What is subfacility in SAP FS-CML - Loans Management?

SAP Term: subfacility

• Component: FS-CML

• Component Name: Loans Management

• Description: A structuring of a facility to enable an efficient distribution of drawdowns based on the limit set for the facility. The individual subfacility limit cannot exceed the facility limit; however, the total of subfacility limits may exceed the facility limit. &EXAMPLE& Facility: US$ 3 million with a 2% rate of commitment interest Subfacility A: US$ 2 million for the product group of short-term mortgage loans Subfacility B: US$ 2.5 million for the product group of long-term consumer loans

Smart SAP Assistant

• Key Concepts: 
  Subfacility is a term used in the FS-CML Loans Management component of SAP. It refers to a sub-portion of a loan that is allocated to a specific purpose or purpose group. Subfacilities are used to track and manage the different parts of a loan, such as principal, interest, and fees. 
  
  How to use it: 
  Subfacilities can be created in the FS-CML Loans Management component of SAP. When creating a subfacility, you will need to specify the purpose or purpose group for which it is intended. You will also need to specify the amount of the loan that is allocated to the subfacility. Once created, you can track and manage the different parts of the loan using the subfacility. 
  
  Tips & Tricks: 
  When creating a subfacility, it is important to ensure that the amount allocated to it is accurate. This will help ensure that all parts of the loan are properly tracked and managed. Additionally, it is important to keep track of any changes made to the subfacility, such as changes in its purpose or amount allocated. 
  
  Related Information: 
  For more information on subfacilities in SAP FS-CML Loans Management, please refer to SAP Help documentation. Additionally, there are many online resources available that provide detailed information on how to use subfacilities in SAP FS-CML Loans Management.