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  Group Box Editing Amount Limits

Use

In the group box Amount Limits , you edit those fields of a condition that are included in Amount Category 180000 Amount Limits

You can use amount limits to represent general lower or upper limits for the calculation of settlement conditions of a condition type during a certain period of time. This is regardless of how many amounts were calculated for the individual conditions.

You can specify a lower amount limit and an upper amount limit to apply to all of the conditions that belong to the same reference condition type. This means that the interest or charges levied are not lower than the minimum amount and not higher than the maximum amount. Based on this, the system calculates the total of all the conditions that arose for a condition type for a certain time period and compares this total with the amount limits and the trivial amount.

You can define amount limits that refer to the settlement period or the period of use , whereby Amount Limits with Period of Use can be used for charge conditions only.

Prerequisites

In Customizing, you have defined a condition type in the IMG activity Define Condition Type , which uses the condition category Amounts Limits or Amount Limits with Period of Use . You have assigned this condition type to a corresponding condition group type, and in the application you have created a condition group which supports a condition with amount limits.

If the calculation of the total amount is to refer to the calculation of the amount limits for the settlement period, use the condition category Amount Limits. If the calculation of the total amount is to refer to the calculation of the amount limits for the settlement period, use the condition category Amount Limits with Period of Use .

Procedure

  • Specify a currency.

  • Enter the following data in the Amount Limits group box:

    • Choose a reference condition type. The reference condition type specifies the condition type to which the restriction is applied. The results of all conditions that belong to the reference condition type are added together and compared with the amount limits.

      You can define amount limits and/or amount limits with period of use only once for a particular reference condition type.

    • If appropriate, enter a trivial amount.

    • Define the amount limits by specifying a minimum amount and/or the maximum amount.

    Note Note

    Note that the results of the individual conditions are used to calculate the amount limits. If you have already restricted the individual charge conditions by a minimum and/or maximum amount, the restricted amounts are used to calculate the total restriction.

    End of the note.

  • If you define amount limits with period of use , you can select the period of use and a charge calculation method on the additional Tab Page Condition Determination .

    Caution Caution

    Select the period of use for the amount limits so that these match the period of use of the reference condition type.

    End of the caution.

Result

During the contract settlement, the calculated interest and charge results are added according to the settings that you entered. Only the restriction amounts are posted .

If the calculation of the individual interest amounts equals zero, the minimum interest is not used. If the calculation of the individual charge amounts equals zero, the minimum charge is still levied.

Example

A checking account has the following conditions:

Conditions

Amounts

Debit I nterest

10 . 5 %

Overdraft I nterest

0%

Credit I nterest

5%

Account Maintenance Charge

EUR 5.00

Dispatch Items

EUR 1.00

Posting Items/Item Counters

EUR 0.50

Posting Items/Returned Debit:

EUR 2.50

A minimum of EUR 2.00 and a maximum of EUR 10.00 debit interest must be calculated for this account. A minimum of EUR 1.00 and a maximum of EUR 5.00 must be calculated for posting items .

Restriction of debit interest

Currency

EUR

Reference Condition Type

Debit interest

Minimum Amount

00

Maximum Amount

10 . 00

Result:

If debit interest is incurred on the account involved, the customer is charged a minimum of EUR 2.00 and a maximum of EUR 10.00.

Restriction of item charges

Currency

EUR

Reference Condition Type

Item charges

Minimum Amount

00

Maximum Amount

00

Result:

Even if there are no item charges (posting items) for the account, the minimum amount of EUR 1.00 is still charged. If item charges are incurred, the customer is charged a minimum of EUR 1.00 and a maximum of EUR 5.00.