Loan Products
Loan Products defines each lending product and its rules - interest method and rate, tenor limits, instalment frequency, fees, penalties, eligibility and the linked accounting. Product configuration drives schedule generation, charging and provisioning, so it is the master setup that governs how loans behave.

Workflow
- Create or open a loan product.
- Set the interest method (flat, reducing balance) and rate.
- Define the tenor range, repayment frequency and grace period.
- Configure fees, penalty rules and eligibility limits.
- Map the product to its accounting accounts and save.
Fields reference
Every field on this screen, drawn from the live data model.
| Field | Type | Required | Description |
|---|---|---|---|
Enable Cycle Progressionenable_cycle_progression | Yes/No | — | Repeat borrowers get higher limits per cycle |
Product Namename | Text | Yes | Product Name |
Product Codecode | Text | Yes | Product Code |
Interest Methodinterest_method | Choice: Flat Rate, Declining Balance (Reducing), Equal Principal Payments | Yes | Interest Method |
Annual Interest Rate (%)interest_rate | Decimal | Yes | Annual Interest Rate (%) |
Interest Calculation Periodinterest_period | Choice: Daily, Weekly, Monthly, Quarterly, Annually | Yes | Interest Calculation Period |
Repayment Frequencyrepayment_frequency | Choice: Daily, Weekly, Bi-Weekly (Fortnightly), Monthly, Quarterly, Bullet (Lump Sum at End) | Yes | Repayment Frequency |
Loan Typeloan_type | Choice: Individual Loan, Group Loan, Emergency Loan, Asset Finance, Agriculture Loan, Education Loan, Business Loan, Salary Advance | Yes | Loan Type |
Has Messagehas_message | Yes/No | — | Has Message |
Sequencesequence | Number | — | Sequence |
Activeactive | Yes/No | — | Active |
Descriptiondescription | Rich text | — | Description |
Color Indexcolor | Number | — | Color Index |
Minimum Term (Months)min_term | Number | — | Minimum Term (Months) |
Maximum Term (Months)max_term | Number | — | Maximum Term (Months) |
Grace Period - Principal (Months)grace_period_principal | Number | — | Grace Period - Principal (Months) |
Grace Period - Interest (Months)grace_period_interest | Number | — | Grace Period - Interest (Months) |
Currencycurrency_id | Link → res.currency | — | Currency |
Minimum Loan Amountmin_amount | Money | — | Minimum Loan Amount |
Maximum Loan Amountmax_amount | Money | — | Maximum Loan Amount |
Max Amount (First Loan)max_amount_first_loan | Money | — | Max Amount (First Loan) |
Penalty Rate (% per month)penalty_rate | Decimal | — | Penalty Rate (% per month) |
Penalty Grace Dayspenalty_grace_days | Number | — | Penalty Grace Days |
Penalty Methodpenalty_method | Choice: On Overdue Principal, On Overdue Installment (P+I), On Outstanding Balance, Fixed Amount Per Day | — | Penalty Method |
Fixed Penalty Amount/Daypenalty_fixed_amount | Money | — | Fixed Penalty Amount/Day |
Processing Fee Typeprocessing_fee_type | Choice: No Fee, Percentage, Fixed | — | Processing Fee Type |
Processing Fee (%)processing_fee_rate | Decimal | — | Processing Fee (%) |
Processing Fee (Fixed)processing_fee_amount | Money | — | Processing Fee (Fixed) |
Insurance Fee Typeinsurance_fee_type | Choice: No Fee, Percentage, Fixed | — | Insurance Fee Type |
Insurance Fee (%)insurance_fee_rate | Decimal | — | Insurance Fee (%) |
Insurance Fee (Fixed)insurance_fee_amount | Money | — | Insurance Fee (Fixed) |
Disbursement Fee Typedisbursement_fee_type | Choice: No Fee, Percentage, Fixed | — | Disbursement Fee Type |
Disbursement Fee (%)disbursement_fee_rate | Decimal | — | Disbursement Fee (%) |
Disbursement Fee (Fixed)disbursement_fee_amount | Money | — | Disbursement Fee (Fixed) |
Deduct Fees from Disbursementdeduct_fees_from_disbursement | Yes/No | — | Deduct Fees from Disbursement |
Require Collateralrequire_collateral | Yes/No | — | Require Collateral |
Min Collateral Coverage (%)min_collateral_coverage | Decimal | — | Min Collateral Coverage (%) |
Require Guarantorrequire_guarantor | Yes/No | — | Require Guarantor |
Minimum Guarantorsmin_guarantors | Number | — | Minimum Guarantors |
Max Guarantor Exposure (%)max_guarantor_exposure_pct | Decimal | — | Max Guarantor Exposure (%) |
Min Membership Duration (Months)min_membership_months | Number | — | Min Membership Duration (Months) |
Min Savings Balancemin_savings_balance | Money | — | Min Savings Balance |
Max Active Loans Per Membermax_active_loans | Number | — | Max Active Loans Per Member |
Cycle Levelscycle_ids | List | — | Cycle Levels |
Approval Levelsapproval_level_ids | List | — | Approval Levels |
Notes & rules
- Model: mfi.loan.product.
- Interest methods: flat, reducing balance, etc.
- Drives schedule, fee, penalty and accounting behaviour.
- Referenced by every loan application.
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