Amortization Schedule Out of Balance
The situation: The contracts amortization schedule is out of balance to the contracts economics. The users receive a “Current values do not amortize” error.
The solution: Preform a non-economic contract modification to correct amortization balance.
1. Open Contract
2. Fill out rewrite section
a. Rewrite type: Contract Modification
b. Date: Todays Date or next available date in January
c. Reason code: Any
3. Modification: A simple
non-economic Contract Modification would be to enter in an amount in the
Estimated Amount Financed field. There are no implications of adding a value in
this field. Usually it is just used for reporting or documents. I have entered
in the amount financed to this field for this example.
4. Click Post
5. GL entry rolls up earnings to
correct.
6. Amortization schedule is corrected
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