Ok, here is how it works with the recent changes.So hopefully that will help us all out when the time comes on Wednesday...
- every club now has an overdraft facility (OD) that starts at -100k and after 7 days of signing-up, starts rising at the rate of -25k a day up to a maximum of -1M. NB it will only rise (at midnight) if the club is within their current overdraft limit. A team restarting has their OD reset to -100k.
- interest is now paid on all debts, whether you are within your overdraft limit or not and interest (both credit and debt) is now factored into your financial projection, which it wasn't before.
- the bank will veto you if, at any time in the next 28 days, you will exceed your allowed overdraft. This is different from previously where it would compare your balance *after* 28 days and check if it was better than -100k. This old method meant that a newcomer could go into significant debt (almost -2M) rightaway, which isn't sensible.
- the transfer budget displayed is now basically showing 50% of the amount you can spend before your bank will veto. This is to encourage prudence - you can still spend up to your veto limit but the risk is that if you do you will effectively be making a loss, so it's more sensible to encourage a little bit of cautiousness and the transfer budget simply halves the amount.
- you will only go into administration or receivership if you are -2M in debt AND your projected cash (after 28 days) is also worse than -2M.
That's not correct - it will look for the minimum level over the 28 days now, not just the final figure.
How will this affect existant managers?
Anyone who has been in the game long enough will have the maximum -1M OD limit.