    • Bankruptcy / insolvency

Make sure you define the value list clearly and map them to downstream credit decisioning logic.

4. Holidays (Optional)

Define national/public holidays that may affect payment schedules or due dates.

Each holiday includes:

  • Name (e.g. Jaanipäev)

  • Date (e.g. 23 Jun 2025)

  • Country code (e.g. EST)

This ensures accurate due date calculations and payment plan generation, especially for B2B loans.

5. Taxes (Optional)

Configure applicable taxes (like VAT or stamp duty) to be automatically applied to contract fees or disbursements.

Fields include:

  • Tax name: e.g. VAT

  • Tax rate: e.g. 0.24

  • Effective dates (from / until)

  • Flags:

    • Is deducted: Automatically deduct this tax from the disbursement amount.

    • Is default: Use this tax type by default if none is specified manually.

Use this to automate tax compliance and reporting across regions.

Best Practices

  • Pre-define all custom fields used in eligibility or workflows.

  • Ensure currency setup matches Product Configuration settings.

  • Regularly review purposes to comply with regulatory classification.

  • Add holidays for all operating markets to avoid failed or delayed collections.

  • Tag default tax configurations where applicable.

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