What would you configure if you enabled the Credit Action Cascading feature?

Enabling the Credit Action Cascading feature allows for the configuration of cascading logic specifically for child loans. This feature is designed to streamline the credit approval process by establishing a hierarchy where decisions made on a parent loan can influence related child loans.

When credit actions are applied to a parent loan, these actions can automatically cascade to the child loans, adjusting their status, requirements, or approval criteria based on the conditions and outcomes of the parent loan. This interconnection ensures greater efficiency in managing complex loan structures, as it reduces redundancy and minimizes the need for separate evaluations of each loan within the hierarchy.

By focusing on cascading logic for child loans, you enable a more cohesive and responsive approach to credit management that aligns with the overall credit strategy of the institution. This leads to improved processing times for borrowers and helps financial institutions better manage risk across their loan portfolios.