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After an indirect application has been approved, situations may arise where loan terms require adjustments once the contract arrives from the dealership. Since dealer contract is legally binding, the Loan Origination module must match the values enclosed. 

This topic consists of the following sections:

• Business Example
• Contract to Temenos Mapping

Business Example

The following section provides a business example that illustrates the updates that can be performed, based on contract and module application differences.

Application Submission

Using an indirect interface, a dealership creates an application based on the following breakdown:

Dealertrack Fields	RouteOne Fields	CUDL Fields	Amount
Cash Selling Price	Cash Price	Sales Price / Total Sales Price	$26,000.00
T&L Estimate	Tile/Lic/Other Fees	License	$1,500.00
Sales Tax	Taxes	Tax	$350.00
Rebate	Rebate	Rebate	$2,000.00
Unpaid Balance	Financed Amount	Amount Requested	$25,850.00

The indirect application imports to Temenos Infinity based on the following breakdown:

Module Loan Breakdown Fields	Amount
Loan Proceeds	$26,000.00
Rebate Amount	$2,000.00
Fees in Loan Amount (Title & License + Tax)	$1,850.00 ($350.00 + $1,500.00)
Initial Loan Amount Final Loan Amount Amount Financed	$25,850.00

Additionally, the Fees in Loan Amount are also broken down in the Fees panel.

Based on the loan terms, the application is approved, priced and transmitted back to the dealership by the institution.

Dealer Approval Handling

Upon receiving the approval, the dealership discusses the decision, rate and loan terms with the applicants. During the discussion, the applicants negotiate to lower the monthly payment amount. During this negotiation, the applicants successfully reduce the loan amount by negotiating a $500 price reduction and by adding a $1,050.00 down payment. The applicants also add a $2,500.00 Mechanical Breakdown plan and a $560.00 Guaranteed Asset Protection plan. In addition to the aforementioned loan modifications, all applications approved by the financial institution are subject to a $125.00 Loan Application Fee as well as a $5.00 New Account Voucher for non-account holder applications. Finally, the dealer marks up the customer's interest rate from 3.35% to 4.125%, which results in the Total Interest amount increasing from $2,604.65 to $3,636.81.

These modifications are added to the loan contract, signed, and submitted to the financial institution.

Institution Receives Contract

Upon receiving the dealer contract, the loan file clerk notices the differences between the approved loan terms within Temenos Infinity and the contract signed by the applicant. The loan file clerk accesses the application within the module and navigates to the Contract Updates screen.

Once on the Contract Updates screen, the clerk clears the Calculate Amortization check box and completes the following updates:

Contract Update Screen Fields	Dealertrack Fields	RouteOne Fields	CUDL Fields	Amount
Contract Amount (Base Loan Amount)	Cash Selling Price	Cash Price	Sales Price / Total Sales Price	$25,500.00
Total Down Payment	Cash Down	Cash Down	Cash Down	$1,050.00
Total Rebate	Rebate	Rebate	Rebate	No change
Total Cross Sell in Loan Amount	GAP + Warranty	GAP + Service Contract	GAP + Service Contract	Updates automatically once GAP and MBD plans are added. Process noted later in this topic.
Total Interest	Value derived from Contract	Value derived from Contract	Value derived from Contract	$3,636.81
Contract Rate	Customer Rate	Customer Rate	N/A	4.125%
Interest Rate Actual	N/A	N/A	N/A	4.125%

 

In addition to the aforementioned fields, the following fee updates are made:

Contract Update Screen Fees	Dealertrack Fields	RouteOne Fields	CUDL Fields	Amount
Title and Licensing Fees	T&L Estimate	Tile/Lic/Other Fees	License	No change
Sales Tax	Sales Tax	Taxes	Tax	$1,470.00
Third Party Originated GAP CUDL only. GAP updates for RouteOne and Dealertrack are performed on the Cross-sell screen.	GAP	GAP	GAP	$560.00
Third Party Originated MBD CUDL only. MBD updates for RouteOne and Dealertrack are performed on the Cross-sell screen.	Warranty	Service Contract	Service Contract	$2,500.00
Loan Application Fee New Account Voucher	Back End Fees	Additional Items	Other Ins/Svc	$125.00 $ 5.00

 

GAP and MBD Cross-sell Updates

To update GAP and MBD amounts on RouteOne and Dealertrack applications:

• Save the Contract Details screen and navigate to the Cross-sells screen.
• On the Cross-sells screen, locate the GAP and MBD offers.
  
  
  
• Within each offer, click .
• Update the Cross-sell Amount of each offer.
  • Enter $560.00 for the GAP offer
  • Enter $2,500.00 for the MBD offer.
• Enter a response of Yes for each offer.
• Save the updated offers.
• Return to the Contract Updates screen.

 

Once all the updates have been completed, the file clerk saves the screen and proceeds with Funding and Disbursement.

Contract to Temenos Mapping

The following section provides a sample dealer contract as well as a list of the contract's corresponding Temenos fields and fees.

Line	Line Item Label	Amount	Temenos Field
A	Price of Vehicle (including sales tax)	$37,662.10	Contract Amount (Base Loan Amount)
B	Service Contract, paid to	Abc Mutual	N/A
	Service Contract, amount	$1,796.00	Third Party Originated MBD Fee or MBD Cross-sell
C	Cash Price	$39,458.10	N/A
D	Trade Allowance	$31,728.35	Trade In Value
E	Less: Amount owing, paid to	Abc Financial	N/A
	Less Amount owing, amount	$42,140.28	Trade In Payoff Amount
F	Net Trade In	$0.00	N/A
G	Cash Payment	$550.00	Total Down Payment
H	Manufacturer's Rebate	$6,500.00	Total Rebate
I	Deferred Down Payment	N/A	N/A
J	Other Down Payment	N/A	N/A
K	Down Payment	$7,050.00	N/A
L	Unpaid Balance of Cash Price	$32,408.10	N/A
M	Financed Trade-in Balance	$10,411.93	Total Trade In Net Allowance
N	Paid to Public Officials, including filing fees	$41.25	Title and Licensing Fees
O	Insurance Premiums Paid to Insurance Companies	N/A	N/A
P	ABC Mutual	$506.00	Third Party Originated GAP Fee or GAP Cross-sell
Q	N/A	N/A	N/A
R	N/A	N/A	N/A
S	Documentary Fee	$75.00	Third Party Documentation Prep
T	N/A	N/A	N/A
U	Loan Processing Fee	$125.00	Loan Origination Fee
V	N/A	N/A	N/A
W	Total Charges Amt Paid	$11,159.18	N/A
X	Prepaid Finance Charges	$125.00	Loan Origination Fee
Y	Amount Financed	$43,442.28	Amount Financed

 

 

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