Loan Refund

A loan refund occurs when a borrower receives a return of a payment they made toward their loan, either in part or in full. This typically happens in specific situations where there was an overpayment, a mistake in payment processing, or other exceptional circumstances that require the lender to return the funds to the borrower.

Frappe Lending allows users to make such refunds using the loan refund doctype.

To access the Loan Refund, go to:

Home > Lending > Loan Adjustments > Loan Refund

1. How to create a Loan Refund

1. Go to the Loan Refund List, and click on Add Loan Refund.
2. Enter the loan account and the amount to be refunded.
3. Save and submit.