Skip to content

FINERACT-2421: Adjust interest with MIR and CBR results in improper allocations #5356

New issue

Have a question about this project? Sign up for a free GitHub account to open an issue and contact its maintainers and the community.

Sign up for GitHub

By clicking “Sign up for GitHub”, you agree to our terms of service and privacy statement. We’ll occasionally send you account related emails.

Already on GitHub? Sign in to your account

Open
alberto-art3ch wants to merge 2 commits into
base: develop
Choose a base branch
from
+187 −19
Open

FINERACT-2421: Adjust interest with MIR and CBR results in improper allocations #5356

Show file tree
Hide file tree
Changes from all commits
Commits
Show all changes
2 commits
Select commit Hold shift + click to select a range
a030150
FINERACT-2421: Adjust interest with MIR and CBR results in improper a…
Jan 19, 2026
b49a834
FINERACT-2421: e2e tests for MIR and CBR with adjust interest
MarianaDmytrivBinariks Jan 21, 2026
File filter

Filter by extension

Filter by extension
Conversations
Failed to load comments.
Loading
Jump to
Jump to file
Failed to load files.
Loading
Diff view
Diff view
115 changes: 115 additions & 0 deletions fineract-e2e-tests-runner/src/test/resources/features/LoanMerchantIssuedRefund.feature
View file
Open in desktop
Original file line number Diff line number Diff line change
Expand Up @@ -695,3 +695,118 @@ Feature: MerchantIssuedRefund
| 01 February 2025 | Interest Refund | 1.46 | 1.46 | 0.0 | 0.0 | 0.0 | 23.34 | false | true |
#following steps will fail if Interest Refund is not recalculated properly
Then Loan has 23.97 outstanding amount

@TestRailId:C4541
Scenario: Verify MIR and CBR with adjust interest afterwards outcomes with proper allocations on account
When Admin sets the business date to "24 September 2024"
And Admin creates a client with random data
And Admin creates a fully customized loan with the following data:
| LoanProduct | submitted on date | with Principal | ANNUAL interest rate % | interest type | interest calculation period | amortization type | loanTermFrequency | loanTermFrequencyType | repaymentEvery | repaymentFrequencyType | numberOfRepayments | graceOnPrincipalPayment | graceOnInterestPayment | interest free period | Payment strategy |
| LP2_ADV_CUSTOM_PMT_ALLOC_PROGRESSIVE_LOAN_SCHEDULE_HORIZONTAL | 24 September 2024 | 116.89 | 35.99 | DECLINING_BALANCE | DAILY | EQUAL_INSTALLMENTS | 3 | MONTHS | 1 | MONTHS | 3 | 0 | 0 | 0 | ADVANCED_PAYMENT_ALLOCATION |
And Admin successfully approves the loan on "24 September 2024" with "116.89" amount and expected disbursement date on "24 September 2024"
And Admin successfully disburse the loan on "24 September 2024" with "116.89" EUR transaction amount
Then Loan Repayment schedule has 3 periods, with the following data for periods:
| Nr | Days | Date | Paid date | Balance of loan | Principal due | Interest | Fees | Penalties | Due | Paid | In advance | Late | Outstanding |
| | | 24 September 2024 | | 116.89 | | | 0.0 | | 0.0 | 0.0 | | | |
| 1 | 30 | 24 October 2024 | | 79.08 | 37.81 | 3.51 | 0.0 | 0.0 | 41.32 | 0.0 | 0.0 | 0.0 | 41.32 |
| 2 | 31 | 24 November 2024 | | 40.13 | 38.95 | 2.37 | 0.0 | 0.0 | 41.32 | 0.0 | 0.0 | 0.0 | 41.32 |
| 3 | 30 | 24 December 2024 | | 0.0 | 40.13 | 1.2 | 0.0 | 0.0 | 41.33 | 0.0 | 0.0 | 0.0 | 41.33 |
And Loan Repayment schedule has the following data in Total row:
| Principal due | Interest | Fees | Penalties | Due | Paid | In advance | Late | Outstanding |
| 116.89 | 7.08 | 0.0 | 0.0 | 123.97 | 0.0 | 0.0 | 0.0 | 123.97 |
And Loan Transactions tab has the following data:
| Transaction date | Transaction Type | Amount | Principal | Interest | Fees | Penalties | Loan Balance | Reverted | Replayed |
| 24 September 2024 | Disbursement | 116.89 | 0.0 | 0.0 | 0.0 | 0.0 | 116.89 | false | false |
# --- repayment transaction --- #
When Admin sets the business date to "26 September 2024"
And Customer makes "REPAYMENT" transaction with "AUTOPAY" payment type on "26 September 2024" with 117.12 EUR transaction amount and system-generated Idempotency key
Then Loan Repayment schedule has 3 periods, with the following data for periods:
| Nr | Days | Date | Paid date | Balance of loan | Principal due | Interest | Fees | Penalties | Due | Paid | In advance | Late | Outstanding |
| | | 24 September 2024 | | 116.89 | | | 0.0 | | 0.0 | 0.0 | | | |
| 1 | 30 | 24 October 2024 | 26 September 2024 | 75.8 | 41.09 | 0.23 | 0.0 | 0.0 | 41.32 | 41.32 | 41.32 | 0.0 | 0.0 |
| 2 | 31 | 24 November 2024 | 26 September 2024 | 34.48 | 41.32 | 0.0 | 0.0 | 0.0 | 41.32 | 41.32 | 41.32 | 0.0 | 0.0 |
| 3 | 30 | 24 December 2024 | 26 September 2024 | 0.0 | 34.48 | 0.0 | 0.0 | 0.0 | 34.48 | 34.48 | 34.48 | 0.0 | 0.0 |
And Loan Repayment schedule has the following data in Total row:
| Principal due | Interest | Fees | Penalties | Due | Paid | In advance | Late | Outstanding |
| 116.89 | 0.23 | 0.0 | 0.0 | 117.12 | 117.12 | 117.12 | 0.0 | 0.0 |
And Loan Transactions tab has the following data:
| Transaction date | Transaction Type | Amount | Principal | Interest | Fees | Penalties | Loan Balance | Reverted | Replayed |
| 24 September 2024 | Disbursement | 116.89 | 0.0 | 0.0 | 0.0 | 0.0 | 116.89 | false | false |
| 26 September 2024 | Repayment | 117.12 | 116.89 | 0.23 | 0.0 | 0.0 | 0.0 | false | false |
| 26 September 2024 | Accrual | 0.23 | 0.0 | 0.23 | 0.0 | 0.0 | 0.0 | false | false |
| 26 September 2024 | Accrual Activity | 0.23 | 0.0 | 0.23 | 0.0 | 0.0 | 0.0 | false | false |
# --- Merchant Issue Refund transaction --- #
When Admin sets the business date to "06 October 2024"
Then Customer makes "MERCHANT_ISSUED_REFUND" transaction with "AUTOPAY" payment type on "06 October 2024" with 8.13 EUR transaction amount and system-generated Idempotency key
Then Loan has 0 outstanding amount
Then Loan status will be "OVERPAID"
Then Loan has 8.14 overpaid amount
Then Loan Repayment schedule has 3 periods, with the following data for periods:
| Nr | Days | Date | Paid date | Balance of loan | Principal due | Interest | Fees | Penalties | Due | Paid | In advance | Late | Outstanding |
| | | 24 September 2024 | | 116.89 | | | 0.0 | | 0.0 | 0.0 | | | |
| 1 | 30 | 24 October 2024 | 26 September 2024 | 75.8 | 41.09 | 0.23 | 0.0 | 0.0 | 41.32 | 41.32 | 41.32 | 0.0 | 0.0 |
| 2 | 31 | 24 November 2024 | 26 September 2024 | 34.48 | 41.32 | 0.0 | 0.0 | 0.0 | 41.32 | 41.32 | 41.32 | 0.0 | 0.0 |
| 3 | 30 | 24 December 2024 | 26 September 2024 | 0.0 | 34.48 | 0.0 | 0.0 | 0.0 | 34.48 | 34.48 | 34.48 | 0.0 | 0.0 |
And Loan Repayment schedule has the following data in Total row:
| Principal due | Interest | Fees | Penalties | Due | Paid | In advance | Late | Outstanding |
| 116.89 | 0.23 | 0.0 | 0.0 | 117.12 | 117.12 | 117.12 | 0.0 | 0.0 |
And Loan Transactions tab has the following data:
| Transaction date | Transaction Type | Amount | Principal | Interest | Fees | Penalties | Loan Balance | Reverted | Replayed |
| 24 September 2024 | Disbursement | 116.89 | 0.0 | 0.0 | 0.0 | 0.0 | 116.89 | false | false |
| 26 September 2024 | Repayment | 117.12 | 116.89 | 0.23 | 0.0 | 0.0 | 0.0 | false | false |
| 26 September 2024 | Accrual | 0.23 | 0.0 | 0.23 | 0.0 | 0.0 | 0.0 | false | false |
| 26 September 2024 | Accrual Activity | 0.23 | 0.0 | 0.23 | 0.0 | 0.0 | 0.0 | false | false |
| 06 October 2024 | Merchant Issued Refund | 8.13 | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | false | false |
| 06 October 2024 | Interest Refund | 0.01 | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | false | false |
# --- Credit Balance Refund transaction --- #
When Admin sets the business date to "07 October 2024"
And Admin makes Credit Balance Refund transaction on "07 October 2024" with 8.14 EUR transaction amount
Then Loan is closed with zero outstanding balance and it's all installments have obligations met
Then Loan Repayment schedule has 3 periods, with the following data for periods:
| Nr | Days | Date | Paid date | Balance of loan | Principal due | Interest | Fees | Penalties | Due | Paid | In advance | Late | Outstanding |
| | | 24 September 2024 | | 116.89 | | | 0.0 | | 0.0 | 0.0 | | | |
| 1 | 30 | 24 October 2024 | 26 September 2024 | 75.8 | 41.09 | 0.23 | 0.0 | 0.0 | 41.32 | 41.32 | 41.32 | 0.0 | 0.0 |
| 2 | 31 | 24 November 2024 | 26 September 2024 | 34.48 | 41.32 | 0.0 | 0.0 | 0.0 | 41.32 | 41.32 | 41.32 | 0.0 | 0.0 |
| 3 | 30 | 24 December 2024 | 26 September 2024 | 0.0 | 34.48 | 0.0 | 0.0 | 0.0 | 34.48 | 34.48 | 34.48 | 0.0 | 0.0 |
And Loan Repayment schedule has the following data in Total row:
| Principal due | Interest | Fees | Penalties | Due | Paid | In advance | Late | Outstanding |
| 116.89 | 0.23 | 0.0 | 0.0 | 117.12 | 117.12 | 117.12 | 0.0 | 0.0 |
And Loan Transactions tab has the following data:
| Transaction date | Transaction Type | Amount | Principal | Interest | Fees | Penalties | Loan Balance | Reverted | Replayed |
| 24 September 2024 | Disbursement | 116.89 | 0.0 | 0.0 | 0.0 | 0.0 | 116.89 | false | false |
| 26 September 2024 | Accrual | 0.23 | 0.0 | 0.23 | 0.0 | 0.0 | 0.0 | false | false |
| 26 September 2024 | Repayment | 117.12 | 116.89 | 0.23 | 0.0 | 0.0 | 0.0 | false | false |
| 26 September 2024 | Accrual Activity | 0.23 | 0.0 | 0.23 | 0.0 | 0.0 | 0.0 | false | false |
| 06 October 2024 | Merchant Issued Refund | 8.13 | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | false | false |
| 06 October 2024 | Interest Refund | 0.01 | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | false | false |
| 07 October 2024 | Credit Balance Refund | 8.14 | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | false | false |
# --- loan reschedule with new interest rate --- #
When Admin sets the business date to "30 October 2024"
When Admin creates and approves Loan reschedule with the following data:
| rescheduleFromDate | submittedOnDate | adjustedDueDate | graceOnPrincipal | graceOnInterest | extraTerms | newInterestRate |
| 25 September 2024 | 30 October 2024 | | | | | 25.99 |
Then Loan has 0 outstanding amount
Then Loan status will be "OVERPAID"
Then Loan has 0.1 overpaid amount
Then Loan Repayment schedule has 3 periods, with the following data for periods:
| Nr | Days | Date | Paid date | Balance of loan | Principal due | Interest | Fees | Penalties | Due | Paid | In advance | Late | Outstanding |
| | | 24 September 2024 | | 116.89 | | | 0.0 | | 0.0 | 0.0 | | | |
| 1 | 30 | 24 October 2024 | 26 September 2024 | 76.4 | 40.49 | 0.17 | 0.0 | 0.0 | 40.66 | 40.66 | 40.66 | 0.0 | 0.0 |
| 2 | 31 | 24 November 2024 | 26 September 2024 | 35.74 | 40.66 | 0.0 | 0.0 | 0.0 | 40.66 | 40.66 | 40.66 | 0.0 | 0.0 |
| 3 | 30 | 24 December 2024 | 26 September 2024 | 0.0 | 35.74 | 0.0 | 0.0 | 0.0 | 35.74 | 35.74 | 35.74 | 0.0 | 0.0 |
And Loan Repayment schedule has the following data in Total row:
| Principal due | Interest | Fees | Penalties | Due | Paid | In advance | Late | Outstanding |
| 116.89 | 0.17 | 0.0 | 0.0 | 117.06 | 117.06 | 117.06 | 0.0 | 0.0 |
And Loan Transactions tab has the following data:
| Transaction date | Transaction Type | Amount | Principal | Interest | Fees | Penalties | Loan Balance | Reverted | Replayed |
| 24 September 2024 | Disbursement | 116.89 | 0.0 | 0.0 | 0.0 | 0.0 | 116.89 | false | false |
| 26 September 2024 | Accrual | 0.23 | 0.0 | 0.23 | 0.0 | 0.0 | 0.0 | false | false |
| 26 September 2024 | Repayment | 117.12 | 116.89 | 0.17 | 0.0 | 0.0 | 0.0 | false | true |
| 26 September 2024 | Accrual Activity | 0.17 | 0.0 | 0.17 | 0.0 | 0.0 | 0.0 | false | true |
| 06 October 2024 | Merchant Issued Refund | 8.13 | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | false | false |
| 06 October 2024 | Interest Refund | 0.05 | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | false | true |
| 07 October 2024 | Credit Balance Refund | 8.14 | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | false | false |
| 30 October 2024 | Accrual Adjustment | 0.06 | 0.0 | 0.06 | 0.0 | 0.0 | 0.0 | false | false |
And Admin makes Credit Balance Refund transaction on "30 October 2024" with 0.1 EUR transaction amount
Then Loan is closed with zero outstanding balance and it's all installments have obligations met

8 changes: 2 additions & 6 deletions ...tfolio/loanaccount/rescheduleloan/handler/ApproveLoanRescheduleRequestCommandHandler.java
View file
Open in desktop
Original file line number Diff line number Diff line change
Expand Up @@ -18,26 +18,22 @@
*/
package org.apache.fineract.portfolio.loanaccount.rescheduleloan.handler;

import lombok.RequiredArgsConstructor;
import org.apache.fineract.commands.annotation.CommandType;
import org.apache.fineract.commands.handler.NewCommandSourceHandler;
import org.apache.fineract.infrastructure.core.api.JsonCommand;
import org.apache.fineract.infrastructure.core.data.CommandProcessingResult;
import org.apache.fineract.portfolio.loanaccount.rescheduleloan.service.LoanRescheduleRequestWritePlatformService;
import org.springframework.beans.factory.annotation.Autowired;
import org.springframework.stereotype.Service;
import org.springframework.transaction.annotation.Transactional;

@Service
@RequiredArgsConstructor
@CommandType(entity = "RESCHEDULELOAN", action = "APPROVE")
public class ApproveLoanRescheduleRequestCommandHandler implements NewCommandSourceHandler {

private final LoanRescheduleRequestWritePlatformService loanRescheduleRequestWritePlatformService;

@Autowired
public ApproveLoanRescheduleRequestCommandHandler(LoanRescheduleRequestWritePlatformService loanRescheduleRequestWritePlatformService) {
this.loanRescheduleRequestWritePlatformService = loanRescheduleRequestWritePlatformService;
}

@Transactional
@Override
public CommandProcessingResult processCommand(JsonCommand jsonCommand) {
Expand Down
8 changes: 2 additions & 6 deletions ...rtfolio/loanaccount/rescheduleloan/handler/CreateLoanRescheduleRequestCommandHandler.java
View file
Open in desktop
Original file line number Diff line number Diff line change
Expand Up @@ -18,26 +18,22 @@
*/
package org.apache.fineract.portfolio.loanaccount.rescheduleloan.handler;

import lombok.RequiredArgsConstructor;
import org.apache.fineract.commands.annotation.CommandType;
import org.apache.fineract.commands.handler.NewCommandSourceHandler;
import org.apache.fineract.infrastructure.core.api.JsonCommand;
import org.apache.fineract.infrastructure.core.data.CommandProcessingResult;
import org.apache.fineract.portfolio.loanaccount.rescheduleloan.service.LoanRescheduleRequestWritePlatformService;
import org.springframework.beans.factory.annotation.Autowired;
import org.springframework.stereotype.Service;
import org.springframework.transaction.annotation.Transactional;

@Service
@RequiredArgsConstructor
@CommandType(entity = "RESCHEDULELOAN", action = "CREATE")
public class CreateLoanRescheduleRequestCommandHandler implements NewCommandSourceHandler {

private final LoanRescheduleRequestWritePlatformService loanRescheduleRequestWritePlatformService;

@Autowired
public CreateLoanRescheduleRequestCommandHandler(LoanRescheduleRequestWritePlatformService loanRescheduleRequestWritePlatformService) {
this.loanRescheduleRequestWritePlatformService = loanRescheduleRequestWritePlatformService;
}

@Transactional
@Override
public CommandProcessingResult processCommand(JsonCommand jsonCommand) {
Expand Down
8 changes: 2 additions & 6 deletions ...rtfolio/loanaccount/rescheduleloan/handler/RejectLoanRescheduleRequestCommandHandler.java
View file
Open in desktop
Original file line number Diff line number Diff line change
Expand Up @@ -18,26 +18,22 @@
*/
package org.apache.fineract.portfolio.loanaccount.rescheduleloan.handler;

import lombok.RequiredArgsConstructor;
import org.apache.fineract.commands.annotation.CommandType;
import org.apache.fineract.commands.handler.NewCommandSourceHandler;
import org.apache.fineract.infrastructure.core.api.JsonCommand;
import org.apache.fineract.infrastructure.core.data.CommandProcessingResult;
import org.apache.fineract.portfolio.loanaccount.rescheduleloan.service.LoanRescheduleRequestWritePlatformService;
import org.springframework.beans.factory.annotation.Autowired;
import org.springframework.stereotype.Service;
import org.springframework.transaction.annotation.Transactional;

@Service
@RequiredArgsConstructor
@CommandType(entity = "RESCHEDULELOAN", action = "REJECT")
public class RejectLoanRescheduleRequestCommandHandler implements NewCommandSourceHandler {

private final LoanRescheduleRequestWritePlatformService loanRescheduleRequestWritePlatformService;

@Autowired
public RejectLoanRescheduleRequestCommandHandler(LoanRescheduleRequestWritePlatformService loanRescheduleRequestWritePlatformService) {
this.loanRescheduleRequestWritePlatformService = loanRescheduleRequestWritePlatformService;
}

@Transactional
@Override
public CommandProcessingResult processCommand(JsonCommand jsonCommand) {
Expand Down
2 changes: 1 addition & 1 deletion ...account/domain/transactionprocessor/impl/AdvancedPaymentScheduleTransactionProcessor.java
View file
Open in desktop
Original file line number Diff line number Diff line change
Expand Up @@ -573,7 +573,7 @@ private void handleInterestRefund(final LoanTransaction loanTransaction, final T
final Money interestAfterRefund = interestRefundService.totalInterestByTransactions(this, loan.getId(), targetDate,
modifiedTransactions, unmodifiedTransactionIds);
final Money newAmount = interestBeforeRefund.minus(progCtx.getSumOfInterestRefundAmount()).minus(interestAfterRefund);
loanTransaction.updateAmount(newAmount.getAmount());
loanTransaction.updateAmount(newAmount.abs().getAmount());
}
progCtx.setSumOfInterestRefundAmount(progCtx.getSumOfInterestRefundAmount().add(loanTransaction.getAmount()));
}
Expand Down
Loading
Loading