Over 90% of Management Automated

End-of-term functionality in loan management software is designed to handle the completion of a loan's lifecycle, ensuring a seamless transition from active loan management to closure or renewal. This feature automates critical tasks and calculations as the loan approaches its maturity date, helping both lenders and borrowers manage their obligations efficiently.

End-of-term calculations encompass various aspects such as final payments, interest recalculations, and remaining balances. The software automatically calculates the outstanding principal, any unpaid interest, and fees to provide an accurate final settlement amount. For loans with variable interest rates or those that offer balloon payments, the system ensures that all adjustments are factored in, eliminating manual errors and simplifying the process.

The functionality also supports decision-making at the end of the term, providing options for loan renewal, refinancing, or payoff. If the borrower chooses to renew or refinance, the software generates updated terms and new repayment schedules automatically. For loans that are paid off, the system handles account closure, generates final statements, and provides necessary tax documentation.

This feature ensures that lenders maintain accurate financial records and provides borrowers with a clear understanding of their final obligations. The end-of-term functionality optimizes loan closure processes, improves customer service, and enhances financial accuracy across the board.