How to let an employee skip loan EMI for a month?

Loan EMI

Loan EMI (Equated Monthly Installment) is the fixed amount of money that a borrower needs to pay every month to repay a loan. It consists of both the principal amount and the interest charged on the loan. One may want to skip a Loan EMI for a month due to various reasons such as unexpected financial emergencies, cash crunch, lack of funds due to some unforeseen circumstances or to manage their monthly budget more effectively. However, it should be noted that skipping an EMI will result in additional interest charges and fees.

Skipping a loan EMI 

To skip an EMI of an active loan for a month, go to the Payroll (1) menu and click on Loans (2). Under the Loans (3) tab, find Outstanding Loans (4).

Find out the employee in the Name list. Under Status, look for the loan In Progress and then click View under Actions.

On the Loan Details overlay window, select Click Here on the ribbon.

On the Change Term or Override Loan for Upcoming Payment window, select Skip EMI for the question 'What do you want to do with this loan EMI?'

Here, you have the option to choose how this impacts future installments. You can choose to Increase the EMI Amount or to Extend the Number of EMIs. 

You can also type in the reason for the change in the comment box. Once done, click Save.

That is all you have to do to skip the loan EMI of an employee.

More questions regarding loan EMIs? Reach out to us and we would be glad to help you!