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Former Member
Oct 18, 2011 at 11:15 AM

Maintaining Constant Effective Interest Rate for parallel valuation

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Hi,

We have configured loans management with parallel valuation area. And we have configured the amortization procedure with Constant Effective interest rate. We have also defined the Position management category as "Securities/loans w/ installment repayment (w/o index-linked bonds).

But when we create a loan with multiple planned repayments, the effective interest rate in the parallel valuation area doesn't remain constant. Is there any other configuration needed to ensure that the loan has constant effective interest rate in the parallel valuation area?

Regards,

Akshata