Editing Interest Rates for Tiers or Complex Tiers in Condition Determination

This procedure describes how you define interest rates for tiers or complex tiers in condition determination.

You use these tiered conditions to automatically adjust interest rates according to the actual scope of business of the customer relationship. You can scale interest dependent on balances or turnover such as incoming payments. To do so, use the settings on the Condition Determination tab page, for example, period of use, determination period, or turnover class. There, you can define the calculation basis for condition determination.

You can assign the tiers to amount limits: For tiers in condition determination at lower limits (including and above this limit), for complex tiers for condition determination at upper limits (up to and including this limit), or lower levels.

You can use the complex tiers for condition determination as follows:

In the tiers for condition determination, the system determines a tiered condition for each period of used based on the settings you have made on the Condition Determination tab page and on the amount limits. The amount limits of the tier refer to the settings on the Condition Determination tab page.
The tiered condition that is valid for the settlement is used on the calculation basis defined in the condition type.
In the tiers for condition determination, the system determines a defined tier for each period of used based on the settings you have made on the Condition Determination tab page and on the amount limits. The amount limits of the tier refer to the settings on the Condition Determination tab page.
Intervals, tiers or a combination of both are defined in this tier. The amount limits for this tier or interval refer to the calculation basis defined in the condition type.

The tiered condition that is valid for the settlement is used on the calculation basis defined in the condition type.

Prerequisites

You have made all necessary settings so that the fields for creating interest rates for tiers or complex tiers for condition determination are available.
For more information about the required settings, see the decision table in the documentation for each amount category that is relevant for the interest rate.
The system displays condition editing on the Calculation tab page.

Procedure

You can make the following settings:

Enter one of the following values in the Tiers for Condition Determination field:
- Tiers for condition determination
  Similar to the tier or interval calculation, enter the interest rate for different amount limits. For more information about editing the fields, see Editing Interest Rates for Tier, Interval, or Combined Tier/Interval Calculations under the section Specifying Interest Rates for Tiered Calculation or Interval Calculation.
- Complex Tiers for condition determination
  In a defined tier, enter tiers, intervals, or a combination of both:
  1. Enter the complex tiers for condition determination by editing the following fields on the screen Complex Tiers for Condition Determination:
    
    Amount limit of complex levels for condition determination
    Tiered and interval calculation (item)
    Condition item (upper and lower limit)
    Text for tiered/interval condition item
  2. In the table control Complex Tiers for Condition Determination, select a tier, and choose (Position Details).
  3. Similar to the tier or interval calculation, enter the interest rate for different amount limits. For more information about editing the fields, see Editing Interest Rates for Tier, Interval, or Combined Tier/Interval Calculations under the section Specifying Interest Rates for Tiered Calculation or Interval Calculation.

Result

You have specified interest rates for tiers for condition determination or interest rates for complex tiers for condition determination.

More Information

Amount Category

Editing the Calculation Tab Page

Editing the Condition Determination Tab Page