1. Create loan product with following datasets,
Repayment Strategy:Overdue/Due Fee/Int Principal,
Repayments:12 every 1 Months,
Interest:12 per annum (1% Per month),
Interest Calculation Period as Daily,
Interest Typeeclining Balance
Days in year:Actual
Days in month:Actual
Interest recalculation compounding on:None
Advance payments adjustment type:Reduce number of installments
Frequency for recalculate Outstanding Principal:Every -1 months on day 1
2. Create a client and submit new loan application on 01 September 2015, approve and disburse on same date.
3. Make early repayment on 15 September 2015.
>Interest calculated for 01 October 2015 is not proper,
> Since repayment is done on 15 September interest should get computed for 14 days for 10000, and for 01 October interest should get computed for 16 days for 10000 only.