support flexible repayment strategies for loans.

mifosng-db/0001a-mifos-platform-base-ddl-schema.sql

@@ -325,6 +325,7 @@ CREATE TABLE `portfolio_loan_repayment_schedule` (
   `principal_completed_derived` decimal(19,6) DEFAULT NULL,
   `interest_amount` decimal(19,6) DEFAULT NULL,
   `interest_completed_derived` decimal(19,6) DEFAULT NULL,
+  `interest_waived_derived` decimal(19,6) DEFAULT NULL, 
   `completed_derived` bit(1) NOT NULL,
   `createdby_id` bigint(20) DEFAULT NULL,
   `created_date` datetime DEFAULT NULL,
@@ -342,6 +343,8 @@ CREATE TABLE `portfolio_loan_transaction` (
   `contra_id` bigint(20) DEFAULT NULL,
   `transaction_date` date NOT NULL,
   `amount` decimal(19,6) NOT NULL,
+  `principal_portion_derived` decimal(19,6) NOT NULL,
+  `interest_portion_derived` decimal(19,6) NOT NULL,
   `createdby_id` bigint(20) DEFAULT NULL,
   `created_date` datetime DEFAULT NULL,
   `lastmodified_date` datetime DEFAULT NULL,

mifosng-db/0002-mifosng-base-reference-data.sql

@@ -8,7 +8,8 @@ VALUES
 (300, 'Active'),
 (400, 'Withdrawn by client'),
 (500, 'Rejected'),
-(600, 'Closed');
+(600, 'Closed'),
+(700, 'Overpaid');
 
 
 INSERT INTO `ref_currency`

mifosng-db/patches-post-multi-tenant/patch-0006-add-derived-fields-on-loan-transaction.sql

@@ -0,0 +1,12 @@
+-- add derived fields for loan transactions and extra
+
+ALTER TABLE `portfolio_loan_transaction` 
+ADD COLUMN `principal_portion_derived` decimal(19,6) NOT NULL DEFAULT 0,
+ADD COLUMN `interest_portion_derived` decimal(19,6) NOT NULL DEFAULT 0,
+ADD COLUMN `interest_waived_derived` decimal(19,6) NOT NULL DEFAULT 0;
+
+
+ALTER TABLE `portfolio_loan_repayment_schedule`
+ADD COLUMN `interest_waived_derived` decimal(19,6) NOT NULL DEFAULT 0;
+
+INSERT INTO `ref_loan_status` (`id`,`display_name`) VALUES (700, 'Overpaid');

mifosng-provider/src/main/java/org/mifosng/platform/api/data/LoanAccountSummaryData.java

@@ -1,6 +1,5 @@
 package org.mifosng.platform.api.data;
 
-
 public class LoanAccountSummaryData {
 
 	private MoneyData originalPrincipal;
@@ -9,32 +8,42 @@ public class LoanAccountSummaryData {
 	private MoneyData principalPaid;
 	private MoneyData principalOutstanding;
 	private MoneyData interestPaid;
+	private MoneyData interestWaived;
 	private MoneyData interestOutstanding;
 	private MoneyData totalPaid;
+	private MoneyData totalWaived;
 	private MoneyData totalOutstanding;
 	private MoneyData totalInArrears;
-	private MoneyData totalWaived;
 
 	protected LoanAccountSummaryData() {
 		//
 	}
 
-	public LoanAccountSummaryData(MoneyData originalPrincipal,
-			MoneyData principalPaid, MoneyData principalOutstanding,
-			MoneyData originalInterest, MoneyData interestPaid,
-			MoneyData interestOutstanding, MoneyData originalTotal,
-			MoneyData totalPaid, MoneyData totalOutstanding, MoneyData totalInArrears, MoneyData totalWaived) {
+	public LoanAccountSummaryData(
+			MoneyData originalPrincipal,
+			MoneyData principalPaid, 
+			MoneyData principalOutstanding,
+			MoneyData originalInterest, 
+			MoneyData interestPaid,
+			MoneyData interestWaived,
+			MoneyData interestOutstanding, 
+			MoneyData originalTotal,
+			MoneyData totalPaid, 
+			MoneyData totalWaived,
+			MoneyData totalOutstanding, 
+			MoneyData totalInArrears) {
 		this.originalPrincipal = originalPrincipal;
 		this.principalPaid = principalPaid;
 		this.principalOutstanding = principalOutstanding;
 		this.originalInterest = originalInterest;
 		this.interestPaid = interestPaid;
+		this.interestWaived = interestWaived;
 		this.interestOutstanding = interestOutstanding;
 		this.originalTotal = originalTotal;
 		this.totalPaid = totalPaid;
+		this.totalWaived = totalWaived;
 		this.totalOutstanding = totalOutstanding;
 		this.totalInArrears = totalInArrears;
-		this.totalWaived = totalWaived;
 	}
 
 	public boolean isWaiveAllowed(MoneyData tolerance) {
@@ -88,6 +97,14 @@ public class LoanAccountSummaryData {
 	public void setInterestPaid(MoneyData interestPaid) {
 		this.interestPaid = interestPaid;
 	}
+	
+	public MoneyData getInterestWaived() {
+		return interestWaived;
+	}
+
+	public void setInterestWaived(MoneyData interestWaived) {
+		this.interestWaived = interestWaived;
+	}
 
 	public MoneyData getInterestOutstanding() {
 		return interestOutstanding;
@@ -104,6 +121,14 @@ public class LoanAccountSummaryData {
 	public void setTotalPaid(MoneyData totalPaid) {
 		this.totalPaid = totalPaid;
 	}
+	
+	public MoneyData getTotalWaived() {
+		return totalWaived;
+	}
+
+	public void setTotalWaived(MoneyData totalWaived) {
+		this.totalWaived = totalWaived;
+	}
 
 	public MoneyData getTotalOutstanding() {
 		return totalOutstanding;
@@ -120,12 +145,4 @@ public class LoanAccountSummaryData {
 	public void setTotalInArrears(MoneyData totalInArrears) {
 		this.totalInArrears = totalInArrears;
 	}
-
-	public MoneyData getTotalWaived() {
-		return totalWaived;
-	}
-
-	public void setTotalWaived(MoneyData totalWaived) {
-		this.totalWaived = totalWaived;
-	}
 }

mifosng-provider/src/main/java/org/mifosng/platform/api/data/LoanRepaymentPeriodData.java

@@ -12,9 +12,11 @@ public class LoanRepaymentPeriodData {
 	private MoneyData principalOutstanding;
 	private MoneyData interest;
 	private MoneyData interestPaid;
+	private MoneyData interestWaived;
 	private MoneyData interestOutstanding;
 	private MoneyData total;
 	private MoneyData totalPaid;
+	private MoneyData totalWaived;
 	private MoneyData totalOutstanding;
 
 	public LoanRepaymentPeriodData() {
@@ -24,8 +26,8 @@ public class LoanRepaymentPeriodData {
 	public LoanRepaymentPeriodData(Long loanId, Integer period,
 			LocalDate date, MoneyData principal, MoneyData principalPaid,
 			MoneyData principalOutstanding, MoneyData interest,
-			MoneyData interestPaid, MoneyData interestOutstanding,
-			MoneyData total, MoneyData totalPaid, MoneyData totalOutstanding) {
+			MoneyData interestPaid, MoneyData interestWaived, MoneyData interestOutstanding,
+			MoneyData total, MoneyData totalPaid, MoneyData totalWaived, MoneyData totalOutstanding) {
 		this.loanId = loanId;
 		this.period = period;
 		this.date = date;
@@ -34,9 +36,11 @@ public class LoanRepaymentPeriodData {
 		this.principalOutstanding = principalOutstanding;
 		this.interest = interest;
 		this.interestPaid = interestPaid;
+		this.interestWaived = interestWaived;
 		this.interestOutstanding = interestOutstanding;
 		this.total = total;
 		this.totalPaid = totalPaid;
+		this.totalWaived = totalWaived;
 		this.totalOutstanding = totalOutstanding;
 	}
 
@@ -103,6 +107,14 @@ public class LoanRepaymentPeriodData {
 	public void setInterestPaid(MoneyData interestPaid) {
 		this.interestPaid = interestPaid;
 	}
+	
+	public MoneyData getInterestWaived() {
+		return interestWaived;
+	}
+
+	public void setInterestWaived(MoneyData interestWaived) {
+		this.interestWaived = interestWaived;
+	}
 
 	public MoneyData getInterestOutstanding() {
 		return interestOutstanding;
@@ -127,6 +139,14 @@ public class LoanRepaymentPeriodData {
 	public void setTotalPaid(MoneyData totalPaid) {
 		this.totalPaid = totalPaid;
 	}
+	
+	public MoneyData getTotalWaived() {
+		return totalWaived;
+	}
+
+	public void setTotalWaived(MoneyData totalWaived) {
+		this.totalWaived = totalWaived;
+	}
 
 	public MoneyData getTotalOutstanding() {
 		return totalOutstanding;

mifosng-provider/src/main/java/org/mifosng/platform/loan/domain/DefaultLoanLifecycleStateMachine.java

@@ -54,7 +54,7 @@ public class DefaultLoanLifecycleStateMachine implements
 			}
 			break;
 		case LOAN_REPAYMENT:
-			if (this.anyOfAllowedWhenComingFrom(from, LoanStatus.ACTIVE)) {
+			if (this.anyOfAllowedWhenComingFrom(from, LoanStatus.ACTIVE, LoanStatus.OVERPAID)) {
 				newState = stateOf(LoanStatus.ACTIVE, allowedLoanStatuses);
 			} else {
 				newState = from;
@@ -80,6 +80,11 @@ public class DefaultLoanLifecycleStateMachine implements
 				newState = stateOf(LoanStatus.CLOSED, allowedLoanStatuses);
 			}
 			break;
+		case LOAN_OVERPAYMENT:
+			if (this.anyOfAllowedWhenComingFrom(from, LoanStatus.CLOSED, LoanStatus.ACTIVE)) {
+				newState = stateOf(LoanStatus.OVERPAID, allowedLoanStatuses);
+			}
+			break;
 		}
 
 		return newState;

mifosng-provider/src/main/java/org/mifosng/platform/loan/domain/DefaultLoanRepaymentScheduleTransactionProcessor.java

@@ -0,0 +1,204 @@
+package org.mifosng.platform.loan.domain;
+
+import java.util.List;
+
+import org.joda.time.LocalDate;
+import org.mifosng.platform.currency.domain.MonetaryCurrency;
+import org.mifosng.platform.currency.domain.Money;
+
+/**
+ * Heavensfamily style {@link LoanRepaymentScheduleTransactionProcessor}.
+ * 
+ * For standard transactions, pays off components in order of interest, then principal.
+ * 
+ * If a transaction results in an overpayment for a given installment, the over paid amount is pay off on the principal component of subsequent installments.
+ */
+public class DefaultLoanRepaymentScheduleTransactionProcessor implements LoanRepaymentScheduleTransactionProcessor {
+
+	@Override
+	public void handleTransaction(final List<LoanTransaction> repaymentsOrWaivers,
+			final MonetaryCurrency currency,
+			final List<LoanRepaymentScheduleInstallment> installments) {
+		
+		for (LoanRepaymentScheduleInstallment currentInstallment : installments) {
+			currentInstallment.resetDerivedComponents();
+		}
+		
+		for (LoanTransaction loanTransaction : repaymentsOrWaivers) {
+			
+			loanTransaction.resetDerivedComponents();
+			handleTransaction(loanTransaction, currency, installments);
+		}
+	}
+	
+	@Override
+	public void handleTransaction(final LoanTransaction loanTransaction, final MonetaryCurrency currency, final List<LoanRepaymentScheduleInstallment> installments) {
+		
+		// find earliest unpaid installment for which to apply this transaction to.
+		boolean transactionProcessed = false;
+		int installmentIndex = 0;
+		for (LoanRepaymentScheduleInstallment currentInstallment : installments) {
+			
+			if (currentInstallment.isNotFullyCompleted() && !transactionProcessed) {
+				
+				if (isTransactionInAdvance(installmentIndex, installments, loanTransaction)) {
+					handleTransactionInAdvance(installments, loanTransaction, currency);
+					transactionProcessed = true;
+				} else if (isTransactionLate(installmentIndex, installments, loanTransaction.getTransactionDate())) {
+					// does this result in a late payment of existing installment?
+					handleLateTransaction(installments, loanTransaction, currency);
+					transactionProcessed = true;
+				} else {
+					// standard transaction
+					Money installmentOverPaymentAmount = handleOnTimeTransaction(currentInstallment, loanTransaction, currency);
+					Money loanOverPaymentAmount = handleOverpaymentTransaction(installments, loanTransaction, currency, installmentOverPaymentAmount);
+					if (loanOverPaymentAmount.isGreaterThanZero()) {
+						onLoanOverpayment(loanTransaction, currency, loanOverPaymentAmount);
+					}
+					transactionProcessed = true;
+				}
+			}
+			
+			installmentIndex++;
+		}
+	}
+
+	/**
+	 * Dont do anything special for late payments e.g. no fees, charges or penalties are applied
+	 */
+	protected void handleLateTransaction(
+			final List<LoanRepaymentScheduleInstallment> installments,
+			final LoanTransaction loanTransaction, 
+			final MonetaryCurrency currency) {
+		
+		final Money lateRepayment = loanTransaction.getAmount(currency); 
+		Money loanOverPaymentAmount = handleOverpaymentTransaction(installments, loanTransaction, currency, lateRepayment);
+		if (loanOverPaymentAmount.isGreaterThanZero()) {
+			onLoanOverpayment(loanTransaction, currency, loanOverPaymentAmount);
+		}
+		
+	}
+
+
+	/**
+	 * just process transactions paid in advance the same as you would handle an overpayment.
+	 */
+	protected void handleTransactionInAdvance(
+			List<LoanRepaymentScheduleInstallment> installments,
+			LoanTransaction loanTransaction, MonetaryCurrency currency) {
+		
+		final Money paymentInAdvance = loanTransaction.getAmount(currency); 
+		Money loanOverPaymentAmount = handleOverpaymentTransaction(installments, loanTransaction, currency, paymentInAdvance);
+		if (loanOverPaymentAmount.isGreaterThanZero()) {
+			onLoanOverpayment(loanTransaction, currency, loanOverPaymentAmount);
+		}
+	}
+
+
+	/**
+	 * called when a transaction results in a overpayment of the full loan i.e.
+	 * transaction amount is greater than the total expected principal +
+	 * interest of the loan.
+	 */
+	protected void onLoanOverpayment(@SuppressWarnings("unused") final LoanTransaction loanTransaction, @SuppressWarnings("unused") final MonetaryCurrency currency, 
+			@SuppressWarnings("unused") final Money loanOverPaymentAmount) {
+	}
+
+	/**
+	 * Handles overpayment scenario by paying of the principal of the next/subsequent installments that are not fully completed.
+	 */
+	protected Money handleOverpaymentTransaction(
+			final List<LoanRepaymentScheduleInstallment> installments,
+			final LoanTransaction loanTransaction, MonetaryCurrency currency,
+			final Money overPaymentAmount) {
+		
+		Money transactionAmountRemaining = overPaymentAmount;
+		Money principalPortion = Money.zero(currency);
+		Money interestPortion = Money.zero(currency);
+		Money interestWaivedPortion = Money.zero(currency);
+		
+		for (LoanRepaymentScheduleInstallment installment : installments) {
+			if (installment.isPrincipalNotCompleted(currency) && transactionAmountRemaining.isGreaterThanZero()) {
+				principalPortion = installment.payPrincipalComponent(transactionAmountRemaining);
+				if (installment.isPrincipalCompleted(currency)) {
+					interestWaivedPortion = installment.waiveInterestComponent(installment.getInterest(currency));
+				}
+				
+				loanTransaction.updateComponents(principalPortion, interestPortion, interestWaivedPortion);
+				
+				transactionAmountRemaining = transactionAmountRemaining.minus(principalPortion);
+			}
+			
+			// reset portions for next installment
+			principalPortion = Money.zero(currency);
+			interestPortion = Money.zero(currency);
+			interestWaivedPortion = Money.zero(currency);
+		}
+		
+		return transactionAmountRemaining;
+	}
+
+	/**
+	 * 
+	 */
+	protected Money handleOnTimeTransaction(final LoanRepaymentScheduleInstallment installment, final LoanTransaction loanTransaction, MonetaryCurrency currency) {
+		
+		Money transactionAmountRemaining = loanTransaction.getAmount(currency);
+		
+		Money interestPortion = installment.payInterestComponent(transactionAmountRemaining);
+		transactionAmountRemaining = transactionAmountRemaining.minus(interestPortion);
+		
+		Money principalPortion = installment.payPrincipalComponent(transactionAmountRemaining);
+		transactionAmountRemaining = transactionAmountRemaining.minus(principalPortion);
+		
+		Money interestWaivedPortion = Money.zero(transactionAmountRemaining.getCurrency());
+		loanTransaction.updateComponents(principalPortion, interestPortion, interestWaivedPortion);
+		
+		return transactionAmountRemaining;
+	}
+
+	/**
+	 * Is overpayment if the amount in the transactions is greater than amount due.
+	 */
+	protected boolean isTransactionOverpayment(final int installmentIndex,
+			final List<LoanRepaymentScheduleInstallment> installments,
+			final Money transactionAmount) {
+		
+		LoanRepaymentScheduleInstallment currentInstallment = installments.get(installmentIndex);
+		
+		return transactionAmount.isGreaterThan(currentInstallment.getTotalDue(transactionAmount.getCurrency()));
+	}
+
+	/**
+	 * Is late if the date of the transactions is after that of the installment due date.
+	 */
+	protected boolean isTransactionLate(final int installmentIndex,
+			final List<LoanRepaymentScheduleInstallment> installments,
+			final LocalDate transactionDate) {
+
+		LoanRepaymentScheduleInstallment currentInstallment = installments.get(installmentIndex);
+		
+		return transactionDate.isAfter(currentInstallment.getDueDate());
+	}
+
+	/**
+	 * is in advance if the transaction date is before or equal to last installment due date (in other words not after last installment date)
+	 */
+	protected boolean isTransactionInAdvance(final int installmentIndex,
+			final List<LoanRepaymentScheduleInstallment> installments,
+			final LoanTransaction transaction) {
+
+		boolean isInAdvance = false;
+		
+		LocalDate lastInstallmentDueDate = null;
+		if (installmentIndex > 0) {
+			int previousInstallmentIndex = installmentIndex - 1;
+			LoanRepaymentScheduleInstallment previousInstallment = installments.get(previousInstallmentIndex);
+			lastInstallmentDueDate = previousInstallment.getDueDate();
+			
+			return !transaction.getTransactionDate().isAfter(lastInstallmentDueDate);
+		} 
+		
+		return isInAdvance;
+	}
+}

mifosng-provider/src/main/java/org/mifosng/platform/loan/domain/Loan.java

@@ -2,6 +2,7 @@ package org.mifosng.platform.loan.domain;
 
 import java.math.BigDecimal;
 import java.util.ArrayList;
+import java.util.Collections;
 import java.util.Date;
 import java.util.List;
 
@@ -354,10 +355,8 @@ public class Loan extends AbstractAuditableCustom<AppUser, Long> {
 		this.disbursedOnDate = null;
 	}
 
-	public void waive(LoanTransaction loanTransaction,
-			LoanLifecycleStateMachine loanLifecycleStateMachine) {
-		this.loanStatus = loanLifecycleStateMachine.transition(
-				LoanEvent.LOAN_REPAYMENT, this.loanStatus);
+	public void waive(final LoanTransaction loanTransaction, final LoanLifecycleStateMachine loanLifecycleStateMachine) {
+		this.loanStatus = loanLifecycleStateMachine.transition(LoanEvent.LOAN_REPAYMENT, this.loanStatus);
 		loanTransaction.updateLoan(this);
 		this.loanTransactions.add(loanTransaction);
 
@@ -395,49 +394,23 @@ public class Loan extends AbstractAuditableCustom<AppUser, Long> {
 					waived, getInArrearsTolerance());
 		}
 
-		if (this.isRepaidInFull()) {
-			this.loanStatus = loanLifecycleStateMachine.transition(
-					LoanEvent.REPAID_IN_FULL, this.loanStatus);
-			this.closedOnDate = loanTransaction.getTransactionDate().toDate();
-			this.maturedOnDate = loanTransaction.getTransactionDate().toDate();
-
-			if (isInterestRebateAllowed()) {
-				Money rebateDue = calculateRebateWhenPaidInFullOn(loanTransaction
-						.getTransactionDate());
-				if (rebateDue.isGreaterThanZero()) {
-					this.loanStatus = loanLifecycleStateMachine.transition(
-							LoanEvent.INTERST_REBATE_OWED, this.loanStatus);
-					this.interestRebateOwed = rebateDue.getAmount();
-				}
-			}
-		}
+		doPostLoanTransactionChecks(loanTransaction, loanLifecycleStateMachine);
 	}
 
 	public void makeRepayment(final LoanTransaction loanTransaction, final LoanLifecycleStateMachine loanLifecycleStateMachine) {
+		handleRepaymentTransaction(loanTransaction, loanLifecycleStateMachine, false);
+	}
+
+	private void handleRepaymentTransaction(
+			final LoanTransaction loanTransaction,
+			final LoanLifecycleStateMachine loanLifecycleStateMachine, final boolean adjusted) {
 		this.loanStatus = loanLifecycleStateMachine.transition(LoanEvent.LOAN_REPAYMENT, this.loanStatus);
 		loanTransaction.updateLoan(this);
+		
+		boolean isTransactionChronologicallyLatest = isChronologicallyLatestRepaymentOrWaiver(loanTransaction, this.loanTransactions);
+		
 		this.loanTransactions.add(loanTransaction);
 
-		deriveLoanRepaymentScheduleCompletedData();
-		
-//		Money totalRepaidOrWaived = Money.zero(this.loanRepaymentScheduleDetail.getPrincipal().getCurrency());
-//		MonetaryCurrency currency = totalRepaidOrWaived.getCurrency();
-//		
-//		int repaymentIndex = 0;
-//		
-//		for (LoanTransaction transaction : this.loanTransactions) {
-//			if (transaction.isRepayment() || transaction.isWaiver()) {
-//				totalRepaidOrWaived = totalRepaidOrWaived.plus(transaction.getAmount());
-//				
-//				LoanRepaymentScheduleInstallment currentInstallment = this.repaymentScheduleInstallments.get(repaymentIndex);
-//				if (currentInstallment.unpaid()) {
-//					currentInstallment.payOffWith(transaction, currency);
-//				} else {
-//					repaymentIndex++;
-//				}
-//			}
-//		}
-		
 		if (loanTransaction.isNotRepayment()) {
 			final String errorMessage = "A transaction of type repayment was expected but not received.";
 			throw new InvalidLoanTransactionTypeException("transaction",
@@ -458,66 +431,81 @@ public class Loan extends AbstractAuditableCustom<AppUser, Long> {
 			throw new InvalidLoanStateTransitionException("repayment",
 					"cannot.be.a.futre.date", errorMessage, loanTransactionDate);
 		}
+		
+		List<LoanTransaction> repaymentsOrWaivers = new ArrayList<LoanTransaction>();
+		for (LoanTransaction transaction : this.loanTransactions) {
+			if (!transaction.isDisbursement() && transaction.isNotContra()) {
+				repaymentsOrWaivers.add(transaction);
+			}
+		}
+		LoanTransactionComparator transactionComparator = new LoanTransactionComparator();
+		Collections.sort(repaymentsOrWaivers, transactionComparator);
+		
+		LoanRepaymentScheduleTransactionProcessor loanRepaymentScheduleTransactionProcessor = new DefaultLoanRepaymentScheduleTransactionProcessor();
+		if (isTransactionChronologicallyLatest && !adjusted) {
+			loanRepaymentScheduleTransactionProcessor.handleTransaction(loanTransaction, getCurrency(), this.repaymentScheduleInstallments);
+		} else {
+			loanRepaymentScheduleTransactionProcessor.handleTransaction(repaymentsOrWaivers, getCurrency(), this.repaymentScheduleInstallments);
+		}
+		
+		doPostLoanTransactionChecks(loanTransaction, loanLifecycleStateMachine);
+	}
 
+	private void doPostLoanTransactionChecks(final LoanTransaction loanTransaction, final LoanLifecycleStateMachine loanLifecycleStateMachine) {
+		
+		if (this.isOverPaid()) {
+			handleLoanOverpayment(loanTransaction, loanLifecycleStateMachine);
+		}
+		
 		if (this.isRepaidInFull()) {
-			this.loanStatus = loanLifecycleStateMachine.transition(
-					LoanEvent.REPAID_IN_FULL, this.loanStatus);
-			this.closedOnDate = loanTransaction.getTransactionDate().toDate();
-			this.maturedOnDate = loanTransaction.getTransactionDate().toDate();
+			handleLoanRepaymentInFull(loanTransaction, loanLifecycleStateMachine);
+		}
+	}
 
-			if (isInterestRebateAllowed()) {
-				Money rebateDue = calculateRebateWhenPaidInFullOn(loanTransaction
-						.getTransactionDate());
-				if (rebateDue.isGreaterThanZero()) {
-					this.loanStatus = loanLifecycleStateMachine.transition(
-							LoanEvent.INTERST_REBATE_OWED, this.loanStatus);
-					this.interestRebateOwed = rebateDue.getAmount();
+	private void handleLoanRepaymentInFull(final LoanTransaction loanTransaction, final LoanLifecycleStateMachine loanLifecycleStateMachine) {
+		this.loanStatus = loanLifecycleStateMachine.transition(LoanEvent.REPAID_IN_FULL, this.loanStatus);
+		this.closedOnDate = loanTransaction.getTransactionDate().toDate();
+		this.maturedOnDate = loanTransaction.getTransactionDate().toDate();
+
+		if (isInterestRebateAllowed()) {
+			Money rebateDue = calculateRebateWhenPaidInFullOn(loanTransaction.getTransactionDate());
+			if (rebateDue.isGreaterThanZero()) {
+				this.loanStatus = loanLifecycleStateMachine.transition(LoanEvent.INTERST_REBATE_OWED, this.loanStatus);
+				this.interestRebateOwed = rebateDue.getAmount();
+			}
+		}
+	}
+
+	private void handleLoanOverpayment(@SuppressWarnings("unused") final LoanTransaction loanTransaction, final LoanLifecycleStateMachine loanLifecycleStateMachine) {
+		this.loanStatus = loanLifecycleStateMachine.transition(LoanEvent.LOAN_OVERPAYMENT, this.loanStatus);
+		this.closedOnDate = null;
+		this.maturedOnDate = null;
+	}
+
+	private boolean isChronologicallyLatestRepaymentOrWaiver(
+			final LoanTransaction loanTransaction,
+			final List<LoanTransaction> loanTransactions) {
+		
+		boolean isChronologicallyLatestRepaymentOrWaiver = true;
+		
+		LocalDate currentTransactionDate = loanTransaction.getTransactionDate();
+		for (LoanTransaction previousTransaction : loanTransactions) {
+			if (!previousTransaction.isDisbursement() && previousTransaction.isNotContra()) {
+				if (currentTransactionDate.isBefore(previousTransaction.getTransactionDate()) ||
+						currentTransactionDate.isEqual(previousTransaction.getTransactionDate())) {
+					isChronologicallyLatestRepaymentOrWaiver = false;
+					break;
 				}
 			}
 		}
-	}
-
-	private void deriveLoanRepaymentScheduleCompletedData() {
-
-		Money totalRepaidOrWaivedAgainstLoan = calculateTotalPaidOrWaived();
-
-		Money remainingToPayoffAgainstLoanSchedule = totalRepaidOrWaivedAgainstLoan;
-		Money totalOverpaid = Money.zero(totalRepaidOrWaivedAgainstLoan.getCurrency());
-		int repaymentInstallmentIndex = 0;
-		while (remainingToPayoffAgainstLoanSchedule.isGreaterThanZero()) {
-
-			if (repaymentInstallmentIndex == this.repaymentScheduleInstallments.size()) {
-				totalOverpaid = remainingToPayoffAgainstLoanSchedule;
-
-				// to exit while loop
-				remainingToPayoffAgainstLoanSchedule = remainingToPayoffAgainstLoanSchedule.minus(totalOverpaid);
-			} else {
-				LoanRepaymentScheduleInstallment scheduledRepaymentInstallment = this.repaymentScheduleInstallments.get(repaymentInstallmentIndex);
-				remainingToPayoffAgainstLoanSchedule = scheduledRepaymentInstallment.updateDerivedComponents(remainingToPayoffAgainstLoanSchedule);
-				repaymentInstallmentIndex++;
-			}
-		}
-	}
-
-	private Money calculateTotalPaidOrWaived() {
-
-		Money totalRepaidOrWaived = Money.zero(this.loanRepaymentScheduleDetail
-				.getPrincipal().getCurrency());
-
-		for (LoanTransaction transaction : this.loanTransactions) {
-			if (transaction.isRepayment() || transaction.isWaiver()) {
-				totalRepaidOrWaived = totalRepaidOrWaived.plus(transaction
-						.getAmount());
-			}
-		}
-
-		return totalRepaidOrWaived;
+		
+		return isChronologicallyLatestRepaymentOrWaiver;
 	}
 
 	public LocalDate possibleNextRepaymentDate() {
 		LocalDate earliestUnpaidInstallmentDate = new LocalDate();
 		for (LoanRepaymentScheduleInstallment installment : this.repaymentScheduleInstallments) {
-			if (installment.unpaid()) {
+			if (installment.isNotFullyCompleted()) {
 				earliestUnpaidInstallmentDate = installment.getDueDate();
 				break;
 			}
@@ -545,7 +533,7 @@ public class Loan extends AbstractAuditableCustom<AppUser, Long> {
 		Money possibleNextRepaymentAmount = Money.zero(currency);
 
 		for (LoanRepaymentScheduleInstallment installment : this.repaymentScheduleInstallments) {
-			if (installment.unpaid()) {
+			if (installment.isNotFullyCompleted()) {
 				possibleNextRepaymentAmount = installment.getTotalDue(currency);
 				break;
 			}
@@ -568,7 +556,7 @@ public class Loan extends AbstractAuditableCustom<AppUser, Long> {
 
 		transactionForAdjustment.contra();
 		if (newTransactionDetail.isRepayment()) {
-			makeRepayment(newTransactionDetail, loanLifecycleStateMachine);
+			handleRepaymentTransaction(newTransactionDetail, loanLifecycleStateMachine, true);
 		}
 
 		if (newTransactionDetail.isWaiver()) {
@@ -577,39 +565,42 @@ public class Loan extends AbstractAuditableCustom<AppUser, Long> {
 	}
 
 	private boolean isRepaidInFull() {
+		
+		MonetaryCurrency currency = loanCurrency();
 
-		Money cumulativePrincipal = Money.zero(this.loanRepaymentScheduleDetail
-				.getPrincipal().getCurrency());
-		Money cumulativeInterest = Money.zero(this.loanRepaymentScheduleDetail
-				.getPrincipal().getCurrency());
-		Money cumulativeTotal = Money.zero(this.loanRepaymentScheduleDetail
-				.getPrincipal().getCurrency());
-		Money cumulativePaid = Money.zero(this.loanRepaymentScheduleDetail
-				.getPrincipal().getCurrency());
-		Money cumulativeWaived = Money.zero(this.loanRepaymentScheduleDetail
-				.getPrincipal().getCurrency());
-
+		Money cumulativeOriginalExpectedTotal = Money.zero(currency);
+		Money cumulativeTotalPaid = Money.zero(currency);
+		Money cumulativeTotalWaived = Money.zero(currency);
+		
 		for (LoanRepaymentScheduleInstallment scheduledRepayment : this.repaymentScheduleInstallments) {
-			cumulativePrincipal = cumulativePrincipal.plus(scheduledRepayment
-					.getPrincipal(loanCurrency()));
-			cumulativeInterest = cumulativeInterest.plus(scheduledRepayment
-					.getInterest(loanCurrency()));
-			cumulativeTotal = cumulativeTotal.plus(scheduledRepayment
-					.getTotal(loanCurrency()));
+			cumulativeOriginalExpectedTotal = cumulativeOriginalExpectedTotal.plus(scheduledRepayment.getPrincipal(currency));
+			cumulativeTotalPaid = cumulativeTotalPaid.plus(scheduledRepayment.getPrincipalCompleted(currency).plus(scheduledRepayment.getInterestCompleted(currency)));
+			cumulativeTotalWaived = cumulativeTotalWaived.plus(scheduledRepayment.getInterestWaived(currency));
 		}
+		
+		Money totalOutstanding = cumulativeOriginalExpectedTotal.minus(cumulativeTotalPaid.plus(cumulativeTotalWaived));
+		boolean isRepaidInFull = totalOutstanding.isZero();
+		
+		return isRepaidInFull;
+	}
+	
+	private boolean isOverPaid() {
+		
+		Money totalPaidInRepayments = getTotalPaidInRepayments();
+		
+		MonetaryCurrency currency = loanCurrency();
 
-		for (LoanTransaction transaction : this.loanTransactions) {
-			if (transaction.isRepayment()) {
-				cumulativePaid = cumulativePaid.plus(transaction.getAmount());
-			}
-			if (transaction.isWaiver()) {
-				cumulativeWaived = cumulativeWaived.plus(transaction
-						.getAmount());
-			}
+		Money cumulativeOriginalExpectedTotal = Money.zero(currency);
+		Money cumulativeTotalPaidOnInstallments = Money.zero(currency);
+		Money cumulativeTotalWaivedOnInstallments = Money.zero(currency);
+		
+		for (LoanRepaymentScheduleInstallment scheduledRepayment : this.repaymentScheduleInstallments) {
+			cumulativeOriginalExpectedTotal = cumulativeOriginalExpectedTotal.plus(scheduledRepayment.getPrincipal(currency));
+			cumulativeTotalPaidOnInstallments = cumulativeTotalPaidOnInstallments.plus(scheduledRepayment.getPrincipalCompleted(currency).plus(scheduledRepayment.getInterestCompleted(currency)));
+			cumulativeTotalWaivedOnInstallments = cumulativeTotalWaivedOnInstallments.plus(scheduledRepayment.getInterestWaived(currency));
 		}
-
-		return cumulativePaid.plus(cumulativeWaived).isGreaterThanOrEqualTo(
-				cumulativeTotal);
+		
+		return totalPaidInRepayments.isGreaterThan(cumulativeTotalPaidOnInstallments);
 	}
 
 	private MonetaryCurrency loanCurrency() {
@@ -914,7 +905,7 @@ public class Loan extends AbstractAuditableCustom<AppUser, Long> {
 
 		LocalDate acutalDisbursementDate = new LocalDate(this.disbursedOnDate);
 
-		Money totalPaidToDate = this.getTotalPaid();
+		Money totalPaidToDate = this.getTotalPaidInRepayments();
 
 		Money totalOutstandingBasedOnExpectedMaturityDate = this
 				.getTotalOutstanding();
@@ -937,13 +928,11 @@ public class Loan extends AbstractAuditableCustom<AppUser, Long> {
 	}
 
 	public Money getTotalOutstanding() {
-		return getTotalPrincipalOnLoan().plus(getTotalInterestOnLoan()).minus(
-				getTotalPaid());
+		return getTotalPrincipalOnLoan().plus(getTotalInterestOnLoan()).minus(getTotalPaidInRepayments());
 	}
 
-	private Money getTotalPaid() {
-		Money cumulativePaid = Money.zero(this.loanRepaymentScheduleDetail
-				.getPrincipal().getCurrency());
+	private Money getTotalPaidInRepayments() {
+		Money cumulativePaid = Money.zero(this.loanRepaymentScheduleDetail.getPrincipal().getCurrency());
 
 		for (LoanTransaction repayment : this.loanTransactions) {
 			if (repayment.isRepayment()) {

mifosng-provider/src/main/java/org/mifosng/platform/loan/domain/LoanEvent.java

@@ -4,5 +4,5 @@ public enum LoanEvent {
 
 	LOAN_CREATED, LOAN_REJECTED, LOAN_WITHDRAWN, LOAN_APPROVED, LOAN_APPROVAL_UNDO, LOAN_DISBURSED, LOAN_DISBURSAL_UNDO, LOAN_REPAYMENT,
 	//
-	REPAID_IN_FULL, LOAN_WRITE_OFF, LOAN_RESCHEDULE, INTERST_REBATE_OWED;
+	REPAID_IN_FULL, LOAN_WRITE_OFF, LOAN_RESCHEDULE, INTERST_REBATE_OWED, LOAN_OVERPAYMENT;
 }

mifosng-provider/src/main/java/org/mifosng/platform/loan/domain/LoanRepaymentScheduleInstallment.java

@@ -29,16 +29,19 @@ public class LoanRepaymentScheduleInstallment extends AbstractAuditableCustom<Ap
     private final Integer installmentNumber;
     
     @Column(name = "principal_amount", scale=6, precision=19)
-    private BigDecimal   principal;
+    private BigDecimal  principal = BigDecimal.ZERO;
     
     @Column(name = "interest_amount", scale=6, precision=19)
-    private BigDecimal   interest;
+    private BigDecimal   interest = BigDecimal.ZERO;
     
     @Column(name = "principal_completed_derived", scale=6, precision=19)
-    private BigDecimal   principalCompleted;
+    private BigDecimal   principalCompleted = BigDecimal.ZERO;
     
 	@Column(name = "interest_completed_derived", scale = 6, precision = 19)
-	private BigDecimal interestCompleted;
+	private BigDecimal interestCompleted = BigDecimal.ZERO;
+	
+	@Column(name = "interest_waived_derived", scale = 6, precision = 19)
+	private BigDecimal interestWaived = BigDecimal.ZERO;
     
     @Column(name="completed_derived")
     private boolean completed;
@@ -82,40 +85,6 @@ public class LoanRepaymentScheduleInstallment extends AbstractAuditableCustom<Ap
         return new LocalDate(this.dueDate);
     }
 
-	public Money updateDerivedComponents(Money totalAvailable) {
-		
-		Money remaining = totalAvailable.copy();
-		
-		boolean principalCompletedInFull = false;
-		boolean interestCompletedInFull = false;
-		
-		Money interest = getInterest(totalAvailable.getCurrency());
-		Money principal = getPrincipal(totalAvailable.getCurrency());
-		
-		// TODO - NEWFEATURE - configuration around order components of loan are paid off in.
-		// pay off interest
-		if (remaining.isGreaterThanOrEqualTo(interest)) {
-			this.interestCompleted = interest.getAmount();
-			interestCompletedInFull = true;
-		} else {
-			this.interestCompleted = remaining.getAmount();
-		}
-		remaining = remaining.minus(this.interestCompleted);
-		
-		// pay off principal
-		if (remaining.isGreaterThanOrEqualTo(principal)) {
-			this.principalCompleted = principal.getAmount();
-			principalCompletedInFull = true;
-		} else {
-			this.principalCompleted = remaining.getAmount();
-		}
-		remaining = remaining.minus(this.principalCompleted);
-		
-		this.completed = (principalCompletedInFull && interestCompletedInFull);
-		
-		return remaining;
-	}
-
 	public Money getPrincipal(MonetaryCurrency currency) {
 		return Money.of(currency, this.principal);
 	}
@@ -132,6 +101,10 @@ public class LoanRepaymentScheduleInstallment extends AbstractAuditableCustom<Ap
 		return Money.of(currency, this.interestCompleted);
 	}
 	
+	public Money getInterestWaived(MonetaryCurrency currency) {
+		return Money.of(currency, this.interestWaived);
+	}
+	
 	public Money getTotal(MonetaryCurrency currency) {
 		return getPrincipal(currency).plus(getInterest(currency));
 	}
@@ -139,30 +112,96 @@ public class LoanRepaymentScheduleInstallment extends AbstractAuditableCustom<Ap
 	public void updateLoan(final Loan loan) {
 		this.loan = loan;
 	}
+	
+	public boolean isFullyCompleted() {
+		return this.completed;
+	}
 
-	public boolean unpaid() {
+	public boolean isNotFullyCompleted() {
 		return !this.completed;
 	}
+	
+	public boolean isPrincipalNotCompleted(final MonetaryCurrency currency) {
+		return !isPrincipalCompleted(currency);
+	}
+	
+	public boolean isPrincipalCompleted(final MonetaryCurrency currency) {
+		return getPrincipal(currency).minus(getPrincipalCompleted(currency)).isZero();
+	}
 
 	public Money getTotalDue(MonetaryCurrency currency) {
-		return getTotal(currency).minus(getTotalCompleted(currency));
+		final Money totalPaidOrWaived = getInterestWaived(currency).plus(getTotalCompleted(currency));
+		return getTotal(currency).minus(totalPaidOrWaived);
 	}
 
 	private Money getTotalCompleted(MonetaryCurrency currency) {
 		return getPrincipalCompleted(currency).plus(getInterestCompleted(currency));
 	}
 
-//	public void payOffWith(final LoanTransaction transaction, final MonetaryCurrency currency) {
-//		Money transactionAmountRemaining = Money.of(currency, transaction.getAmount());
-//		
-//		Money interestDue = getInterest(currency);
-//		if (transactionAmountRemaining.isGreaterThanOrEqualTo(interestDue)) {
-//			this.interestCompleted = interestDue.getAmount();
-//			transactionAmountRemaining = transactionAmountRemaining.minus(interestDue);
-//		} else {
-//			this.interestCompleted = transactionAmountRemaining.getAmount();
-//		}
-//		
-//		Money principalDue = getPrincipal(currency);
-//	}
+	public void resetDerivedComponents() {
+		this.principalCompleted = BigDecimal.ZERO;
+		this.interestCompleted = BigDecimal.ZERO;
+		this.interestWaived = BigDecimal.ZERO;
+		this.completed = false;
+	}
+
+	public Money payInterestComponent(final Money transactionAmountRemaining) {
+		
+		MonetaryCurrency currency = transactionAmountRemaining.getCurrency();
+		
+		Money interestPortionOfTransaction = Money.zero(currency);
+		
+		Money interestExpected = getInterest(currency);
+		Money interestDue = interestExpected.minus(getInterestCompleted(currency));
+		if (transactionAmountRemaining.isGreaterThanOrEqualTo(interestDue)) {
+			this.interestCompleted = getInterestCompleted(currency).plus(interestDue).getAmount();
+			interestPortionOfTransaction = interestPortionOfTransaction.plus(interestDue);
+		} else {
+			this.interestCompleted = getInterestCompleted(currency).plus(transactionAmountRemaining).getAmount();
+			interestPortionOfTransaction = interestPortionOfTransaction.plus(transactionAmountRemaining);
+		}
+		
+		this.completed = getTotalDue(currency).isZero();
+		
+		return interestPortionOfTransaction;
+	}
+
+	public Money payPrincipalComponent(final Money transactionAmountRemaining) {
+		
+		MonetaryCurrency currency = transactionAmountRemaining.getCurrency();
+		Money principalPortionOfTransaction = Money.zero(currency);
+		
+		Money principalExpected = getPrincipal(currency);
+		Money principalDue = principalExpected.minus(getPrincipalCompleted(currency));
+		if (transactionAmountRemaining.isGreaterThanOrEqualTo(principalDue)) {
+			this.principalCompleted = getPrincipalCompleted(currency).plus(principalDue).getAmount();
+			principalPortionOfTransaction = principalPortionOfTransaction.plus(principalDue);
+		} else {
+			this.principalCompleted = getPrincipalCompleted(currency).plus(transactionAmountRemaining).getAmount();
+			principalPortionOfTransaction = principalPortionOfTransaction.plus(transactionAmountRemaining);
+		}
+		
+		this.completed = getTotalDue(currency).isZero();
+		
+		return principalPortionOfTransaction;
+	}
+
+	public Money waiveInterestComponent(final Money transactionAmountRemaining) {
+		MonetaryCurrency currency = transactionAmountRemaining.getCurrency();
+		Money waivedInterestPortionOfTransaction = Money.zero(currency);
+		
+		Money interestExpected = getInterest(currency);
+		Money interestDue = interestExpected.minus(getInterestCompleted(currency));
+		if (transactionAmountRemaining.isGreaterThanOrEqualTo(interestDue)) {
+			this.interestWaived = getInterestWaived(currency).plus(interestDue).getAmount();
+			waivedInterestPortionOfTransaction = waivedInterestPortionOfTransaction.plus(interestDue);
+		} else {
+			this.interestWaived = getInterestWaived(currency).plus(transactionAmountRemaining).getAmount();
+			waivedInterestPortionOfTransaction = waivedInterestPortionOfTransaction.plus(transactionAmountRemaining);
+		}
+		
+		this.completed = getTotalDue(currency).isZero();
+		
+		return waivedInterestPortionOfTransaction;
+	}
 }

mifosng-provider/src/main/java/org/mifosng/platform/loan/domain/LoanRepaymentScheduleTransactionProcessor.java

@@ -0,0 +1,13 @@
+package org.mifosng.platform.loan.domain;
+
+import java.util.List;
+
+import org.mifosng.platform.currency.domain.MonetaryCurrency;
+
+public interface LoanRepaymentScheduleTransactionProcessor {
+
+	void handleTransaction(LoanTransaction loanTransaction, MonetaryCurrency currency, List<LoanRepaymentScheduleInstallment> installments);
+
+	void handleTransaction(List<LoanTransaction> repaymentsOrWaivers, MonetaryCurrency currency, List<LoanRepaymentScheduleInstallment> repaymentScheduleInstallments);
+
+}

mifosng-provider/src/main/java/org/mifosng/platform/loan/domain/LoanStatus.java

@@ -17,6 +17,7 @@ public class LoanStatus implements Persistable<Integer> {
 	public static final Integer WITHDRAWN_BY_CLIENT = 400;
 	public static final Integer REJECTED = 500;
 	public static final Integer CLOSED = 600;
+	public static final Integer OVERPAID = 700;
 	
 	@Id
 	@Column(name = "id")

mifosng-provider/src/main/java/org/mifosng/platform/loan/domain/LoanTransaction.java

@@ -37,6 +37,15 @@ public class LoanTransaction extends AbstractAuditableCustom<AppUser, Long> {
 	@Column(name = "amount", scale = 6, precision = 19, nullable = false)
 	private final BigDecimal amount;
 	
+	@Column(name = "principal_portion_derived", scale = 6, precision = 19, nullable = false)
+	private BigDecimal principalPortion = BigDecimal.ZERO;
+	
+	@Column(name = "interest_portion_derived", scale = 6, precision = 19, nullable = false)
+	private BigDecimal interestPortion = BigDecimal.ZERO;
+	
+	@Column(name = "interest_waived_derived", scale = 6, precision = 19)
+	private BigDecimal interestWaivedPortion = BigDecimal.ZERO;
+	
     @Temporal(TemporalType.DATE)
     @Column(name = "transaction_date", nullable=false)
     private final Date  dateOf;
@@ -155,4 +164,36 @@ public class LoanTransaction extends AbstractAuditableCustom<AppUser, Long> {
 	public boolean isNonZero() {
 		return this.amount.subtract(BigDecimal.ZERO).doubleValue() > 0;
 	}
+	
+	/**
+	 * This updates the derived fields of a loan transaction for the principal, interest and interest waived portions.
+	 * 
+	 * This accumulates the values passed to the already existent values for each of the portions.
+	 */
+	public void updateComponents(final Money principal, final Money interest, final Money interestWaivedPortion) {
+		MonetaryCurrency currency = principal.getCurrency();
+		this.principalPortion = getPrincipalPortion(currency).plus(principal).getAmount();
+		this.interestPortion = getInterestPortion(currency).plus(interest).getAmount();
+		this.interestWaivedPortion = getInterestWaivedPortion(currency).plus(interestWaivedPortion).getAmount();
+	}
+
+	public Money getPrincipalPortion(MonetaryCurrency currency) {
+		return Money.of(currency, principalPortion);
+	}
+
+	public Money getInterestPortion(MonetaryCurrency currency) {
+		return  Money.of(currency, interestPortion);
+	}
+	
+	public Money getInterestWaivedPortion(MonetaryCurrency currency) {
+		if (this.interestWaivedPortion == null) {
+			this.interestWaivedPortion = BigDecimal.ZERO;
+		}
+		return  Money.of(currency, interestWaivedPortion);
+	}
+
+	public void resetDerivedComponents() {
+		this.principalPortion = BigDecimal.ZERO;
+		this.interestPortion = BigDecimal.ZERO;
+	}
 }

mifosng-provider/src/main/java/org/mifosng/platform/loan/domain/LoanTransactionComparator.java

@@ -0,0 +1,15 @@
+package org.mifosng.platform.loan.domain;
+
+import java.util.Comparator;
+
+/**
+ *
+ */
+public class LoanTransactionComparator implements Comparator<LoanTransaction> {
+
+    @Override
+    public int compare(final LoanTransaction o1, final LoanTransaction o2) {
+		return o1.getTransactionDate().compareTo(o2.getTransactionDate());
+    }
+
+}

mifosng-provider/src/main/java/org/mifosng/platform/loan/domain/TransactionProccessingResult.java

@@ -0,0 +1,22 @@
+package org.mifosng.platform.loan.domain;
+
+import org.mifosng.platform.currency.domain.Money;
+
+public class TransactionProccessingResult {
+
+	private final Money overPaymentAmount;
+	private final boolean overPayment;
+
+	public TransactionProccessingResult(final Money overPaymentAmount, final boolean overPayment) {
+		this.overPaymentAmount = overPaymentAmount;
+		this.overPayment = overPayment;
+	}
+
+	public Money getOverPaymentAmount() {
+		return overPaymentAmount;
+	}
+
+	public boolean isOverPayment() {
+		return overPayment;
+	}
+}

mifosng-provider/src/main/java/org/mifosng/platform/loan/service/LoanReadPlatformServiceImpl.java

@@ -122,60 +122,66 @@ public class LoanReadPlatformServiceImpl implements LoanReadPlatformService {
 		BigDecimal principalOutstanding = BigDecimal.ZERO;
 		BigDecimal originalInterest = BigDecimal.ZERO;
 		BigDecimal interestPaid = BigDecimal.ZERO;
+		BigDecimal interestWaived = BigDecimal.ZERO;
 		BigDecimal interestOutstanding = BigDecimal.ZERO;
 		BigDecimal originalTotal = BigDecimal.ZERO;
 		BigDecimal totalPaid = BigDecimal.ZERO;
-		BigDecimal totalOutstanding = BigDecimal.ZERO;
-		BigDecimal totalInArrears = BigDecimal.ZERO;
 		BigDecimal totalWaived = BigDecimal.ZERO;
+		BigDecimal totalOutstanding = BigDecimal.ZERO;
+		
+		BigDecimal totalInArrears = BigDecimal.ZERO;
 
 		for (LoanRepaymentPeriodData installment : repaymentSchedule) {
-			originalPrincipal = originalPrincipal.add(installment
-					.getPrincipal().getAmount());
-			principalPaid = principalPaid.add(installment.getPrincipalPaid()
-					.getAmount());
-			principalOutstanding = principalOutstanding.add(installment
-					.getPrincipalOutstanding().getAmount());
+			originalPrincipal = originalPrincipal.add(installment.getPrincipal().getAmount());
+			principalPaid = principalPaid.add(installment.getPrincipalPaid().getAmount());
+			principalOutstanding = principalOutstanding.add(installment.getPrincipalOutstanding().getAmount());
 
-			originalInterest = originalInterest.add(installment.getInterest()
-					.getAmount());
-			interestPaid = interestPaid.add(installment.getInterestPaid()
-					.getAmount());
-			interestOutstanding = interestOutstanding.add(installment
-					.getInterestOutstanding().getAmount());
+			originalInterest = originalInterest.add(installment.getInterest().getAmount());
+			interestPaid = interestPaid.add(installment.getInterestPaid().getAmount());
+			interestWaived = interestWaived.add(installment.getInterestWaived().getAmount());
+			interestOutstanding = interestOutstanding.add(installment.getInterestOutstanding().getAmount());
 
-			originalTotal = originalTotal.add(installment.getTotal()
-					.getAmount());
+			originalTotal = originalTotal.add(installment.getTotal().getAmount());
 			totalPaid = totalPaid.add(installment.getTotalPaid().getAmount());
-			totalOutstanding = totalOutstanding.add(installment
-					.getTotalOutstanding().getAmount());
+			totalWaived = totalWaived.add(installment.getTotalWaived().getAmount());
+			totalOutstanding = totalOutstanding.add(installment.getTotalOutstanding().getAmount());
 
 			if (installment.getDate().isBefore(new LocalDate())) {
-				totalInArrears = totalInArrears.add(installment
-						.getTotalOutstanding().getAmount());
+				totalInArrears = totalInArrears.add(installment.getTotalOutstanding().getAmount());
 			}
 		}
 
+		// sum up all repayment transactions
 		Long waiverType = (long) 4;
+		MoneyData totalRepaymentAmount = MoneyData.of(currencyData, BigDecimal.ZERO);
 		for (LoanRepaymentTransactionData loanRepayment : loanRepayments) {
 			Long transactionType = loanRepayment.getTransactionType().getId();
 			if (transactionType.equals(waiverType)) {
-				totalWaived = totalWaived.add(loanRepayment.getTotal()
-						.getAmount());
+				// skip
+			} else {
+				totalRepaymentAmount = totalRepaymentAmount.plus(loanRepayment.getTotal());
 			}
-
+		}
+		
+		// detect if loan is in overpaid state
+		if (totalRepaymentAmount.isGreaterThan(MoneyData.of(currencyData, totalPaid))) {
+			BigDecimal difference = totalRepaymentAmount.getAmount().subtract(totalPaid);
+			totalOutstanding = totalOutstanding.subtract(difference);
 		}
 
-		return new LoanAccountSummaryData(MoneyData.of(currencyData,
-				originalPrincipal), MoneyData.of(currencyData, principalPaid),
-				MoneyData.of(currencyData, principalOutstanding), MoneyData.of(
-						currencyData, originalInterest), MoneyData.of(
-						currencyData, interestPaid), MoneyData.of(currencyData,
-						interestOutstanding), MoneyData.of(currencyData,
-						originalTotal), MoneyData.of(currencyData, totalPaid),
-				MoneyData.of(currencyData, totalOutstanding), MoneyData.of(
-						currencyData, totalInArrears), MoneyData.of(
-						currencyData, totalWaived));
+		return new LoanAccountSummaryData(
+				MoneyData.of(currencyData,originalPrincipal), 
+				MoneyData.of(currencyData, principalPaid),
+				MoneyData.of(currencyData, principalOutstanding), 
+				MoneyData.of(currencyData, originalInterest), 
+				MoneyData.of(currencyData, interestPaid),
+				MoneyData.of(currencyData, interestWaived),
+				MoneyData.of(currencyData, interestOutstanding), 
+				MoneyData.of(currencyData, originalTotal), 
+				MoneyData.of(currencyData, totalPaid),
+				MoneyData.of(currencyData, totalWaived),
+				MoneyData.of(currencyData, totalOutstanding), 
+				MoneyData.of(currencyData, totalInArrears));
 	}
 
 	@Override
@@ -524,7 +530,7 @@ public class LoanReadPlatformServiceImpl implements LoanReadPlatformService {
 
 			return " ls.loan_id as loanId, ls.installment as period, ls.duedate as `date`, "
 					+ " ls.principal_amount as principal, ls.principal_completed_derived as principalPaid, "
-					+ " ls.interest_amount as interest, ls.interest_completed_derived as interestPaid, "
+					+ " ls.interest_amount as interest, ls.interest_completed_derived as interestPaid, ls.interest_waived_derived as interestWaived, "
 					+ " l.currency_code as currencyCode, l.currency_digits as currencyDigits, rc.`name` as currencyName, rc.display_symbol as currencyDisplaySymbol, rc.internationalized_name_code as currencyNameCode "
 					+ " from portfolio_loan l "
 					+ " join portfolio_loan_repayment_schedule ls on ls.loan_id = l.id "
@@ -553,29 +559,29 @@ public class LoanReadPlatformServiceImpl implements LoanReadPlatformService {
 			BigDecimal principalBD = rs.getBigDecimal("principal");
 			MoneyData principal = MoneyData.of(currencyData, principalBD);
 			BigDecimal principalPaidBD = rs.getBigDecimal("principalPaid");
-			MoneyData principalPaid = MoneyData.of(currencyData,
-					principalPaidBD);
-			MoneyData principalOutstanding = MoneyData.of(currencyData,
-					principalBD.subtract(principalPaidBD));
+			MoneyData principalPaid = MoneyData.of(currencyData, principalPaidBD);
+			MoneyData principalOutstanding = MoneyData.of(currencyData,principalBD.subtract(principalPaidBD));
 
 			BigDecimal interestBD = rs.getBigDecimal("interest");
 			MoneyData interest = MoneyData.of(currencyData, interestBD);
 			BigDecimal interestPaidBD = rs.getBigDecimal("interestPaid");
 			MoneyData interestPaid = MoneyData.of(currencyData, interestPaidBD);
-			MoneyData interestOutstanding = MoneyData.of(currencyData,
-					interestBD.subtract(interestPaidBD));
+			
+			BigDecimal interestWaivedBD = rs.getBigDecimal("interestWaived");
+			if (interestWaivedBD == null) {
+				interestWaivedBD = BigDecimal.ZERO;
+			}
+			MoneyData interestWaived = MoneyData.of(currencyData, interestWaivedBD);
+			MoneyData interestOutstanding = MoneyData.of(currencyData, interestBD.subtract(interestPaidBD).subtract(interestWaivedBD));
 
-			MoneyData total = MoneyData.of(currencyData,
-					principalBD.add(interestBD));
-			MoneyData totalPaid = MoneyData.of(currencyData,
-					principalPaidBD.add(interestPaidBD));
-			MoneyData totalOutstanding = MoneyData.of(currencyData,
-					principalBD.add(interestBD).subtract(principalPaidBD)
-							.subtract(interestPaidBD));
+			MoneyData total = MoneyData.of(currencyData,principalBD.add(interestBD));
+			MoneyData totalPaid = principalPaid.plus(interestPaid);
+			MoneyData totalWaived = interestWaived;
+			MoneyData totalOutstanding = principalOutstanding.plus(interestOutstanding);
 
 			return new LoanRepaymentPeriodData(loanId, period, date,
 					principal, principalPaid, principalOutstanding, interest,
-					interestPaid, interestOutstanding, total, totalPaid,
+					interestPaid, interestWaived, interestOutstanding, total, totalPaid, totalWaived,
 					totalOutstanding);
 		}
 	}

mifosng-provider/src/test/java/org/mifosng/platform/loan/domain/DefaultLoanRepaymentScheduleTransactionProcessorTest.java

@@ -0,0 +1,392 @@
+package org.mifosng.platform.loan.domain;
+
+import static org.hamcrest.CoreMatchers.is;
+import static org.junit.Assert.assertThat;
+
+import java.util.List;
+
+import org.joda.time.LocalDate;
+import org.junit.Before;
+import org.junit.Test;
+import org.junit.runner.RunWith;
+import org.mifosng.platform.currency.domain.MonetaryCurrency;
+import org.mifosng.platform.currency.domain.Money;
+import org.mockito.runners.MockitoJUnitRunner;
+
+@RunWith(MockitoJUnitRunner.class)
+public class DefaultLoanRepaymentScheduleTransactionProcessorTest {
+	
+	// class under test
+	private DefaultLoanRepaymentScheduleTransactionProcessor processor;
+	
+	//
+	private LocalDate july2nd = new LocalDate(2012, 7, 2);
+	private MonetaryCurrency usDollars = new MonetaryCurrencyBuilder().withCode("USD").withDigitsAfterDecimal(2).build();
+	private List<LoanRepaymentScheduleInstallment> installments;
+	
+	@Before
+	public void setUpForEachTestCase() {
+		
+		installments = LoanScheduleTestDataHelper.createSimpleLoanSchedule(july2nd, usDollars);
+		
+		processor = new DefaultLoanRepaymentScheduleTransactionProcessor();
+	}
+
+	/**
+	 * Scenario 1: Single transaction which is less than the interest component of the first installment.
+	 * 
+	 * Expectation: 
+	 *     - First installment shows interest completed equal to that of transactions, zero principal completed. (payment order interest, principal)
+	 *     - transaction has interest portion equal to transaction amount, and zero principal portion
+	 */
+	@Test
+	public void givenSingleOnTimeLoanTransactionShouldPayoffInterestComponentFirst() {
+		
+		// setup
+		LoanRepaymentScheduleInstallment singleInstallment = this.installments.get(0);
+		
+		Money oneHundredDollars = new MoneyBuilder().with(usDollars).with("100.00").build();
+		LoanTransaction onTimePartialPayment = new LoanTransactionBuilder().repayment().with(july2nd).with(oneHundredDollars).build();
+		
+		// execute test
+		processor.handleTransaction(onTimePartialPayment, usDollars, installments);
+		
+		// verification of derived fields on installments
+		assertThatLoanInstallmentHasDerivedFieldsForPrincipalInterestOf("0.00", "100.00", singleInstallment);
+		assertThatLoanTransactionHasDerivedFieldsForPrincipalInterestOf("0.00", "100.00", onTimePartialPayment);
+	}
+	
+	/**
+	 * Scenario 2: Two transactions which is less than the interest component of the first installment.
+	 * 
+	 * Expectation: 
+	 *     - First installment shows interest completed equal to that of transactions, zero principal completed. (payment order interest, principal)
+	 *     - transactions has interest portion equal to transaction amount, and zero principal portion
+	 */
+	@Test
+	public void givenMultipleOnTimeLoanTransactionShouldPayoffInterestComponentFirst() {
+		
+		// setup
+		LoanRepaymentScheduleInstallment singleInstallment = this.installments.get(0);
+		
+		Money oneHundredDollars = new MoneyBuilder().with(usDollars).with("100.00").build();
+		LoanTransaction onTimePartialPayment = new LoanTransactionBuilder().repayment().with(july2nd).with(oneHundredDollars).build();
+		
+		Money fiftyDollars = new MoneyBuilder().with(usDollars).with("50.00").build();
+		LoanTransaction secondOnTimePartialPayment = new LoanTransactionBuilder().repayment().with(july2nd).with(fiftyDollars).build();
+		
+		
+		// execute test
+		processor.handleTransaction(onTimePartialPayment, usDollars, installments);
+		processor.handleTransaction(secondOnTimePartialPayment, usDollars, installments);
+		
+		// verification of derived fields on installments
+		assertThatLoanInstallmentHasDerivedFieldsForPrincipalInterestOf("0.00", "150.00", singleInstallment);
+		
+		assertThatLoanTransactionHasDerivedFieldsForPrincipalInterestOf("0.00", "100.00", onTimePartialPayment);
+		assertThatLoanTransactionHasDerivedFieldsForPrincipalInterestOf("0.00", "50.00", secondOnTimePartialPayment);
+	}
+	
+	/**
+	 * Scenario 3: Single transaction which is greater than the interest component of the first installment but less than the total due for installment.
+	 * 
+	 * Expectation: 
+	 * 		- First installment shows interest completed equal to that interest due, remainder is against principal completed. (payment order interest, principal)
+	 * 		- transaction has interest portion equal to interest expected and principal portion of remainder.
+	 */
+	@Test
+	public void givenSingleOnTimeLoanTransactionShouldPayoffInterestThenPrincipalComponents() {
+		
+		// setup
+		LoanRepaymentScheduleInstallment singleInstallment = this.installments.get(0);
+		
+		Money amount = new MoneyBuilder().with(usDollars).with("300.00").build();
+		LoanTransaction onTimePartialPayment = new LoanTransactionBuilder().repayment().with(july2nd).with(amount).build();
+		
+		// execute test
+		processor.handleTransaction(onTimePartialPayment, usDollars, installments);
+		
+		// verification of derived fields on installments
+		assertThatLoanInstallmentHasDerivedFieldsForPrincipalInterestOf("100.00", "200.00", singleInstallment);
+		assertThatLoanTransactionHasDerivedFieldsForPrincipalInterestOf("100.00", "200.00", onTimePartialPayment);
+	}
+	
+	/**
+	 * Scenario 4: Single transaction which is greater than the interest component of the first installment but less than the total due for installment.
+	 * 
+	 * Expectation: 
+	 * 		- First installment shows interest completed equal to that interest due, remainder is against principal completed. (payment order interest, principal)
+	 * 		- transaction has interest portion equal to interest expected and principal portion of remainder.
+	 */
+	@Test
+	public void givenMultipleOnTimeLoanTransactionShouldPayoffInterestThenPrincipalComponents() {
+		
+		// setup
+		LoanRepaymentScheduleInstallment singleInstallment = this.installments.get(0);
+		
+		Money amount = new MoneyBuilder().with(usDollars).with("300.00").build();
+		LoanTransaction onTimePartialPayment = new LoanTransactionBuilder().repayment().with(july2nd).with(amount).build();
+		
+		Money secondTransactionAmount = new MoneyBuilder().with(usDollars).with("50.00").build();
+		LoanTransaction secondOnTimePartialPayment = new LoanTransactionBuilder().repayment().with(july2nd).with(secondTransactionAmount).build();
+		
+		// execute test
+		processor.handleTransaction(onTimePartialPayment, usDollars, installments);
+		processor.handleTransaction(secondOnTimePartialPayment, usDollars, installments);
+		
+		// verification of derived fields on installments
+		assertThatLoanInstallmentHasDerivedFieldsForPrincipalInterestOf("150.00", "200.00", singleInstallment);
+		
+		assertThatLoanTransactionHasDerivedFieldsForPrincipalInterestOf("100.00", "200.00", onTimePartialPayment);
+		assertThatLoanTransactionHasDerivedFieldsForPrincipalInterestOf("50.00", "0.00", secondOnTimePartialPayment);
+	}
+	
+	/**
+	 * Scenario 5:Single transaction which is equal to the total due for installment.
+	 * 
+	 * Expectation: 
+	 * 		- First installment shows interest completed and principal completed equal to their due amounts. (payment order interest, principal)
+	 * 		- transaction has interest portion and principal portions
+	 */
+	@Test
+	public void givenSingleFullOnTimeLoanTransactionShouldPayoffInterestThenPrincipalComponentInFull() {
+		
+		// setup
+		LoanRepaymentScheduleInstallment singleInstallment = this.installments.get(0);
+		
+		Money amount = new MoneyBuilder().with(usDollars).with("1200.00").build();
+		LoanTransaction onTimePartialPayment = new LoanTransactionBuilder().repayment().with(july2nd).with(amount).build();
+		
+		// execute test
+		processor.handleTransaction(onTimePartialPayment, usDollars, installments);
+		
+		// verification of derived fields on installments
+		assertThatLoanInstallmentHasDerivedFieldsForPrincipalInterestOf("1000.00", "200.00", singleInstallment);
+		assertThatLoanTransactionHasDerivedFieldsForPrincipalInterestOf("1000.00", "200.00", onTimePartialPayment);
+	}
+	
+	/**
+	 * Scenario 6: Multiple transactions which together equal to the total due for installment.
+	 * 
+	 * Expectation: 
+	 * 		- First installment shows interest completed and principal completed equal to their due amounts. (payment order interest, principal)
+	 * 		- transaction has interest portion and principal portions
+	 */
+	@Test
+	public void givenMuliptleOnTimeLoanTransactionsThatInFullShouldPayoffInterestThenPrincipalComponentInFull() {
+		
+		// setup
+		LoanRepaymentScheduleInstallment singleInstallment = this.installments.get(0);
+		
+		Money amount = new MoneyBuilder().with(usDollars).with("600.00").build();
+		LoanTransaction onTimePartialPayment = new LoanTransactionBuilder().repayment().with(july2nd).with(amount).build();
+		
+		Money secondTransactionAmount = new MoneyBuilder().with(usDollars).with("600.00").build();
+		LoanTransaction secondOnTimePartialPayment = new LoanTransactionBuilder().repayment().with(july2nd).with(secondTransactionAmount).build();
+		
+		// execute test
+		processor.handleTransaction(onTimePartialPayment, usDollars, installments);
+		processor.handleTransaction(secondOnTimePartialPayment, usDollars, installments);
+		
+		// verification of derived fields on installments
+		assertThatLoanInstallmentHasDerivedFieldsForPrincipalInterestOf("1000.00", "200.00", singleInstallment);
+		assertThatLoanTransactionHasDerivedFieldsForPrincipalInterestOf("400.00", "200.00", onTimePartialPayment);
+		assertThatLoanTransactionHasDerivedFieldsForPrincipalInterestOf("600.00", "0.00", secondOnTimePartialPayment);
+	}
+	
+	/**
+	 * Scenario 7:  Single transaction which is greater than total due for first installment.
+	 * 
+	 * Expectation: 
+	 * 		- First installment shows interest completed and principal completed equal to their due amounts. (payment order interest, principal)
+	 * 	    - Second installment shows principal completed equal to the remaining amount
+	 * 		- transaction has interest portion and principal portions, the principal portion is the sum of principal completed for first and second installments
+	 */
+	@Test
+	public void givenSingleOnTimeLoanTransactionThatOverpaysInstallmentShouldPayoffInterestThenPrincipalComponentInFullOfFirstInstallmentWithRemainingOverpaymentAgainstPrincipalOfNextInstallment() {
+		
+		// setup
+		Money amount = new MoneyBuilder().with(usDollars).with("1300.00").build();
+		LoanTransaction onTimePartialPayment = new LoanTransactionBuilder().repayment().with(july2nd).with(amount).build();
+		
+		// execute test
+		processor.handleTransaction(onTimePartialPayment, usDollars, installments);
+		
+		// verification of derived fields on installments
+		LoanRepaymentScheduleInstallment firstInstallment = this.installments.get(0);
+		assertThatLoanInstallmentHasDerivedFieldsForPrincipalInterestOf("1000.00", "200.00", firstInstallment);
+		
+		LoanRepaymentScheduleInstallment secondInstallment = this.installments.get(1);
+		assertThatLoanInstallmentHasDerivedFieldsForPrincipalInterestOf("100.00", "0.00", secondInstallment);
+		
+		assertThatLoanTransactionHasDerivedFieldsForPrincipalInterestOf("1100.00", "200.00", onTimePartialPayment);
+	}
+	
+	/**
+	 * Scenario 8: Multiple transactions which together are greater than total due for first installment.
+	 * 
+	 * Expectation: 
+	 * 		- First installment shows interest completed and principal completed equal to their due amounts. (payment order interest, principal)
+	 * 	    - Second installment shows principal completed equal to the remaining amount
+	 */
+	@Test
+	public void givenMultipleOnTimeLoanTransactionThatOverpaysInstallmentShouldPayoffInterestThenPrincipalComponentInFullOfFirstInstallmentWithRemainingOverpaymentAgainstPrincipalOfNextInstallment() {
+		
+		// setup
+		Money amount = new MoneyBuilder().with(usDollars).with("600.00").build();
+		LoanTransaction onTimePartialPayment = new LoanTransactionBuilder().repayment().with(july2nd).with(amount).build();
+		
+		Money secondTransactionAmount = new MoneyBuilder().with(usDollars).with("700.00").build();
+		LoanTransaction secondOnTimePartialPayment = new LoanTransactionBuilder().repayment().with(july2nd).with(secondTransactionAmount).build();
+		
+		// execute test
+		processor.handleTransaction(onTimePartialPayment, usDollars, installments);
+		processor.handleTransaction(secondOnTimePartialPayment, usDollars, installments);
+		
+		// verification of derived fields on installments
+		LoanRepaymentScheduleInstallment singleInstallment = this.installments.get(0);
+		assertThatLoanInstallmentHasDerivedFieldsForPrincipalInterestOf("1000.00", "200.00", singleInstallment);
+		
+		LoanRepaymentScheduleInstallment secondInstallment = this.installments.get(1);
+		assertThatLoanInstallmentHasDerivedFieldsForPrincipalInterestOf("100.00", "0.00", secondInstallment);
+		
+		assertThatLoanTransactionHasDerivedFieldsForPrincipalInterestOf("400.00", "200.00", onTimePartialPayment);
+		assertThatLoanTransactionHasDerivedFieldsForPrincipalInterestOf("700.00", "0.00", secondOnTimePartialPayment);
+	}
+	
+	/**
+	 * Scenario 9: Single transaction which overpays first installment and second installment with outstanding amount been account as principal in third installment.
+	 * 
+	 * Where an installments principal is paid for fully in advance - the interest component is waived.
+	 */
+	@Test
+	public void givenOverPaymentShouldPayoffInterestThenPrincipalComponentsOfFirstInstallmentWithRemainingOverpaymentAgainstPrincipalOfAllSubsequentInstallments() {
+		// setup
+		Money amount = new MoneyBuilder().with(usDollars).with("3000.00").build();
+		LoanTransaction onTimePartialPayment = new LoanTransactionBuilder().repayment().with(july2nd).with(amount).build();
+		
+		// execute test
+		processor.handleTransaction(onTimePartialPayment, usDollars, installments);
+		
+		// verification of derived fields on installments
+		LoanRepaymentScheduleInstallment firstInstallment = this.installments.get(0);
+		assertThatLoanInstallmentHasDerivedFieldsOf(principalOf("1000.00"), interestOf("200.00"), interestWaivedOf("0.00"), firstInstallment, usDollars);
+		
+		LoanRepaymentScheduleInstallment secondInstallment = this.installments.get(1);
+		assertThatLoanInstallmentHasDerivedFieldsOf(principalOf("1000.00"), interestOf("0.00"), interestWaivedOf("200.00"), secondInstallment, usDollars);
+		
+		LoanRepaymentScheduleInstallment thirdInstallment = this.installments.get(2);
+		assertThatLoanInstallmentHasDerivedFieldsOf(principalOf("800.00"), interestOf("0.00"), interestWaivedOf("0.00"), thirdInstallment, usDollars);
+		
+		assertThatLoanTransactionHasDerivedFieldsOf(principalOf("2800.00"), interestOf("200.00"), interestWaivedOf("200.00"), onTimePartialPayment, usDollars);
+	}
+	
+	/**
+	 * Scenario 10: Single transaction which is a repayment in advance
+	 */
+	@Test
+	public void givenRepaymentOfInstallmentInAdvanceShouldPayoffOnlyPrincipalComponent() {
+		// setup
+		installments = LoanScheduleTestDataHelper.createSimpleLoanScheduleWithFirstInstallmentFullyPaid(july2nd, usDollars);
+		LoanRepaymentScheduleInstallment firstInstallment = this.installments.get(0);
+		LocalDate paymentInAdvanceDate = firstInstallment.getDueDate().minusDays(1);
+		
+		Money amount = new MoneyBuilder().with(usDollars).with("900.00").build();
+		LoanTransaction paymentInAdvance = new LoanTransactionBuilder().repayment().with(paymentInAdvanceDate).with(amount).build();
+		
+		// execute test
+		processor.handleTransaction(paymentInAdvance, usDollars, installments);
+		
+		// verification of derived fields on installments
+		LoanRepaymentScheduleInstallment secondInstallment = this.installments.get(1);
+		assertThatLoanInstallmentHasDerivedFieldsForPrincipalInterestOf("900.00", "0.00", secondInstallment);
+		
+		assertThatLoanTransactionHasDerivedFieldsForPrincipalInterestOf("900.00", "0.00", paymentInAdvance);
+	}
+	
+	/**
+	 * Scenario 11: Single transaction which is a repayment many days early but still does not qualify for 'in advance'.
+	 */
+	@Test
+	public void givenRepaymentOfInstallmentBeforeDueDateButNotInAdvanceShouldPayoffInterestAndPrincipalComponents() {
+		// setup
+		installments = LoanScheduleTestDataHelper.createSimpleLoanScheduleWithFirstInstallmentFullyPaid(july2nd, usDollars);
+		LoanRepaymentScheduleInstallment firstInstallment = this.installments.get(0);
+		LocalDate paymentBeforeDueDateButNotInAdvanceDate = firstInstallment.getDueDate().plusDays(1);
+		
+		Money amount = new MoneyBuilder().with(usDollars).with("900.00").build();
+		LoanTransaction paymentBeforeDueDateButNotInAdvance = new LoanTransactionBuilder().repayment().with(paymentBeforeDueDateButNotInAdvanceDate).with(amount).build();
+		
+		// execute test
+		processor.handleTransaction(paymentBeforeDueDateButNotInAdvance, usDollars, installments);
+		
+		// verification of derived fields on installments
+		LoanRepaymentScheduleInstallment secondInstallment = this.installments.get(1);
+		assertThatLoanInstallmentHasDerivedFieldsForPrincipalInterestOf("700.00", "200.00", secondInstallment);
+		
+		assertThatLoanTransactionHasDerivedFieldsForPrincipalInterestOf("700.00", "200.00", paymentBeforeDueDateButNotInAdvance);
+	}
+
+	private void assertThatLoanTransactionHasDerivedFieldsForPrincipalInterestOf(
+			final String principal, final String interest, final LoanTransaction transaction) {
+		
+		Money expectedInterestPortion = new MoneyBuilder().with(usDollars).with(interest).build();
+		assertThat(transaction.getInterestPortion(usDollars).toString(), is(expectedInterestPortion.toString()));
+		
+		Money expectedPrincipalPortion = new MoneyBuilder().with(usDollars).with(principal).build();
+		assertThat(transaction.getPrincipalPortion(usDollars).toString(), is(expectedPrincipalPortion.toString()));
+	}
+
+	private void assertThatLoanInstallmentHasDerivedFieldsForPrincipalInterestOf(final String principal, final String interest, 
+			final LoanRepaymentScheduleInstallment installment) {
+		Money expectedInterestCompleted = new MoneyBuilder().with(usDollars).with(interest).build();
+		assertThat(installment.getInterestCompleted(usDollars).toString(), is(expectedInterestCompleted.toString()));
+		
+		Money expectedPrincipalCompleted = new MoneyBuilder().with(usDollars).with(principal).build();
+		assertThat(installment.getPrincipalCompleted(usDollars).toString(), is(expectedPrincipalCompleted.toString()));
+	}
+	
+	private void assertThatLoanTransactionHasDerivedFieldsOf(
+			final String principal, 
+			final String interest, 
+			final String interestWaived, 
+			final LoanTransaction transaction, final MonetaryCurrency currency) {
+		
+		Money expectedPrincipalPortion = new MoneyBuilder().with(currency).with(principal).build();
+		assertThat("Principal portion of transaction not as expected: ", transaction.getPrincipalPortion(currency).toString(), is(expectedPrincipalPortion.toString()));
+		
+		Money expectedInterestPortion = new MoneyBuilder().with(currency).with(interest).build();
+		assertThat("Interest portion of transaction not as expected: ", transaction.getInterestPortion(currency).toString(), is(expectedInterestPortion.toString()));
+		
+		Money expectedInterestWaivedPortion = new MoneyBuilder().with(currency).with(interestWaived).build();
+		assertThat("Interest waived portion of transaction not as expected: ",transaction.getInterestWaivedPortion(currency).toString(), is(expectedInterestWaivedPortion.toString()));
+	}
+	
+	private void assertThatLoanInstallmentHasDerivedFieldsOf(
+			final String principal, 
+			final String interest, 
+			final String interestWaived, 
+			final LoanRepaymentScheduleInstallment installment, final MonetaryCurrency currency) {
+		
+		Money expectedPrincipalCompleted = new MoneyBuilder().with(currency).with(principal).build();
+		assertThat("principal not as expected", installment.getPrincipalCompleted(currency).toString(), is(expectedPrincipalCompleted.toString()));
+		
+		Money expectedInterestCompleted = new MoneyBuilder().with(currency).with(interest).build();
+		assertThat("interest completed not as expected: ",installment.getInterestCompleted(currency).toString(), is(expectedInterestCompleted.toString()));
+		
+		Money expectedInterestWaived = new MoneyBuilder().with(currency).with(interestWaived).build();
+		assertThat("interest waived not as expected: ", installment.getInterestWaived(currency).toString(), is(expectedInterestWaived.toString()));
+	}
+	
+	private String principalOf(final String value) {
+		return value;
+	}
+	
+	private String interestOf(final String value) {
+		return value;
+	}
+
+	private String interestWaivedOf(final String value) {
+		return value;
+	}
+}

mifosng-provider/src/test/java/org/mifosng/platform/loan/domain/LoanRepaymentScheduleInstallmentBuilder.java

@@ -8,11 +8,11 @@ public class LoanRepaymentScheduleInstallmentBuilder {
 
 	private Loan loan = null;
 	private Integer installmentNumber = Integer.valueOf(1);
-//	private LocalDate from = LocalDate.now();
 	private LocalDate dueDate = LocalDate.now();
 	private MonetaryCurrency currencyDetail = new MonetaryCurrencyBuilder().build();
 	private Money principal = new MoneyBuilder().build();
 	private Money interest = new MoneyBuilder().build();
+	private boolean completed = false;
 	
 	public LoanRepaymentScheduleInstallmentBuilder(MonetaryCurrency currencyDetail) {
 		this.currencyDetail = currencyDetail;
@@ -21,7 +21,12 @@ public class LoanRepaymentScheduleInstallmentBuilder {
 	}
 
 	public LoanRepaymentScheduleInstallment build() {
-		return new LoanRepaymentScheduleInstallment(loan, installmentNumber, dueDate, principal.getAmount(), interest.getAmount());
+		LoanRepaymentScheduleInstallment installment = new LoanRepaymentScheduleInstallment(loan, installmentNumber, dueDate, principal.getAmount(), interest.getAmount());
+		if (completed) {
+			installment.payPrincipalComponent(principal);
+			installment.payInterestComponent(interest);
+		}
+		return installment;
 	}
 
 	public LoanRepaymentScheduleInstallmentBuilder withPrincipal(String withPrincipal) {
@@ -38,4 +43,9 @@ public class LoanRepaymentScheduleInstallmentBuilder {
 		this.dueDate = withDueDate;
 		return this;
 	}
+
+	public LoanRepaymentScheduleInstallmentBuilder completed() {
+		this.completed = true;
+		return this;
+	}
 }

mifosng-provider/src/test/java/org/mifosng/platform/loan/domain/LoanScheduleTestDataHelper.java

@@ -0,0 +1,60 @@
+package org.mifosng.platform.loan.domain;
+
+import java.util.Arrays;
+import java.util.List;
+
+import org.joda.time.LocalDate;
+import org.mifosng.platform.currency.domain.MonetaryCurrency;
+
+/**
+ * Helper class for creating loan schedule data suitable for testing.
+ */
+public class LoanScheduleTestDataHelper {
+
+	public static List<LoanRepaymentScheduleInstallment> createSimpleLoanSchedule(final LocalDate firstDueDate, final MonetaryCurrency currency) {
+		LoanRepaymentScheduleInstallment firstInstallment = new LoanRepaymentScheduleInstallmentBuilder(currency)
+		.withDueDate(firstDueDate)
+		.withPrincipal("1000.00")
+		.withInterest("200.00")
+		.build();
+
+		LoanRepaymentScheduleInstallment secondInstallment = new LoanRepaymentScheduleInstallmentBuilder(currency)
+				.withDueDate(firstDueDate.plusMonths(1))
+				.withPrincipal("1000.00")
+				.withInterest("200.00")
+				.build();
+		
+		LoanRepaymentScheduleInstallment thirdInstallment = new LoanRepaymentScheduleInstallmentBuilder(currency)
+		.withDueDate(firstDueDate.plusMonths(2))
+		.withPrincipal("1000.00")
+		.withInterest("200.00")
+		.build();
+		
+		return Arrays.asList(firstInstallment, secondInstallment, thirdInstallment);
+	}
+
+	public static List<LoanRepaymentScheduleInstallment> createSimpleLoanScheduleWithFirstInstallmentFullyPaid(final LocalDate firstDueDate, final MonetaryCurrency currency) {
+		
+		LoanRepaymentScheduleInstallment firstInstallment = new LoanRepaymentScheduleInstallmentBuilder(currency)
+															.withDueDate(firstDueDate)
+															.withPrincipal("1000.00")
+															.withInterest("200.00")
+															.completed()
+															.build();
+
+		LoanRepaymentScheduleInstallment secondInstallment = new LoanRepaymentScheduleInstallmentBuilder(currency)
+															.withDueDate(firstDueDate.plusMonths(1))
+															.withPrincipal("1000.00")
+															.withInterest("200.00")
+															.build();
+		
+		LoanRepaymentScheduleInstallment thirdInstallment = new LoanRepaymentScheduleInstallmentBuilder(currency)
+															.withDueDate(firstDueDate.plusMonths(2))
+															.withPrincipal("1000.00")
+															.withInterest("200.00")
+															.build();
+		
+		return Arrays.asList(firstInstallment, secondInstallment, thirdInstallment);
+	}
+
+}

mifosng-provider/src/test/java/org/mifosng/platform/loan/domain/LoanTransactionBuilder.java

@@ -5,17 +5,33 @@ import org.mifosng.platform.currency.domain.Money;
 
 public class LoanTransactionBuilder {
 
-	private Money amount = new MoneyBuilder().build();
-	private LocalDate paymentDate = LocalDate.now();
+	private Money transactionAmount = new MoneyBuilder().build();
+	private LocalDate transactionDate = LocalDate.now();
+	private boolean repayment = false;
 
 	public LoanTransaction build() {
-		return LoanTransaction.repayment(amount, paymentDate);
+		
+		LoanTransaction transaction = null;
+		
+		if (repayment) {
+			transaction = LoanTransaction.repayment(transactionAmount, transactionDate);
+		}
+		
+		return transaction;
 	}
 
-	public LoanTransactionBuilder with(Money newAmount) {
-		this.amount = newAmount;
+	public LoanTransactionBuilder with(final Money newAmount) {
+		this.transactionAmount = newAmount;
 		return this;
 	}
 
+	public LoanTransactionBuilder with(final LocalDate withTransactionDate) {
+		this.transactionDate = withTransactionDate;
+		return this;
+	}
 	
+	public LoanTransactionBuilder repayment() {
+		this.repayment = true;
+		return this;
+	}
 }