Prepayments shorten or reduce a deal term or the planned repayments. Several options are available in FlexFinance Jabatix for modelling such a situation:
- Delivery to deals
Prepayment curves can be defined in FlexFinance Jabatix and an assignment can be delivered to each deal. The deadline for which a certain portion of the remaining debt was repaid is defined. Separate payments are added to the payment plan and the interest and repayments are adjusted accordingly.
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- Reproduction using shift scenarios
Individual payments can be shifted, entirely or partly, into the past, cf. Shift of Payments. In this way, it is possible to bring forward e.g. 20% of all repayments for a loan portfolio. This corresponds to a prepayment of over 20% of repayments planned for 3 to 4 years for a loan portfolio.
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