Obligo (Credit Line Management)
Overview
Obligo management allows providing a credit line to system nodes i.e. branches or users.
The Obligo amount determines how much credit a parent node grants his child nodes and users for creating new bookings. This configuration allows clients to restrict their agents from making bookings in certain conditions.
Various configurations of Obligo settings in conjunction with user settings affect the available payment options for a booking.
For example, in case the Obligo allowance is insufficient, Cash will not be offered as a payment option for the booking.
Obligo settings can be configured based on the package’s Cancellation Policy or based on the full booking amount. The number of days until the strictest cancellation policy date will determine if the system checks only bookings that are within that range and deducted against the Obligo allowance in an attempt to make a booking.
Configuration
Central parameters in this configuration include settings such as the Cancellation Policy and ensuring the full booking amount is evaluated and offset against the Obligo when a booking occurs.
Another pivotal setting is the "Number of days until cancellation policy." This determines the duration within which bookings are scrutinized and offset against the Obligo.
For instance, if you configure the Obligo to a value of 0 and set the "Number of days until cancellation policy" to 2, it implies that rooms can be booked and subsequently canceled within the next two days without incurring any charges.
For organizations with internal staff, there's no pressing need to modify the default Obligo settings. However, when introducing external branches and users, it's imperative to fine-tune the Obligo settings at the Node level. It's noteworthy that the Obligo is recursive, meaning it accounts for and consolidates all underlying Nodes and Users.
Configuration - fields
| Field | Description | Note |
|---|---|---|
| Set max obligo | Use this field to set the max Obligo (credit line) granted by a parent node. | - When the value is set to ‘0’ – Cash will not be available as a payment option for bookings made by all underlying nodes and users. If no payment gateways are configured for a user, the booking could not be completed. - When the value is set to ‘99999999999’ – the credit line is “unlimited” and the obligo settings are ignored |
| Cancellation policy based (if not checked, full price will apply) | Check this box to calculate the debt amount based on the package’s Cancellation Policy. | For example, when a reservation is made using Cash, the system will calculate the debt based on the package’s cancellation policy fees, instead of full package amount / price. The fee is the amount specified in the first cancellation policy. |
| Number of days until cancellation policy | Use this field to deduct the number of days from the cancellation policy, when the reservation is about to reach to its earliest cancellation policy date. Set the number of days from the cancellation policy start date for considering the debt. | For example, if the earliest cancellation policy starts on December 30 and the value set in this field is ‘5’, then the Obligo calculations will start from December 25 instead of from December 30. |
| Current debt | When a reservation is made in Cash, the amount is added directly to the current debt field, reflecting the purchase price from the supplier, until the reservation is paid. | |
| Future debt | After a reservation has passed its due date (based on the cancellation policy date) and was not yet paid, the amount is added to the future debt, reflecting the purchase price from the supplier. | |
| Reduce debt | Since accounting and monetary transactions can be made externally, you can use this field to reflect a payment that was received. Enter an amount to be reduced from the future debt and click Save. | |
| Current credit | When a reservation is made in Cash, the amount is added to the current credit debt field, reflecting the selling price, until the reservation is paid. | |
| Future credit | After a reservation has passed its due date (based on the cancellation policy date) and was not yet paid, the amount is added to the future debt, reflecting the selling price. | |
| Reduce credit | Since accounting and monetary transactions can be made externally, you can use this field to reflect a payment that was received. Enter an amount to be reduced from the future credit and click Save. |
Examples
Configuration :
- Max Obligo is set to : 1000
- A user made a Cash booking for 100 on May 1
- Check-in date is July 14
- CXL Policy starts on July 7
- CXL Fee is 40 (prior to Check-In)
- CXL Fee on Check-in is for Full booking amount (100)
scenario 1
- CXL Policy Based - checked.
- No. of Days until CXL Policy - unchecked.
| At Booking | On July 1 | CXL Start (July 7) | Check-In (July 14) | |
|---|---|---|---|---|
| Obligo | 900 | 900 | 900 | |
| Future Debt | 0 | 0 | 0 | |
| Current Debt | 100 | 100 | 100 |
scenario 2
- CXL Policy Based - checked.
- No. of Days until CXL Policy - checked. -> set to '7'
| At Booking | On July 1 | CXL Start (July 7) | Check-In (July 14) | |
|---|---|---|---|---|
| Obligo | 960 | 900 | 900 | 900 |
| Future Debt | 40 | 0 | 0 | 0 |
| Current Debt | 0 | 100 | 100 | 100 |
Updated 9 months ago