Create a Guarantee

A loan guarantee in Fairways Debt ensures a guarantor assumes the debt obligation of a borrower in case of failure. Such a guarantee can be limited or unlimited, so that the guarantor might be liable for the entire debt or only for a part.

Transaction types associable with guarantees are:

  • Loans
  • Derivatives
  • Bonds
  • Issuing programs
  • Credit facilities
  • Municipal commercial paper (CP) programs
  • Leases

 

Prerequisite

 

Navigate to the Debt & Derivatives Application
  1. Log in to your Fairways Debt account, e.g. https://login.financeactive.com/eu.
  2. Select a customer account.
  3. Navigate to Applications > Debt & Derivatives.

 

Create a Guarantee
  1. Click Add Transaction > Guarantee > Guarantee.

Portfolio_AddTransaction_Guarantee_EN.png

  1. Complete the form with all relevant details.

Note: Fields marked with an asterisk * are mandatory.

Field

Description

Reference Code

Unique reference of the transaction. Identifies the transaction in the portfolio.

Note: The reference must be unique among all the entities managed in the account.

External Reference Code

Used by external systems to identify the transaction. Used when transactions are imported from or exported to another system.

Initial Limit

Maximum allowed amount.

Currency

Currency of the guarantee amount.

Borrower

Borrowing entity in the system.

Guarantor

Entity assuming the debt obligation for the borrower.

Guarantee Percentage

Part of the loan guaranteed in percentage.

Transaction_EN.png

Field

Description

Trade Date

Date at which the transaction has been traded. From that date, the system takes the transaction into account as an item of the portfolio.

Start Date

Unadjusted start date of the transaction.

Maturity Date

Unadjusted maturity date of the transaction.

Dates_EN.png

  1. Click Apply.

Guarantee_Create_EN.png

The new guarantee displays in the draft portfolio.

Guarantee_Created_EN.png

 

 

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