Post Loan Payment – Adding Out of Pocket Payments

Primary Department Supported: Accounting

Description:  Instructions for posting a loan payment in LMS, including approval requirements, waterfall payment order, allocation steps, and validation checks. 

Super Powers Needed? - NO 

Developer Support Needed? - NO 

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Context and Common Situations 

This process is often part of correcting the Loan History, such as: 

• Voiding an incorrect payment and needing to re‑post funds 

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Important Considerations & Best Practices 

• Identify the effective date and Obtain Proper Approval as needed
  • Requests from departments outside of accounting: Get approval from accounting leadership to post (Helen Yoon, Richa Pandey, Megan McKell, Lisa Aplin)
  • Requests from accounting members: For payments with effective dates in prior months: Get approval from accounting leadership before posting (Helen Yoon, Richa Pandey, Megan McKell, Lisa Aplin)
• Use Caution on Post Payments Screen:
  • The Post Payments screen shows every open charge for every loan under the borrower. 
• When applying payments, follow the required waterfall order  
  • Past Due Interest 
  • Past Due Fees 
  • Current Due Interest 
  • Current Due Fees 
  • Principal 

• Always ensure instructions clearly indicate which charge(s) should be paid and how the payment should be allocated. 

• Always confirm the loan number before selecting charges in the Post Payments Screen. 

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Instructions 

From the LMS Menu Select 

1. Select Accounting
2. Select Post Payments
3. Click Post Payment.
4. On the first Screen:
   1. Select the Payment Method (Portal, Wire, Check).
   2. Enter the Borrower Name
   3. Add the Bank Organization  (usually prefills)
   4. Enter the Received Date
   5. Enter the Amount received.
   6. Click Submit. 

    5. On the Second Screen: Apply the Payment: 

1. 1. Review the list of open charges and loan numbers displayed on the page 

   2. Check mark the charge(s) next to the loan number which the payment should be applied. (the system will automatically move the funds due into the allocation fields)

      1. If any funds are being applied to principal you can allocate funds to principal at the top of the page using the dropdown or "add remaining amount"
   3. Review the "Total Payment Allocated" box at the bottom to ensure all funds are accounted for"

   4. Click Submit to apply the payment

 

 

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Validation and Troubleshooting 

• Verify with Accounting If the charges shown in Post Payments do not match the expected order or if the system suggests applying funds differently/different amounts 
• If a charge does not appear in Post Payments screen:  
  • Confirm the borrower name selected on the first page is correct
  • Confirm the Expect Pay flag is marked for YES

  Video Walkthrough: