In this article we will be going through different scenarios relating to revolving credit mortgages and how to represent that on Trail.

You can choose to fill in the information about your client's revolving credit home loan either from their 'Position' page, or directly for an active 'Application'. Click into one of these before proceeding.

This is when your client has a revolving credit that they have drawn from. This means that their cash available would be their Facility limit minus the amount drawn.

Start by going to the 'Mortgages' page under the 'Fact Find' heading and adding a new loan. Once you have done that, the first thing to input is select the 'Loan Type' as 'Flexible (Revolving Credit)', which would show you a different set of fill-in fields from other loan types.

These are the mandatory fields but you can add further details if you have it:

Once this is filled in and all the necessary information there, there should be a green tick at the top right corner of the mortgage item:

The next thing to check is that the software has registered this information about this mortgage. To do this, you would go to an active application, then from the sidebar, go to the 'Funding Details' page under 'Application'.

When you're on the page, scroll down to the heading that says 'Cash and Equivalents'. From here, there should be one type called 'Cash from Existing Loan Facility' at the bottom of the options. The suggested amount shown to the right of the arrow should be the Facility Limit minus the Amount Drawn that you filled in earlier, in this case '$70,000'. You can click the blue arrow to confirm this amount.

Please see this run through for a short demo:

Similar to Scenario 1, except no amount is drawn and therefore the cash available is the Facility Limit.

Same process as Scenario 1, except fill in the correct details.

The resulting implication of this is shown in the 'Funding Details' where the 'Cash From Existing Loan Facility' should be just the Facility Limit.

In this scenario, it would still be necessary to apply this mortgage as per scenario 2 except there is extra funds to accurately represent in Trail.

The extra funds that your client has in their revolving credit account would be best counted under 'Assets & Investments' and adding the asset as 'Cash Funds'. Then you are able to input the value and a description where you can opt to explain it is extra funds on top of a revolving credit.

And don't forget to check this in the 'Funding Details' under 'Cash & Equivalents', this extra fund/ cash on-hand should show up as a suggested amount which you can then confirm by clicking that blue arrow:

Questions about managing revolving credit mortgages on Trail?

Please get in touch with us at support@gettrail.com, or using the chat button in the bottom right of the screen.