Once all cash transfers have been completed, the underwriting fee must also be entered into the grain loan account for each harvest payment made to the operating account. This may or may not occur at the initial drawdown and may vary between lenders, you should check your paperwork and see if this applies to your loan option.
Underwriting fee can be found on the Payment Advice and is the difference between what is recorded on the Harvest Statement and what was actually paid into your cheque account. The underwriting fee is a financial fee charged by the lender and is entered into the loan account, increasing debit balance.
To Enter Underwriting Fee
- Click Transactions.
- Click Add New.
- Select the required AWB Loan Acc from the Bank Account dropdown list.
- Select the Code (AWB Underwriting Fee). This will have a financial GST category.
- In the Description field, enter Grain Underwriting Fee.
- In the Amount field, enter the figure obtained from "Less total underwriting at" on the Harvest Payment Advice.
- Click the green tick or press F10 to save the data.