diff --git a/mifosng-provider/src/main/java/org/mifosplatform/portfolio/loanaccount/loanschedule/domain/AbstractLoanScheduleGenerator.java b/mifosng-provider/src/main/java/org/mifosplatform/portfolio/loanaccount/loanschedule/domain/AbstractLoanScheduleGenerator.java
index 676d393dd..cd1fc6a14 100644
--- a/mifosng-provider/src/main/java/org/mifosplatform/portfolio/loanaccount/loanschedule/domain/AbstractLoanScheduleGenerator.java
+++ b/mifosng-provider/src/main/java/org/mifosplatform/portfolio/loanaccount/loanschedule/domain/AbstractLoanScheduleGenerator.java
@@ -72,7 +72,8 @@ public abstract class AbstractLoanScheduleGenerator implements LoanScheduleGener
 
         LocalDate periodStartDate = loanApplicationTerms.getExpectedDisbursementDate();
         LocalDate actualRepaymentDate = periodStartDate;
-        LocalDate firstRepaymentdate = this.scheduledDateGenerator.generateNextRepaymentDate(periodStartDate, loanApplicationTerms);
+        boolean isFirstRepayment = true;
+        LocalDate firstRepaymentdate = this.scheduledDateGenerator.generateNextRepaymentDate(periodStartDate, loanApplicationTerms, isFirstRepayment);
         final LocalDate idealDisbursementDate = this.scheduledDateGenerator.idealDisbursementDateBasedOnFirstRepaymentDate(
                 loanApplicationTerms.getLoanTermPeriodFrequencyType(), loanApplicationTerms.getRepaymentEvery(), firstRepaymentdate);
 
@@ -90,7 +91,8 @@ public abstract class AbstractLoanScheduleGenerator implements LoanScheduleGener
             outstandingBalance = outstandingBalance.zero().plus(disburseAmt);
         }
         while (!outstandingBalance.isZero()) {
-            actualRepaymentDate = this.scheduledDateGenerator.generateNextRepaymentDate(actualRepaymentDate, loanApplicationTerms);
+            actualRepaymentDate = this.scheduledDateGenerator.generateNextRepaymentDate(actualRepaymentDate, loanApplicationTerms, isFirstRepayment);
+            isFirstRepayment = false;
             LocalDate scheduledDueDate = this.scheduledDateGenerator.adjustRepaymentDate(actualRepaymentDate, loanApplicationTerms,
                     isHolidayEnabled, holidays, workingDays);
             final int daysInPeriod = Days.daysBetween(periodStartDate, scheduledDueDate).getDays();
diff --git a/mifosng-provider/src/main/java/org/mifosplatform/portfolio/loanaccount/loanschedule/domain/DefaultScheduledDateGenerator.java b/mifosng-provider/src/main/java/org/mifosplatform/portfolio/loanaccount/loanschedule/domain/DefaultScheduledDateGenerator.java
index 3cfd16c84..cc3f19ebe 100644
--- a/mifosng-provider/src/main/java/org/mifosplatform/portfolio/loanaccount/loanschedule/domain/DefaultScheduledDateGenerator.java
+++ b/mifosng-provider/src/main/java/org/mifosplatform/portfolio/loanaccount/loanschedule/domain/DefaultScheduledDateGenerator.java
@@ -23,19 +23,20 @@ public class DefaultScheduledDateGenerator implements ScheduledDateGenerator {
         final int numberOfRepayments = loanApplicationTerms.getNumberOfRepayments();
 
         LocalDate lastRepaymentDate = loanApplicationTerms.getExpectedDisbursementDate();
-
+        boolean isFirstRepayment = true;
         for (int repaymentPeriod = 1; repaymentPeriod <= numberOfRepayments; repaymentPeriod++) {
-            lastRepaymentDate = generateNextRepaymentDate(lastRepaymentDate, loanApplicationTerms);
+            lastRepaymentDate = generateNextRepaymentDate(lastRepaymentDate, loanApplicationTerms, isFirstRepayment);
+            isFirstRepayment = false;
         }
         lastRepaymentDate = adjustRepaymentDate(lastRepaymentDate, loanApplicationTerms, isHolidayEnabled, holidays, workingDays);
         return lastRepaymentDate;
     }
 
     @Override
-    public LocalDate generateNextRepaymentDate(final LocalDate lastRepaymentDate, final LoanApplicationTerms loanApplicationTerms) {
+    public LocalDate generateNextRepaymentDate(final LocalDate lastRepaymentDate, final LoanApplicationTerms loanApplicationTerms, boolean isFirstRepayment) {
         final LocalDate firstRepaymentPeriodDate = loanApplicationTerms.getCalculatedRepaymentsStartingFromLocalDate();
         LocalDate dueRepaymentPeriodDate = null;
-        if (firstRepaymentPeriodDate != null && firstRepaymentPeriodDate.isAfter(lastRepaymentDate)) {
+        if (isFirstRepayment && firstRepaymentPeriodDate != null) {
             dueRepaymentPeriodDate = firstRepaymentPeriodDate;
         } else {
             dueRepaymentPeriodDate = getRepaymentPeriodDate(loanApplicationTerms, lastRepaymentDate);
diff --git a/mifosng-provider/src/main/java/org/mifosplatform/portfolio/loanaccount/loanschedule/domain/ScheduledDateGenerator.java b/mifosng-provider/src/main/java/org/mifosplatform/portfolio/loanaccount/loanschedule/domain/ScheduledDateGenerator.java
index 1a8010cc0..008fbcae4 100644
--- a/mifosng-provider/src/main/java/org/mifosplatform/portfolio/loanaccount/loanschedule/domain/ScheduledDateGenerator.java
+++ b/mifosng-provider/src/main/java/org/mifosplatform/portfolio/loanaccount/loanschedule/domain/ScheduledDateGenerator.java
@@ -20,7 +20,7 @@ public interface ScheduledDateGenerator {
     LocalDate idealDisbursementDateBasedOnFirstRepaymentDate(PeriodFrequencyType repaymentPeriodFrequencyType, int repaidEvery,
             final LocalDate firstRepaymentDate);
 
-    LocalDate generateNextRepaymentDate(LocalDate lastRepaymentDate, LoanApplicationTerms loanApplicationTerms);
+    LocalDate generateNextRepaymentDate(LocalDate lastRepaymentDate, LoanApplicationTerms loanApplicationTerms, boolean isFirstRepayment);
 
     LocalDate adjustRepaymentDate(LocalDate dueRepaymentPeriodDate, LoanApplicationTerms loanApplicationTerms, boolean isHolidayEnabled,
             List<Holiday> holidays, WorkingDays workingDays);