Prime Rate Maintenance
Overview of IL801
Prime Rate Maintenance is an automated means of updating line-of-credit interest rates and base rates. Lines with a rate adjustment method of “Prime Rate Adjustment” are eligible for the rate changes. Interest Rate Adjustment (IL822) looks for lines of credit whose next adjustment dates are equal to or before the current business date. It then updates their interest rates and base rates according to the Prime Rate Maintenance table. The values stored in the prime rate table typically come from business-related publications (i.e., The Wall Street Journal).
- From the DDI Connect main menu, double-click Financial Services
- Double-click Line of Credit
- Double-click Setup
- Double-click Prime Rate Maintenance. You will see this screen:
Adding a New Prime Rate
To add a new prime rate, click the Add button on the toolbar. The screen will now activate for data entry:
The following fields are available on this screen:
| Field | Description |
|---|---|
| Date | Date when the rate adjustments will apply. Enter the date in mm/dd/yyyy format or click the calendar icon to select the date |
| Rate | New interest rate following the adjustment. Lines of credit with a rate adjustment method of “Prime Rate Adjustment” and a next adjustment date on or before the date entered in Interest Rate Adjustment (IL822) will have their interest rates changed to this |
| Base rate | New base rate following the adjustment. Lines of credit with a rate adjustment method of “Prime Rate Adjustment” and a next adjustment date on or before the date entered in Interest Rate Adjustment (IL822) will have their base rates changed to this |
| Source | Alphanumeric field allowing the user to record the resource used to determine the new rate |
When you have finished entering the information, click Save to retain your changes.
Editing an Existing Prime Rate
To edit an existing rate, you can double-click it or click it once to highlight and then click the Edit button. The fields will activate for modification:
When you have finished making your changes, click Save to retain them.
