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FINERACT-1234: Fix disbursement validation to respect over-applied loan product configuration #5693

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FINERACT-1234: Fix disbursement validation to respect over-applied loan product configuration #5693

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bb8480b
FINERACT-1234: Fix disbursement validation to respect over-applied lo…
P-ragati Mar 25, 2026
2662a3c
FINERACT-1234: Fix import order in LoanDisbursementValidator for chec…
P-ragati Mar 26, 2026
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54 changes: 37 additions & 17 deletions ...va/org/apache/fineract/portfolio/loanaccount/serialization/LoanDisbursementValidator.java
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Original file line number Diff line number Diff line change
Expand Up @@ -23,9 +23,12 @@
import lombok.RequiredArgsConstructor;
import org.apache.fineract.infrastructure.core.service.DateUtils;
import org.apache.fineract.infrastructure.core.service.MathUtil;
import org.apache.fineract.organisation.monetary.domain.MoneyHelper;
import org.apache.fineract.portfolio.loanaccount.domain.Loan;
import org.apache.fineract.portfolio.loanaccount.domain.LoanOverAppliedCalculationType;
import org.apache.fineract.portfolio.loanaccount.exception.InvalidLoanStateTransitionException;
import org.apache.fineract.portfolio.loanaccount.exception.LoanDisbursalException;
import org.apache.fineract.portfolio.loanproduct.domain.LoanProduct;
import org.springframework.stereotype.Component;

@Component
Expand All @@ -39,30 +42,47 @@ public void compareDisbursedToApprovedOrProposedPrincipal(final Loan loan, final
final BigDecimal totalCapitalizedIncomeAdjustment = MathUtil.nullToZero(loan.getSummary().getTotalCapitalizedIncomeAdjustment());
final BigDecimal netCapitalizedIncome = totalCapitalizedIncome.subtract(totalCapitalizedIncomeAdjustment);

if (loan.loanProduct().isAllowApprovedDisbursedAmountsOverApplied()) {
// Validate total disbursed amount (after this transaction) against max allowed
validateOverMaximumAmount(loan, totalDisbursed, netCapitalizedIncome);
} else {
if ((totalDisbursed.compareTo(loan.getApprovedPrincipal()) > 0)
|| (totalDisbursed.add(netCapitalizedIncome).compareTo(loan.getApprovedPrincipal()) > 0)) {
final String errorMsg = "Loan can't be disbursed, disburse amount is exceeding approved principal.";
throw new LoanDisbursalException(errorMsg, "disburse.amount.must.be.less.than.approved.principal", totalDisbursed,
loan.getApprovedPrincipal());
}
final BigDecimal maxAllowed = calculateMaxAllowedDisbursement(loan);
BigDecimal total = totalDisbursed.add(netCapitalizedIncome);
if (total.compareTo(maxAllowed) > 0) {
throw new LoanDisbursalException(
"Disbursement exceeds allowed limit including over-applied threshold",
"disburse.amount.must.be.less.than.or.equal.to.max.allowed", total, maxAllowed);
}
}

public void validateOverMaximumAmount(final Loan loan, final BigDecimal totalDisbursed, final BigDecimal capitalizedIncome) {
final BigDecimal maxDisbursedAmount = loanApplicationValidator.getOverAppliedMax(loan);
if (totalDisbursed.add(capitalizedIncome).compareTo(maxDisbursedAmount) > 0) {
final BigDecimal maxAllowed = calculateMaxAllowedDisbursement(loan);
BigDecimal total = totalDisbursed.add(capitalizedIncome);
if (total.compareTo(maxAllowed) > 0) {
final String errorMessage = String.format(
"Loan disbursal amount can't be greater than maximum applied loan amount calculation. "
+ "Total disbursed amount: %s Maximum disbursal amount: %s",
totalDisbursed.stripTrailingZeros().toPlainString(), maxDisbursedAmount.stripTrailingZeros().toPlainString());
"Disbursement exceeds allowed limit including over-applied threshold. Total disbursed amount: %s Maximum allowed: %s",
total.stripTrailingZeros().toPlainString(), maxAllowed.stripTrailingZeros().toPlainString());
throw new InvalidLoanStateTransitionException("disbursal",
"amount.can't.be.greater.than.maximum.applied.loan.amount.calculation", errorMessage, totalDisbursed,
maxDisbursedAmount);
"amount.can't.be.greater.than.maximum.applied.loan.amount.calculation", errorMessage, total, maxAllowed);
}
}

private BigDecimal calculateMaxAllowedDisbursement(final Loan loan) {
final LoanProduct loanProduct = loan.getLoanProduct();
final BigDecimal approvedPrincipal = loan.getApprovedPrincipal() != null ? loan.getApprovedPrincipal()
: loan.getProposedPrincipal() != null ? loan.getProposedPrincipal() : BigDecimal.ZERO;
BigDecimal maxAllowed = approvedPrincipal;

if (loanProduct.getOverAppliedCalculationType() != null && loanProduct.getOverAppliedNumber() != null) {
final BigDecimal overAppliedMax = BigDecimal.valueOf(loanProduct.getOverAppliedNumber());
final LoanOverAppliedCalculationType calculationType = LoanOverAppliedCalculationType
.valueOf(loanProduct.getOverAppliedCalculationType().toUpperCase());

if (calculationType.isPercentage()) {
final BigDecimal extra = MathUtil.percentageOf(approvedPrincipal, overAppliedMax, MoneyHelper.getMathContext());
maxAllowed = approvedPrincipal.add(extra);
} else {
maxAllowed = approvedPrincipal.add(overAppliedMax);
}
}

return maxAllowed;
}

public void validateDisburseDate(final Loan loan, final LocalDate disbursedOn, final LocalDate expectedDate) {
Expand Down
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