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Employees can create loans via FOX HR. It can be either in the form of a loan or advance payment. Along with the request, employees can enter the monthly deductions and repayment period based on the loan policy.

Employees have to click on Fox HR →Requests →Loan Request to access a loan request.

All Employees having access to FOX HR can create Loan Request. The employee can create a Loan Request and view the created request at any time. The employee who created the request can cancel the request until it is approved completely.

Creating Loan Request

When the employee clicks on the ‘Loan Request’ card on the Employee Requests page, the system shall navigate to a new screen for creating the Loan Request.

The screen shall have the following fields for the employee to enter the details:

• Request Type – There shall be two options in the Loan Request for the user to select, either for a Loan or for an Advance. The loan is the request with which the employee will be requesting for lending money from the company, which will be repaid in equal installments within a period. The Loan amount shall be with respect to the setting defined in the Loan master. 

The advance request is a request for the advance from next month’s salary. The maximum amount for an Advance shall be the employee’s full salary. The advance should be repaid completely by the next month itself. The field shall be a radio button group with two radio buttons, ‘Loan’ and ‘Advance.’

• Loan Type – If the Request Type is Loan, the Loan type shall be a dropdown field with values fetched from the Loan Type master under Loan Management. The Loan types listed in the dropdown shall be with respect to the definitions available in the Loan Type master. If the Request Type is ‘Advance,’ then this dropdown field shall be disabled, and the value shall be displayed as ‘Advance.’ This field shall be mandatory.

• Issue Date – The date of the issue of the Loan/Advance shall be selected in the date field, which shall have a date picker. The date should always be a future date; if the request is made after the payroll cut-off date, the issue date should be allowed for the next month.

• Amount – The Loan amount shall be entered in this field, which is a mandatory numeric field. Decimals are not allowed in this field. The Loan Amount shall be in accordance with the setting made in the applicable Loan Policy. If there are no settings made, then on the creation of the Request, the employee should notify the missing settings. For the Advance request, the maximum amount shall be the employee’s full salary.

• Monthly Deduction – The monthly deduction for the loan shall be entered in this field, which shall be a numeric field and a mandatory field. This field also should not allow decimals. For the Loan request, the user shall be able to enter the amount. For Advance, this field shall be a display field, and the value shall be the full amount of the advance.

• Repayment Period (Months) – The repayment period for the loan can be selected from the dropdown. The dropdown shall have values from 1 to 36. For Loan requests, the user shall be able to select the value, and for Advance, this field shall be disabled, and the value to be displayed as ‘1’.

• Monthly Deduction and Repayment Period (Months) shall be interdependent; if the user enters the Monthly deduction, the system should automatically calculate the Repayment Period (Months) and display. If the user selects the Repayment Period (Months), the system should calculate the Monthly deduction and display. Both ways, the user shall be able to edit both fields if it’s a loan request.

• Expected Loan Closure – The system shall calculate and display the loan/advance closure period (Month & Year) in this field.
• Comments – The employee shall be able to enter any comments regarding the Loan Request in the ‘Comments’ field. This shall be a text field and a non-mandatory field.
• Attachment – There shall be an option for the employee to attach files related to the Loan request. The employee shall be able to attach more than one file. The attachment option shall have the standard options, like the employee shall be able to select a specific file and attach it. Once attached, the employee should be able to view it. Attachment is not a mandatory option.
• Submit – There shall be an option to submit the Loan Request. Once all the mandatory fields are entered, the user shall be able to Submit the request. 
• Cancel – If the user does not want to submit the request, then the user can click on cancel, which will cancel the request without submitting/processing further. 

Viewing a Loan Request

The employee who has created the Loan Request shall be able to view the Loan Request at any time by going to the ‘My Requests’ tab under the Dashboard. The employee who has created the Loan Request can cancel until the request is approved completely.

The Approvers can also view the Loan Requests from the ‘Action’ tab under the Dashboard. The Approvers are the users available in the Workflow levels for the Loan Requests.

Each Loan Request shall be shown under the ‘Actions’ tab and ‘My Requests’ tab in the dashboard. On clicking on the option, the system shall navigate to a new page with complete Loan Request details.

The page shall be divided into four areas, namely Header, Request Details, Workflow Status, and Workflow Comments.

In the Header area of the page, the following details shall be available:

• Request Type – The title of the Requests shall be displayed. In this case, the title shall be ‘Loan Request.’
• Date of creation of the Request
• Cancel Request
• Employee Profile Photo
• Employee ID
• Employee Name
• Job Title
• Request Status – The status of the Requests shall be displayed. The various statuses of the Requests are ‘Pending,’ ‘Canceled,’ ‘Approved,’ and ‘Rejected.’
• Approve – There shall be an option to approve the request. Only the users in the workflow levels of the request shall have this button visible. 
• Reject – There shall be an option to reject the request. Only the users in the workflow levels of the request shall have this button visible. 

In the Request Details area of the page, the following details shall be available:

• Request Type
• Loan Type
• Issue Date
• Amount
• Monthly Deduction
• Repayment Period (Months)
• Expected Loan Closure
• Comments
• Attachment

In the Workflow Status area of the page, the following details shall be available:

The workflow levels for the Loan Request shall be displayed in card views. Each workflow level shall have a card. There shall be an option to scroll left or right to view the cards if the number of cards is more than the page width.

Each card shall have the following details:

• The sequence of the Workflow level – The sequence of the workflow level shall be displayed at the top of the card. 
• The status of the Workflow level – The status of each workflow level shall be displayed. 
• Profile Photo of the Approver
• Name of the Approver
• Job Title of the Approver
• Received Date/Time

In the Workflow Comments area of the page, the following details shall be available:

There shall be an option for the users who have access to view the details of the request to put comments at any point in time. The comments entered will be tagged against the user with the timestamp.

• Name of the person – The name of the person who put the comment shall be displayed
• Date/time of Comment – The date and time the comment is added shall be displayed.
• Comment – The comment shall be displayed.
• Add new Comment – There shall be an option for the user to add new comments by clicking on the Add button.

Notification

When the employee submits the Loan Request, a notification will be triggered to the first approver. For Loan Request, there shall be a push notification appearing for the first approver near the right top of the web page. Also, there will be an Email notification for Loan Request to the approver, requesting to view and approve the request. The approver can either go to the dashboard and approve the request from his ‘Action’ tab or the mail notification; there shall be an option to approve the request directly.

To sum up

Employees can easily manage loan requests in FOX HR. Employees can request advance or loans and repay the amount monthly by salary deductions.