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

SAP Term: transitional collateral

• Component: FS-CMS

• Component Name: Collateral Management System

• Description: A collateral that is drawn upon until the final collateral as agreed upon in the collateral agreementis recovered.

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• Key Concepts: 
  Transitional collateral is a type of collateral that is used to secure a loan or other financial transaction. It is a temporary form of security that is used until the loan or transaction is completed. In the SAP FS-CMS Collateral Management System, transitional collateral is managed and monitored to ensure that it meets the requirements of the loan or transaction. 
  
  How to use it: 
  In the SAP FS-CMS Collateral Management System, users can manage and monitor transitional collateral. This includes setting up the collateral, monitoring its status, and ensuring that it meets the requirements of the loan or transaction. The system also allows users to track and report on the collateral's performance over time. 
  
  Tips & Tricks: 
  When setting up transitional collateral in the SAP FS-CMS Collateral Management System, it is important to ensure that all of the necessary information is entered correctly. This includes the type of collateral, its value, and any other relevant details. Additionally, users should regularly monitor the status of the collateral to ensure that it meets the requirements of the loan or transaction. 
  
  Related Information: 
  The SAP FS-CMS Collateral Management System also allows users to manage and monitor other types of collateral, such as real estate, securities, and commodities. Additionally, users can use the system to generate reports on their collateral's performance over time.