An underpayment is a payment that is less than the amount currently due or less than the amount needed to clear the scheduled installment. CDM allows partial payments, but staff should understand what remains due after the payment is saved.
Use this guidance when:
When a regular payment is saved, CDM applies the payment to the allocation fields entered by staff.
If the payment does not satisfy the current due amount, CDM keeps the remaining amount due on the loan schedule. The next payment due date may remain on the unpaid period until the scheduled amount is covered.
If a new regular payment leaves fee or interest due as of the payment date, CDM prompts staff to decide whether the unpaid amount should remain due or be waived.
Choose Save Without Waiver when the unpaid fee or interest should stay on the account.
Choose Record Waiver and Save only when the agency intends to waive the remaining fee or interest. CDM requires a reason and records the waiver as a ledger adjustment.
Waivers require a signed-in user and a reason.
Fee and interest waiver adjustments are supported on regular payments. They are not supported on final payments.
A waiver reduces the appropriate ledger balance and appears as an adjustment in payment history.