Loan repayment and settlement are the stages where borrowers pay down what they owe until the loan is fully repaid and Pismo automatically settles it.

Manage loan repayment

When you book a loan, the Pismo platform generates a repayment schedule based on the configurations of the associated loan product.

View a loan repayment schedule

View payment progress and track the status of each individual repayment. You can use Control Center or the API.

Create loan adjustment

You can adjust a loan's repayment details for several reasons, such as providing discounts on repayments or including previously disputed amounts. When you make an adjustment, your changes update the repayment schedule and affect the overall loan balance.

You can use Control Center or the API.

Use the Create loan adjustment endpoint to adjust the loan. In the following request payload example, the adjustment_amount applies to the loan principal because loan_balance_impact is set to PRINCIPAL. Other options for adjusting the loan include INTEREST, TAX, PENALTY, or FEE.

{
  "loan_balance_impact": "PRINCIPAL",
  "adjustment_amount": 1000,
  "processing_code": "12345",
  "repayment_id": "5c075cc6-8dc2-4fe6-9ed7-cf5687d4e834"
}

This endpoint returns an idempotency_key and authorization_id in the response body.

{
  "idempotency_key": "4df987e3-8179-11ed-8209-06c7b022d1ee",
  "authorization_id": 123456789
}

Restructure a loan

Loan restructuring (also called renegotiation) replaces an existing active loan with a new loan on different terms, such as a different number of installments or a different loan product. Unlike a loan adjustment, which modifies the repayment schedule of the existing loan in place, restructuring does not change the original loan. Instead, the platform books a brand-new loan for the outstanding balance and moves the original loan to the RENEGOTIATED status. Once you have restructured a loan, not only is a particular repayment changed, but the full loan is changed.

Use a loan adjustment to correct or amend the current loan's existing schedule (see Create loan adjustment). Use restructuring when the repayment terms need to change going forward and the loan should be replaced by a new one.

Restructuring works as follows:

1. Restructuring applies to an ACTIVE loan. The loan's outstanding balance becomes the amount carried into the new loan.
2. The new number of installments must be one of the values allowed by the installment plan configuration. To preview the terms of the new loan first, refer to Simulate loans.
3. Call the Restructure a loan endpoint with the target loan product, installment plan, and number of installments. A restructure can reuse the same loan product or move to a different one.
4. Processing is asynchronous. The endpoint returns a tracking_id and processing continues in the background. The new loan is not returned in the response.
5. When processing completes, the original loan transitions to RENEGOTIATED and a new loan is booked from the outstanding balance using the selected terms. The original loan cannot have any further actions taken once the transition happens.
6. To retrieve the new loan, use Get loan on the original loan, confirm that its status is RENEGOTIATED, and read the linked restructure_loan_id. Then retrieve the new loan using that ID.

The following example shows a request payload for the Restructure a loan endpoint with 24 installments.

{
  "loan_product_id": "b1f2c3d4-5e6f-7a8b-9c0d-1e2f3a4b5c6d",
  "installment_plan_id": "8ac0e5f1-2b3c-4d5e-6f7a-8b9c0d1e2f3a",
  "number_of_installments": 24
}

This endpoint returns a tracking_id that you can use to correlate the asynchronous processing.

{
  "tracking_id": "4df987e3-8179-11ed-8209-06c7b022d1ee"
}

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The original and new loans are linked for traceability. On the original (RENEGOTIATED) loan, the restructure_loan_id field holds the new loan's ID. On the new loan, the original_loan_id field points back to the original loan.

Cancel a loan

If you cancel a loan before disbursement, the borrower might not be charged. If you cancel a loan after disbursement, the borrower is responsible for repaying the disbursed amount. When a loan is canceled, all expected transfers are canceled and the loan moves to the CANCELED status. For more information, refer to Loan statuses overview.

To cancel a loan, use the Cancel loan endpoint. You must send the Idempotency-Key header with the request payload. The tracking_id is required; processing_code and metadata are optional.

{
  "tracking_id": "5c075cc6-8dc2-4fe6-9ed7-cf5687d4e834",
  "processing_code": {
    "booking": "7DJ8L",
    "repayment": "I1I7J",
    "penalty_waiver": "80Y39"
  },
  "metadata": {
    "cancellation_reason": "Write-off"
  }
}

Cancellation is processed asynchronously. The endpoint returns the cancelled_loan_id along with a reversal_authorization_id and reversal_tracking_id that you can use to correlate the reversal.

{
  "cancelled_loan_id": "73e45fd5-759f-4e04-a88a-7172fa948afa",
  "reversal_authorization_id": 123456789,
  "reversal_tracking_id": "4df987e3-8179-11ed-8209-06c7b022d1ee"
}

The Pismo platform generates a Loan updated event that reflects the transition to the CANCELED status:

{
  "cid": "7da3db3b-400d-4851-a362-2022dab27284",
  "loan_id": "73e45fd5-759f-4e04-a88a-7172fa948afa",
  "org_id": "TN-89e56522-726a-453e-ba6d-796b03245128",
  "account_id": 12176,
  "product_id": "89e56522-726a-453e-ba6d-796b03245128",
  "program_id": 9000,
  "currency": "USD",
  "amount": 1000.00,
  "previous_status": "ACTIVE",
  "current_status": "CANCELED",
  "created_at": "2026-10-24T21:34:47.000Z",
  "updated_at": "2026-10-24T21:34:47.000Z",
  "authorization_cancellation_id": 123456789,
  "authorization_cancellation_tracking_id": "4df987e3-8179-11ed-8209-06c7b022d1ee"
}

Manage settlement

The Pismo platform generates settlement rules based on the configurations of the associated loan product when a loan is booked.

If the borrower wants to repay the full amount of a loan plus any charges before the final scheduled payment date, you'll need to initiate early final settlement (EFS).

1. You must first simulate the details of the final settlement payment. The simulation calculates any repayment penalties that must be repaid in the final payment. To simulate an early settlement, use the Simulate EFS endpoint.
2. After the borrower has reviewed the details of the simulation, use the Register EFS endpoint to confirm and apply the simulation details to the loan and accept the early settlement payment.

Depending on the loan product, borrowers might be restricted from initiating an early settlement for a set period. They might also incur a penalty fee when making the final payment. The loan product defines these rules and penalties. For more information, refer to Create loan products.