A collateral in Fairways Debt is a property or an asset that a borrower offers to ensure a loan guarantee for the lender.
Fairways Debt enables you to set a collateral policy at the account level. This configuration affects how transactions are valued.
Note: Only account administrators can global collateral policies.
Navigate to the Account Administration
- Log in to your Fairways Debt account.
- Select a customer account.
- Click Account Administration
in the application menu.
Set a Global Collateral Policy
- Navigate to Account > Account Configuration.
- Navigate to the Collateral Policies section.
- Click Edit beside the configured policy.
- Select the relevant policy.
Note: "Cash" is the default collateral policy set for the account. When this policy is selected, pricing is based on the RFR (Risk-Free Rate) zero-coupon curves for the following currencies: EUR, USD, GBP, CAD, and CHF. For all other currencies, pricing continues to rely on IBOR curves.
When "None" is selected, pricing is based on IBOR curves for EUR only. Pricing remains based on RFR curves for USD, GBP, CAD, and CHF, and on IBOR curves for all other currencies.
- Click Apply.
The selected policy displays in the section.