In countrys where the currency/dollar ratio is high (i.e larger numbers required for loan amounts etc)
If a loan repayment is say 9,311 CFA per month. The entrepreneur will likely only pay 9,310 or even 9,300 CFA, because of the granularity of the currency. 1 CFA equals about 2 cents. After doing this for a while (let's say 3 months), Mifos (we're using 2.0) will tag this loan as 'Active in bad standing' because multiple payments are less than they should be.
Technically, this is true, but as a practical matter, after 3 months, the loan is only behind schedule by, say 3 CFA, or 6 cents. The MFI typically isnt worried about this and might want to waive or forego it as for all practical purposes, this loan is on schedule, in good standing.
In this case, it makes sense that the amount waived is taken of the 'interest' component of the loan installment.
Discussed during triage on Sept 13, 2012 - too much of a specific use case and this need has been met by Mifos X.