The 'Internal Amendment' refers to the modifications carried out in the transaction details without impacting the terms and conditions of the Guarantee contract.
Application allows various types of internal amendments to be processed without increasing the amendment number count and the amendment messages creation.
Types of Internal Amendments:
Cash Cover - To add or amend cash cover on the liability panel.
Confirmation - To add or delete or amend the confirmation amount of the Standby Letters of Credit or Guarantee.
For the processing of Auto-Extensions, the following amendment types are available:
Auto-Extension automatically extends the contract expiry date by processing of the auto-extension diary entry. This amendment type is not available when the transaction is processed manually. The expiry date will be extended by adding the extension-period to the current expiry date. If a final expiry date exists, and if it is before the calculated date, the final expiry date will be the new expiry date. The expiry date is updated with the new expiry date of the contract.
Stop Auto-Extension - To cancel an existing auto-extension.
Add Auto-Extension - To add an auto-extension schedule.
To Create Internal Amendments for the existing Open Guarantee contract, GITAMC transaction is used.
Select it from the menu item[Guarantee Products -> Guarantees/Standbys -> Amendment- > Internal Amendment].
When you have made your changes, click on the ( ) Save function to save all the the data entered in the transaction to the database.