What is lost subsidy in SAP FS-CMS - Collateral Management System?

SAP Term: lost subsidy

• Component: FS-CMS

• Component Name: Collateral Management System

• Description: The grants obtained from public or from private funds, which under circumstances are linked to conditions and are to be paid back. Lost subsidies have loan character.

Smart SAP Assistant

• Key Concepts: 
  Lost subsidy is a term used in the FS-CMS Collateral Management System (CMS) of SAP. It refers to the amount of money that is lost when a loan is not repaid in full. This amount is calculated by subtracting the amount of money that was originally lent from the amount of money that was actually repaid. 
  
  How to use it: 
  In order to calculate the lost subsidy, users must first enter the original loan amount and the actual repayment amount into the CMS. The CMS will then calculate the difference between these two amounts and display it as the lost subsidy. 
  
  Tips & Tricks: 
  It is important to ensure that all loan amounts are entered accurately in order to get an accurate calculation of the lost subsidy. Additionally, users should be aware that any interest or fees associated with the loan will not be included in the calculation of the lost subsidy. 
  
  Related Information: 
  The lost subsidy calculation is just one of many features available in SAP’s FS-CMS Collateral Management System. Other features include loan origination, loan servicing, and collateral management.