diff --git a/mifosng-provider/src/main/java/org/mifosplatform/portfolio/loanaccount/domain/Loan.java b/mifosng-provider/src/main/java/org/mifosplatform/portfolio/loanaccount/domain/Loan.java
index 95b32fd03..41cb757a5 100755
--- a/mifosng-provider/src/main/java/org/mifosplatform/portfolio/loanaccount/domain/Loan.java
+++ b/mifosng-provider/src/main/java/org/mifosplatform/portfolio/loanaccount/domain/Loan.java
@@ -1913,7 +1913,7 @@ public class Loan extends AbstractPersistable<Long> {
                 // Approved amount has to be less than or equal to principal
                 // amount demanded
 
-                if (approvedLoanAmount.compareTo(this.proposedPrincipal) < 1) {
+                if (approvedLoanAmount.compareTo(this.proposedPrincipal) == -1) {
 
                     this.approvedPrincipal = approvedLoanAmount;
 
@@ -1928,7 +1928,7 @@ public class Loan extends AbstractPersistable<Long> {
                     actualChanges.put(LoanApiConstants.approvedLoanAmountParameterName, approvedLoanAmount);
                     actualChanges.put(LoanApiConstants.disbursementPrincipalParameterName, approvedLoanAmount);
 
-                } else {
+                } else if(approvedLoanAmount.compareTo(this.proposedPrincipal) == 1){
                     final String errorMessage = "Loan approved amount can't be greater than loan amount demanded.";
                     throw new InvalidLoanStateTransitionException("approval", "amount.can't.be.greater.than.loan.amount.demanded",
                             errorMessage, this.proposedPrincipal, approvedLoanAmount);
diff --git a/mifosng-provider/src/main/java/org/mifosplatform/portfolio/loanaccount/domain/LoanAccountDomainServiceJpa.java b/mifosng-provider/src/main/java/org/mifosplatform/portfolio/loanaccount/domain/LoanAccountDomainServiceJpa.java
index 6efcb7e72..69e3024a2 100755
--- a/mifosng-provider/src/main/java/org/mifosplatform/portfolio/loanaccount/domain/LoanAccountDomainServiceJpa.java
+++ b/mifosng-provider/src/main/java/org/mifosplatform/portfolio/loanaccount/domain/LoanAccountDomainServiceJpa.java
@@ -523,7 +523,10 @@ public class LoanAccountDomainServiceJpa implements LoanAccountDomainService {
 
         final MonetaryCurrency currency = loan.getCurrency();
         ApplicationCurrency applicationCurrency = this.applicationCurrencyRepository.findOneWithNotFoundDetection(currency);
-        LocalDate calculatedRepaymentsStartingFromDate = loan.getExpectedFirstRepaymentOnDate();
+        final CalendarInstance calendarInstance = this.calendarInstanceRepository.findCalendarInstaneByEntityId(loan.getId(),
+                CalendarEntityType.LOANS.getValue());
+        LocalDate calculatedRepaymentsStartingFromDate = this.getCalculatedRepaymentsStartingFromDate(loan.getDisbursementDate(), loan,
+                calendarInstance);
         final boolean isHolidayEnabled = this.configurationDomainService.isRescheduleRepaymentsOnHolidaysEnabled();
         final List<Holiday> holidays = this.holidayRepository.findByOfficeIdAndGreaterThanDate(loan.getOfficeId(), loan
                 .getExpectedDisbursedOnLocalDate().toDate(), HolidayStatusType.ACTIVE.getValue());