Draws (Funding Control)

This feature was added to control (track) cash flows. The way it's currently integrated into the system is that regardless of the amount disbursed to the borrower, they're being charged interest on the full loan amount.
This feature is used for those who wish to track and segment funding for borrower projects, to limit risk and ensure a better completion timeline.
Note: If you have this module enabled on your tenant, you'll need to use the Draws module to accurately reflect payoff figures for the Payoff Calculator and Payoff document table variables (Payoff and Payoff-Detailed). Otherwise, the principal owed amount and interest per diems will not be accounted for. 

For starters, you'll want to create a loan and have the loan fully invested. If no investors are assigned to fulfill the loan's 100% funding, then the Funding column on the loan's summary will be $0.
Note: The original amounts you see for interest, late fees, impound, and Hold have been added using the 'Add Initial Balances' claim (these amounts are treated separately from the loan's starting funded amount). 

Once the loan is fully funded (Investors added)you'll be able to navigate to the loan's Draws tab on the left-hand list.

Once there, you'll want to click on the 'Add Draw' button to reflect a disbursement of funds to the borrower on the loan. 

Note: The schedule will reflect the full original loan amount on the schedule. At this time this is the only way the draws function works but we're aware of other scenarios this functionality could be used for. 

You'll want to select a date, enter an amount, and write any notes you'd like to keep track of related to this draw. Then click 'Save' to disburse the funds and record the draw entry. 

Once that's done you'll see the entry with its selected transaction date, entered amount, and note with a running tally under the amount column. From here, you can delete this entry or edit it to change the date/amount/notes. 

With that draw added you'll see this disbursement reflected on the loan's summary Loan Balances area under the Funding Column (Last column).

That's all for this guide.