You can update bank and financing information easily within the software. When entering bank information here, be sure to only enter information on banks for which you will be printing loan paperwork. If you are also doing dealer financing (Buy-Here/Pay-Here), you will want to set up a bank with your dealership information and mark that bank as an in-house financing source.
Note: On occasion, a customer may obtain outside financing on his or her own and possibly come to you with a cashier's check in-hand. In situations like this, you would not enter the financing bank's information into this window. Since the customer has already obtained financing, you will not need to print any bank contracts on behalf of the lender. You may, however, want to list the lender as a lienholder on the vehicle. In this case, you would enter the lender's information into the Outside Lienholders section of the software.
Click on Maintenance in the menu bar and select Banks from the drop-down menu.
The software will open the Bank Maintenance screen. Within this screen you can add new lending institutions, delete lending institutions, or edit existing ones.
On the left-hand side of the window is a listing of financial institutions which were already entered into the software. You may re-arrange this list by selecting and highlighting an institution name and clicking the up or down arrows above the listing to move your selection up or down the list.
To delete an institution from the list, hightlight and select an institution and click the Delete Bank button.
To add a new institution to the list, click the Add Bank button. The software will display a new window asking for a short name to describe the institution to be added. This short name will appear in the listing at the left-hand side of the window and will also be used in other pull-down menus within the program.
Next, select the loan type this institution will provide. The loan types available for selection are:
Next, select whether or not this instiution is for in-house financing -- also known as Buy-Here/Pay-Here. If this institution is for in-house financing, click in the box marked In-House Financing (Buy-Here/Pay-Here), and a check mark will appear. If the check mark is visible, the institution has been marked as an in-house lender. It is common for a dealership to enter their own information when setting up an institution for in-house financing since the dealership will be the lender.
Next, select if the final payment must match all other payments in the loan. Normally, this is used for Buy-Here/Pay-Here loans with zero-percent financing. During many of these loan calculations, the final payment may be slightly less than the other payments. If you wish all payments to be the same, check the Final Payment Must Be Same as Others option.
Next, select whether or not to use the Federal calendar when calculating a loan with this finance source. The Federal calendar option forces a loan to be calculated as if all months were 30 days long. Generally, the Use Federal Calendar option is left unchecked.
Next, select whether or not you want the institution name and address to show in the lienholder section of forms when printing. This is used primarily for leases. If you do not want to show the institution information, click in the box marked Don't Print in Lienholder Section. If the check mark is visible, the institution information is not printed on forms.
Enter the institution's full name, address, phone number, and financial institution number.
Enter the reserve calculation in the Reserve Calculation box. Click the down arrow to display a pull-down menu listing the different methods banks use to calculate a dealer's reserve on a loan. Select the one appropriate for this institution. If you are entering a Buy-Here/Pay-Here bank, you generally do not use reserve calculations as you are keeping all of the interest paid and can therefore leave this section blank. There are several types of reserve calculations available:
Next, enter the percentage of the reserve paid to the dealership. Enter this amount as a percentage in the % of Reserve box.
If the dealership will receive a minimum reserve amount, you can enter it in the Min Reserve box.
The Prepaid Fin Charge box is for the entry of a default prepaid finance charge. This value will be entered automatically in various screens within the software; however, you may override this value on those other screens if necessary.
Enter a bank fee into the Bank Fee box. This is a fee, application or otherwise, charged by the bank to the customer in order to process the loan.
When you set up a Buy-Here/Pay-Here finance source, you may want to collect late fees on delinquent payments. You can set up the delinquency charge amount on the Bank Maintenance screen into a special section that is only visible when you check the box marked In-House Financing (Buy-Here/Pay-Here). This section is located at the right-hand side of the window.
Enter the desired amount for a late charge, the time period for which each charge is assessed, and the grace period for each payment. The data you enter here will be added to each Buy-Here/Pay-Here deal, but you may override this information directly on the deal screens.
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