In IS-U Loans functionality is very similar to Installment Plan functionality. Look at transaction EK25 to create your loan. However the drawback of IS-U loans are:
1) Can't handle Overpayments i.e., it doesnt apply the overpayment to the principal part and also doesn't reduce the total interest component.
2) Has problems when you have to deactivate the loan and use the same source to create a new loan.
Custom Solutions need to be build to handle the overpayment scenario.
Regards,
Yuvi.
