Enter General Details for a Finance Contract

Security Note: You need the Allow contract maintenance security right in the Contracts domain security rights group for this activity.

Activity Steps

1. Open the Finance Service Contract.
2. Select the Details tab.
3. Complete the following fields.
   • Date Of Agreement—Date on which the contract was agreed.
   • Contract Basis—Select from the Contract Basis list items defined in the List Editor.
   • Loan Amount—This quantity is used as the 'allowed quantity' of the contract. When selecting a finance rate as a service charge, the quantities are validated. A warning displays if the allocated quantity is greater than the allowed quantity.

   Note: The Allocated Quantity is the total despatch order quantity that has been allocated to the finance contract. This allocation may be via service charges in purchase contract terms, or directly on the despatch orders. Clicking the Allocated Quantity hyperlink displays a pop-up table that lists all the applicable despatch orders and quota balances, their location paths, allocated quantity and unit. The location paths show the contract, contract product and quota of the despatch orders. This list does not include despatch orders that have a service charge allocated, but because despatch dates or some other data do not match the finance rate, would not include the service charge in an invoice.

   • Currency—Currency of the loan amount and primary currency for the contract rates. Select from the currencies defined in the Currency/Exchange Editor.
   • UOM—Select from the Mass units defined in the Unit Conversion Editor.
   • Interest Basis—Number of days used as the basis of interest rates used in the contract rates. Select from 360 and 365 (default).
4. Complete the remaining fields as required.
   • Pay To—Default Pay To organisation on invoices. If not specified, the Bank of the contract is used as the default Pay To organisation on invoices. Select from the organisations and companies defined on the Organisations panel of the Solution Explorer.
   • Exchange Rate Source—Exchange rate source for exchange rates to the primary currency. Select from the exchange rate sources defined in the Currency/Exchange Editor.

   If actual exchange rates are not available, forward exchange rates can be used in despatch order snapshots and contract quota snapshots to estimate future currency values in invoice previews. Estimation with forward exchange rates is applicable to revenue and cost line items related to service and freight contracts. This exchange rate estimation method must be enabled and selected in the snapshot settings. See Estimate Exchange Rate If Not Available in Specify Snapshot Settings. Only actual exchange rates are used in invoice calculations.

   • Exchange Rate Method—Method used to determine which rate(s) to use from the Exchange Rate Source. Select from:
   • Date Of Invoice (default)
   • Previous Month Average
   • Last Day Of Previous Month—Uses the last business day of the previous month if a calendar is specified for the Exchange Rate Source. If multiple calendars are specified, the last business day common to all calendars is used.
   • Day Before Invoice Date—Uses the last business day before the invoice date if a calendar is specified for the Exchange Rate Source. If multiple calendars are specified, the last business day common to all calendars is used.
   • Last Known Exchange Rate
   • Bill Of Lading—If the bill of lading date is a non-working day in the applicable calendar, uses the exchange rate from the previous business day.
   • Day Before First Invoice Date—Uses the last business day before the date of the first commercial invoice if a calendar is specified for the Exchange Rate Source. If multiple calendars are specified, the last business day common to all calendars is used.
   • Actual Payment Date—The actual payment date of the loan, and the date up to which the finance contract is valid.
   • Latest Cancellation Date—Date after which the contract cannot be cancelled.
   • Cancellation Term—Select from No Cancellation, Partial Cancellation and Total Cancellation.
   • Authorised Party—Parties authorised to cancel the contract. Select from Company, Provider and Both.
   • Comments
   • Contract Reference—Reference to the contract documentation, that is, the legal paperwork.
5. Click Save.