Loan Terms Setup

In PrismERP, business loans can have two types of terms: Short Term and Long Term.

• Short Term: A loan with a shorter repayment period. The EMIs and repayment schedule are calculated based on this term.

• Long Term: A loan with a longer repayment period. EMIs and the repayment schedule are spread over a longer duration.

The selected loan term determines the loan tenure, EMI schedule, and repayment frequency in the system. Users can choose the loan term while adding a new loan.