Umbrella loan example

Revolving umbrella loan use case

In this use case, we will review the umbrella loan flow with revolving umbrella and non-revolving loan limits.

Use case details

To review the loan flow, we will follow these steps:

1. Create and activate a revolving umbrella contract with an available limit = 1000000 EUR.

2. Add a non-revolving sub-contract to the umbrella with a sub-limit = 200000 EUR.

3. Repay sub-contract in full = 200000 EUR.

4. Close the sub-contract.

Use case calculation

Steps	Umbrella limit	Umbrella available limit	Sub-limit	Sub-available limit	Sub-balance+debt
Create umbrella contract	1000000	1000000	-	-	-
Create draft sub-contract	1000000	1000000	200000	0	0
Activate sub-contract	1000000	1000000	200000	200000	0
Disburse sub-contract	1000000	800000	200000	0	200000
Repay sub-contract	1000000	1000000	200000	0	0
Close sub-contract	1000000	1000000	200000	0	0