What is collateral agreement type in SAP FS-CMS - Collateral Management System?

SAP Term: collateral agreement type

• Component: FS-CMS

• Component Name: Collateral Management System

• Description: A freely-definable identification attribute derived from the collateral agreement category. Collateral agreement types are used to classify collateral agreements in more detail within collateral agreement categories. &EXAMPLE& Category: Encumbrance Type: Certified land charge

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• Key Concepts: 
  A collateral agreement type is a type of agreement that is used in the SAP FS-CMS Collateral Management System. It defines the terms and conditions of a collateral agreement between two parties, such as a lender and borrower. The agreement type also defines the types of collateral that can be used, the amount of collateral that must be provided, and any other relevant details. 
  
  How to use it: 
  In order to use a collateral agreement type in SAP FS-CMS, users must first create an agreement type in the system. This can be done by navigating to the “Collateral Agreement Types” tab in the system and selecting “Create”. From there, users can enter all of the relevant details for the agreement type, such as the types of collateral that can be used, the amount of collateral that must be provided, and any other relevant details. Once all of the details have been entered, users can save the agreement type and it will be available for use in future transactions. 
  
  Tips & Tricks: 
  When creating a collateral agreement type in SAP FS-CMS, it is important to ensure that all of the details are accurate and up-to-date. This will help to ensure that all transactions involving this agreement type are compliant with applicable laws and regulations. Additionally, it is important to keep track of any changes made to an agreement type over time so that users can easily reference them when needed. 
  
  Related Information: 
  For more information on using SAP FS-CMS Collateral Management System, please refer to the official SAP documentation or contact your local SAP support team. Additionally, there are many online resources available that provide detailed tutorials on how to use this system.