LoanMaker 23a Fields and Switches


To Calculate a Loan

Edit the input fields (tap on a field to edit it) as necessary and then tap the Done button (upper-right corner) to complete the entry and calculate the loan. The payment will appear in the status window at the top.

For a complete Regulation Z Loan disclosure, tap the Compute Loan button at the bottom of the screen. Once the results appear, you can tap the 'Share' icon at the upper-right corner to send the results by email or message.

Done Tap Done to complete an entry. This will drop the keyboard and recalculate the loan. For a complete disclosure, tap Compute Loan at the bottom of the screen.

Error/Status Message
Error and information messages appear here. If there are no errors, the computed payment will appear here.

Loan Amount
Used to enter the desired loan amount. You can make the entry directly, or you can push on the + or - keys to the left to increase or decrease the loan amount. The loan amount can be up to $100,000,000.00.

Fees
Enter financed fees that are paid to public officials such as a title fee, recording fee, and so forth. The amount here is added to the loan amount and Amount Financed.

Fees2
Enter charges here for extended warranties, GAP insurance and other insurance or insurance-like products. The amount here is added to the loan amount and Amount Financed. The amount here will affect the Military A.P.R. calculation. Term
Term of the loan in months. You can tap on the + or - to change the term by 3 month increments, and you can enter the term directly.

Interest Rate %
Enter the simple interest rate percentage (e.g., 6.99 for 6.99%).

Prepaid Finance Charge
If there is a prepaid finance charge (or origination fee), enter that amount here. (This feature may have to be enabled in Setup.)

Loan Date
Adjust the date to the date of the loan by dragging the day or month up or down. (Today's date is the default.)

First Due Date
Adjust the date to the date the first payment is due by dragging the day or month up or down. (One month from today's date is the default.)

Reset Dates
Tap this button to reset the dates to the default (Loan date of today and first due date one month later).

Life Insurance
(This feature requires that a credit insurance plan has been installed in Setup.) Select the desired coverage by tapping the appropriate label (None, Single or Joint).

A&H Insurance
(This feature requires that a credit insurance plan has been installed in Setup.) Select the desired coverate by tapping the appropriate label (None, Single or Joint). Not all plans have A&H, or may have only Single A&H available.

Buy Rate %
(This entry is part of the Dealer Reserve calculation and has to be enabled in Setup.) Enter the discount rate to be used for indirect loans that are sold to a third party to calculate the Dealer Reserve and related items.

?
Tapping the question mark brings up this help.

Clear Button
Pressing Clear will clear all entries and load a simple loan with default dates.

(Gear)
Tapping the gear symbol will bring up the Setup Page.



Setup

When the setup page appears, the entries may be read only and cannot be changed. The standard plan (STD) is loaded by default and calculates interest using the Federal Reserve Board 'Fed Calendar' method, and has no credit insurance. Contact your administrator if you need to make any changes to these entries. To lock the Setup page, go to Settings | LoanMaker 23a and switch on Make Setup Read-only.

Install Plan
If you do not intend to use Credit Insurance or install another plan, you can skip this section. See note below regarding Plans for more information.

Select Interest Calendar
Federal This is the default interest calendar and uses the calendar system defined in Regulation Z to calculate the interest charge and payment. It works similarly to the old 360-day calendar in that the calculations assume one month (1/12th of a year) between each payment and the next. If the loan date and first due date are on the same day number, the first period is also considered to be exactly one month. If there are long or short odd days, they are counted by the methods defined in Regulation Z.

Actual-to-1st This hybrid method counts the actual number of days in the first period, but treats all subsequent periods as being exactly 1/12th of a year to calculate the interest charge and payment. This method was commonly used by Financial Publishing and other payment chart publishes for years.

Actual/365 This method counts the actual nmber of days between each period and the next throughout the loan to calculate the interest charge and payment. Each day is 1/365th of a year. This method is the precise simple-interest method and, assuming all payments are made on their respective due dates, the calculated interest charge will be exactly correct.

If you are using this application to calculate loans for a funding source, you should check with them to find out which interest calendar system they want you to use. (In all methods, the finance charge is calculated by the United States Escrow Rule.)

Enable Dealer Reserve
If you are selling loans to a funding source and want the application to calculate the dealer reserve (your participation in the interest charge), enable this feature to do those calculations. When enabled, an additional input field (Buy Rate %) appears on the main page where you can enter the buy interest rate. The application will calculate the dealer reserve, bank retention and dealer advance. (If there is a prepaid finance charge it is added to the bank retention.)

If the buy interest rate is greater than the loan interest rate (because the dealer is subsidizing a low contract interest rate), the dealer buy-down amount will be calculated (shows as a negative dealer reserve).

The dealer reserve is the difference between the contract finance charge (excluding any prepaid finance charge) and a finance charge computed using the buy rate.

Enable Military A.P.R.
If you are making loans to active duty servicemen (in the U.S.), enable this feature to do the additional required calculations for the Servicemembers Civil Relief Act (SCRA). A second A.P.R. is calculated which includes the amount of credit insurance and other insurance-like products (see Fees2 field) in the finance charge. There are limits to the Military A.P.R. per this regulation.

Enable Prepaid Charge
If you or your lender applies a Prepaid Finance Charge to a loan, enabling this feature will add an additional field to the main page (Prepaid Finance Charge) where you can enter this fee. The fee is included in the Finance Charge and affects the A.P.R.

Show Insurance Details
(This only applies if you have installed a credit insurance plan.) Enabling this will cause additional information to be disclosed when calculating loans with credit insurance. It will stay on for the next 5 loan calculations and then will turn off. (You can return to the Setup page to enable it as many times as you want.) The additional information will help actuaries verify the rates and methods being used to make the insurance premium calculations.

<
Tap the < symbol at the upper left to exit Setup and return to the main page.



Note on Insurance Plans
To include credit insurance in the loan calculations, you need an insurance plan that has the correct methods and underwriting limits for your policy. If you are using other calculating tools from PROM Software for installment loans, you can probably use the same plan. It is important to review the plan details with your insurance company or agent before using it. We can provide an insurance plan for most providers in the U.S. Contact PROM Software for more details.


Support & Warranty
For support you may email us at lm23@promsoft.com.
LoanMaker® is a registered trademark of PROM Software Inc.

This application uses information provided by many sources. Although it is believed to be accurate, we do not warrant its accuracy, and assume no liability to any person or persons in connection with its use.