- For POCI deals, the credit-adjusted EIR (caEIR) is used to discount the recovery cash flows while calculating the recoverable amount.
There are two options how to deal with the caEIR:
-The caEIR is delivered instead of the EIR in the same data field for the ratio import for loans.
-The caEIR is calculated in the solution. In this case the estimated cash flow plan of a POCI deal is used to calculate the caEIR.
- A different accounting logic is applied for POCI deals.
- Specific reporting requirements need to be fulfilled for POCI deals. The solution provides the necessary quantitative measures in a specific data mart. The solution does not support qualitative data for POCI disclosure requirements.
POCI processing is also available as a cloud service. For more details on the treatment of POCI deals, please refer to POCI processing, click here.