NetLoan — Enable Stay Commenced When Fully Paid on Any Loan Type
Overview
Stay Commenced When Fully Paid is a Loan Type setting for situations where a loan's balance can hit $0 without the loan actually being finished — for example, between draw periods or after an early payoff. Normally that zero balance would move the loan to Fully Amortized; this setting keeps it in Commenced status instead. It's available on every NetLoan Loan Type, not just Line of Credit loans, and enabling it also lets you process a Draw modification on a loan that's Commenced but paid off — something that otherwise fails validation once a loan's balance reaches zero.
Prerequisites
- NetLoan Administrator (or equivalent) role, to edit Loan Type records.
- One-time, per Loan Type — set this when you configure the loan type, not per individual loan.
- No dependency on the Line of Credit module — Stay Commenced When Fully Paid is visible on the Loan Type record and works as expected even when Line of Credit is turned off in Global Settings.
Setup Options
Navigation
- Top navigation: NetLoan > NetLoan Setup > Loan Types
- Open the Loan Type record you want to configure (or create a new one).
Loan Type Record
| Field Name | Field Type | Description | Dependencies | Options / Example | Field ID |
|---|---|---|---|---|---|
| Stay Commenced When Fully Paid | Checkbox | Keeps loans of this type in Commenced status when their balance nets to zero mid-term, instead of automatically advancing them to Fully Amortized. Also enables processing a Draw modification on a loan of this type that's Commenced but paid off. | None | Checked / Unchecked | custrecord_da_type_stay_commenced |
Unchecking this setting later does not automatically change the status of loans already sitting at a $0 balance in Commenced status — moving those to Fully Amortized isn't a self-service action, and we recommend reaching out to Netgain Support for guidance on a manual or CSV-based correction.
Use Case Specific Setup
Use Case: Construction Loan
For construction loans where the balance can hit $0 between draw periods (e.g., between funding draws on a build):
| Field | Setting | Notes |
|---|---|---|
| Stay Commenced When Fully Paid | Checked | Prevents the loan from closing out to Fully Amortized during a gap between draws, so the next draw can be processed on the same loan. |
Use Case: Term Loan with Early Payoff
For term loans where an early payoff shouldn't close the loan out ahead of its scheduled maturity date:
| Field | Setting | Notes |
|---|---|---|
| Stay Commenced When Fully Paid | Checked | Keeps the loan Commenced through its original maturity date even if the balance is paid off early. |
Use Case: Loan with Future Scheduled Fees
For any loan type that has fees scheduled after the point the principal balance reaches zero:
| Field | Setting | Notes |
|---|---|---|
| Stay Commenced When Fully Paid | Checked | Keeps the loan in Commenced status so billing/invoicing logic for those future fees keeps running. Without this, the loan would move to Fully Amortized and the remaining fee billing wouldn't process as expected. |
Use Case: Loan Starting at a $0 Initial Balance (Workaround Required)
Some loans need to be created with a $0 Initial Loan Balance — for example, an intercompany loan set up as a Line of Credit that shouldn't record any balance until the first draw. This is not currently supported for loans with a Loan Type with Stay Commenced When Fully Paid enabled.
Workaround: Don't commence the loan right away. Leave it in Pending status until the first real draw is ready to be processed, then generate the schedule and commence the loan at that point.
| Field | Setting | Notes |
|---|---|---|
| Stay Commenced When Fully Paid | Checked | Loan should stay in Pending status (not commenced) until the first draw is ready — commencing at $0 is currently not supported. |
