Activated Loan vs. Active Status


Due to the complexity of the AutoPal system, there may be similar terminology that is applied to very different concepts. One particular circumstance that may cause confusion is the difference of an “Active” status loan, and an “Activated Loan”.

Activate a Loan

Activating a loan is your way of telling AutoPal to proceed with the loan using the numbers you have entered. The numbers and terms will be locked in unless the loan is inactivated, which ensures the consistency of amortization. When the loan is activated, AutoPal recognizes actual dates instead of looking at the loan term as just a duration of time. This means that if scheduled payments have been missed, the account will be past due, if payments are made late or early, interest will continue to be amortized (meaning calculations may change from the originally saved values), and AutoPal will only display forecast payments in the future of the current date.

Some results of activating the loan: loan terms will be locked, the application of late fees if future payments are missed, the past-due amount and payoff amount will be calculated correctly, and you will have access to additional tools like Loan Modification, Advancements, Change Due Date, etc.

Active Status

A loan that is currently in the “Active Status” is typically referred to as an “active” loan. AutoPal offers many loan statuses and sub-statuses, that may have other effects on search-ability of the loan, and how the loan is serviced. Other loan statuses include: Underwriting, Paid Off, Repossessed, and Collections. Changing the status on a loan is your way of designating how the loan should be serviced. The active status is used to represent loans that are being actively serviced. Paid Off is the status for loans that you are no longer actively servicing because the balance on the loan is $0.00, because either the loan was paid off, the collateral was repossessed, or the loan was closed for another reason. Changing a loan to “Active” status may change the email enrollment, and web access settings that have been applied as defaults for your company, as well as cause late fees to be assessed for future payments depending on your company settings.

Tying it Together

Despite the similarity of these terms, it is possible to have an “Active” loan that has not been “Activated”, as being “Active” is merely a status applied to the loan for the purposes of tracking.

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  1. Kristy

    What doesn’t loan status “future” mean? Loan has been requested through our 401K. I can see the withdrawals for not quite the full total of the loan Request but status says “Future”. Went from pending to future

    1. Andy Morrise

      I’m not sure what you’re referring to. What page in the software is showing this status? If it is a status, what is the substatus?

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