What is age-based deductable in SAP FS-CML - Loans Management?

SAP Term: age-based deductable

• Component: FS-CML

• Component Name: Loans Management

• Description: The depreciation in the value of a building, based only on its age and not the use of the building.

Smart SAP Assistant

• Key Concepts: 
  Age-based deductable is a feature of the FS-CML Loans Management component of SAP. It allows users to set up a loan repayment plan that deducts a certain amount from the loan balance each month based on the age of the loan. This feature helps to ensure that loans are paid off in a timely manner and that borrowers are not overburdened with debt.
  
  How to use it: 
  To use the age-based deductable feature, users must first set up a loan repayment plan. This can be done by entering the loan amount, interest rate, and repayment period into the system. Once this is done, users can then set up an age-based deductable by entering the amount to be deducted each month based on the age of the loan. This will ensure that the loan is paid off in a timely manner.
  
  Tips & Tricks: 
  When setting up an age-based deductable, it is important to consider the borrower’s financial situation and ability to make payments. It is also important to ensure that the amount deducted each month is not too high or too low, as this could lead to either overpayment or defaulting on the loan.
  
  Related Information: 
  For more information about setting up an age-based deductable in SAP FS-CML Loans Management, please refer to SAP’s official documentation or contact your local SAP representative.