Margill Loan Manager latest version 4.4 and upcoming 5.0 – New features now on web site

Margill Loan Manager latest version 4.4 and upcoming version 5.0 – Release notes (new features) now available on our web site.

See www.margill.com/en/margill-loan-manager-release-notes

How can I enter multiple payments and advances in a loan without having to enter them one by one? I have over 100 in one loan. I have the data in Excel.

Q: How can I enter multiple payments and advances in a loan without having to enter them one by one? I have over 100 in one loan. I have the data in Excel.

A: Very easily, in seconds with a simple 4-column Excel sheet.

Go to Tools > Post Payments. On the top of the window, far right, you will see the “Bulk Payment Import” button. Of the two options, choose “Import new payments” (payments can be actual paid payments, upcoming payments, advances (additional principal), etc.)

The window will then show you the required Excel file format with the 3 required data columns and others that are optional:

  • Column A is the loan ID (this can be the MLM ID or your unique ID)
  • Column B is the Date
  • Column C is the amount (always positive)
  • Column D, in this case required since you are importing payments and advances, will specify what the amount is (a payment, what type of payment or an advance)

You can add additional information such as a line comment, a check number, other data, even that the payment should be a fixed principal payment (see the ?).

For Column D of the Excel file, you would specify what the amount is:

A Paid Payment would be a 4 in column D, and an advance would be a 14. If an amount is due but not yet paid, then this would be a 1 (so something in the future, not in the past).

 

Here is a sample Excel sheet with 2 advances (12,000 and 15,000), 5 Paid payments and 10 Due payments in the future:

The result is all good since no errors are shown. Errors would be shown in red with descriptions of whey they are in error (wrong dates, illogical scenarios, loan is not Active, etc.): To import press on “Insert lines”:

 

See also: Importing batch payments in Margill Loan Manager (CSV, Excel)

Can Margill software be used for HOA (Home Owners Association) collections along with the interest calculation?

Q: Can Margill software be used for HOA (Home Owners Association) collections along with the interest calculation?

A: Yes, very easily without needing an agency to do these calculations.

Many law firms and accountants are tasked with collecting HOA assessments and find it time consuming with a risk or error when this is done by hand or in a spreadsheet.

Option 1 – Low volume

Margill Law Interest Calculator can be used to do these calculations when there is a low volume (less than 20-25). You can even import the assessment amounts and dates as well as the payments made with a very simple 2-3 column Excel sheet.

Example of a HOA collection table where assessments are included as well as payments and attorney fees:

Nice need reports can also be produced in PDF formats that show how payments are applied.

Option 2 – Higher volume 

If your volume if greater than twenty or so cases (and can go to the hundreds or thousands), then Margill Loan Manager would be a better solution since all data is stored in a nice-neat database in which assessments, payments, attorney fees and costs can be added in bulk though a spreadsheet. You can also manage payments and collect through ACH payments – so you can actually service the HOA assessments. Furthermore, you can instantly provide your client with balances for all outstanding assessments.

For more information, please contact us at 1-877-683-1815 or by email support@margill.com

 

Setting up automatic emails (reminders) to your borrowers

Margill Automatic Emails…

  • Allow you to have Margill send out emails automatically a few days before a payment is due, to remind your borrower to pay.
  • You can send reminders to all your borrowers or only the ones that don’t pay so well or on time…
  • The system can automatically email your borrower that a payment was returned NSF
  • The system can automatically email your borrower that the last payment of the loan is coming up and that the renewal date is close
  • Or emails can be sent based on any other “Line statuses” that you have set up

Total Flexibility in your Payment Schedules

Loan servicing made easy

Completely adapt a payment schedule to your borrower’s needs and real life such as irregular payments, seasonal cashflow, interest-only, principal-only, partial, late, unpaid payments, lump sum, automatic fees, negative balances in intercompany loans, interest rate changes, residual value…

 

How can I see interest that accrued on unpaid payments?

Question:

I have a question regarding interest accruing on unpaid payments. We have a franchise that is working on their cash flow right now and we wanted to give them an updated statement on what is owed to us for their franchise loan. How can I see interest that accrued on unpaid payments? So for example if their payment was due back in March of last year and they want to make a payment. How can I show them the interest that accrued on that payment?

Answer:

This is found in the “Outstanding” columns:

The interest is a very close approximation since uses a slightly different way of calculating interest than the normal method (really not a big difference, so no need to worry about this).

In the reports see under the Outstanding theme:

 

 

Can we email an amortization report to each borrower when interest rates change?

Margill Loan Manager – Can we email an amortization report to each borrower when interest rates change?

Yes this can be done.

First, I guess you updated the interest rates though the Main window with Ctrl Alt Shift i. Ideally you have a custom field that identifies the loans that are tied to the specific index (Prime, LIBOR, etc.). With this field you can easily select the proper loans to 1) change the interest rates quickly and 2) send the amortization schedule by email.

You could have the scroll menu with “Prime” or to be more precise “Prime +”

To create the statement to send out, go to Reports > Mail/Email Template > New and create a DocX that offers many more options than the older RTF.

You can then structure the template and enter your logo and add the Merge codes to identify the Borrower, etc. You could also create your statement in Word and copy it here afterwards.

Here is what this could look like (the |105| for example, are Merge fields)…

The merge codes to enter the amortization schedule per se are under the General theme. You can try each to see which is best for you. There are 10 templates and we can program others to meet you exact needs (columns included, titles, etc.).

 

Now that your template is created, test to see if all is good (numbers, names, etc.).

Go to Reports > Document Merge.

You will need to select a date range or show the entire schedule (past, present and future payments). I would opt for a date range to see up to the rate change, not the future.

See the circled red settings below. |991| will be the schedule…

Then press on “Save – Print -Send by Email”.

Here are the options:

You can also add an email  Subject and Message when sending the email.

Email sending must be configured in Tools > Settings > Email Connection. Your IT person will usually set this up properly for each Margill user.

The selected Records will all be sent out by email in a batch. Each takes about 10 seconds to create and send out.

Early payoff – How to do this in Margill Loan Manager

Q: How to do an early payoff in Margill Loan Manager

A: For example, the loan term was originally for 5 years or 60 months (so end date was in June 2020). The borrower calls you, the creditor, and wishes to payoff his/her loan early, on October 12, 2018.

Original payment schedule:

 

I first recommend to take a snapshot of the full 60 month payment schedule – this was we have an easy to consult original payment schedule. Click on “Attach”. A PDF will be attached to the Record.

Next change the date to October 12, change the payment to 0.00 so the payoff balance is now shown (64,297.75 in this case). Notice I also changed the 2018-11-01 payment date to 2018-10-13 to see my daily interest on the balance (4.92 per day).

Change the Payment to 64,297.75 (for Oct 12).

You can then delete the next lines that are no longer required (right mouse click).

You could also decide to add extra fees for an early payoff if the contract included this (use Column fees or Line status fees). This will increase the balance of course.

Also, you could create a special payment-type Line status to identify all your early payoffs. Could be interesting for your reports.

If the final payment is late, nothing stops you from changing this final date to enter the true payment date. Extra interest will accrue.

Margill Loan Manager: Is there an audit trail that can be printed to show transactions / changes to records on a daily basis?

Q: Is there an audit trail that can be printed to show transactions / changes to records on a daily basis?

A: Yes very easily.

Go to the Main Margill window, select all the loans (probably only Active loans) , Tools > Various > Display the history of changes for selected Records.

You can then right click with the mouse to see the changes for the day, yesterday or any period of time.

You can also see the log of changes loan by loan in the Data window of each loan:

Can Margill Loan Manager be used to manage rentals (rent)?

Question: Our company does loans and rentals. Can Margill Loan Manager be used to manage rentals (monthly rents)?

Answer: As strange as this may sound for a loan servicing software, yes Margill Loan Manager can manage rentals.

The difference between a loan and a rental is that loans begin with a principal amount borrowed that usually will decrease as payments are made for the interest and principal portions. Rent on the other hand, is due (accrued), and payable every month. So rent accrues usually on the first of the month and then is paid, hopefully, on the same day. Usually, interest is not charged on rent.

First, in Tools > Settings > Custom Column Titles, change the Column “Fees” title to “Rent”.

Create a new Record. Under Data enter the date at which the first rent is due. The same date should be entered in both Origination Date and First Payment Date. The rents are payable monthly. Principal (Original) should be 0.00 and since there is no interest on the rent, Annual Nominal Rate (%) should also be 0.00%. This is a three year rental for 575 per month. Press on “Add Fees” and a window will allow you to enter the monthly rent amount.

Then press on Compute and answer No to this pop-up. We do not want Margill to compute the Principal (remains 0.00).

The rental payment schedule then appears. I moved my column called “Rent – Accrued” to the left to see it readily without needing to scroll to the right. The rent is “charged” with the “Rent – Accrued” and paid with the “Payment” column.

Notice on line 3 that my rent is a few days late. This does not change anything mathematically since interest is not charged, but this allows you to balance with your banking transactions. A partial rent amount could also have been entered and the schedule then changed based on what was agreed for later repayment between the “landlord” (or equipment rental) and the person who rents.

To be fancy, I renamed a Paid Pmt (x) Line status to “Paid Rent”. Go to Tools > Settings > Line status.