Hi Experts,
We would like to calculate interest by using variable interest rate+ applicable spread on principal amount. I have an idea on how to use variable interest rate and one time spread rate. We need to use variable spread rate (dynamic spread rate) for calculating interest.
Example- Ref.interest rate LIBORUSD01 in January is 2% and the spread is 0.2%.System will calculate 2.2% interest on principal amount. The spread will change every month as like LIBORUSD01 interest rate.
Please let me know if there is any provision.
Thank you
Thanks Nikhil!
I could able to figure out the resolution. Multiple variable interest rates can be achieved using formula shown below.
It would be helpful if you can share more information on using new interest condition.
Thanks
HI,
You can achieve this by adding a new interest condition with new effective form date and new spread whenever it changes.
Regards,
Nikhil