Comparison Rate (BETA); added new facility to calculate and display a Comparison Rate for Fixed Term Loans

This functionality is primarily designed for the Australian National Consumer Credit Protection (NCCP) Act Comparison Rate requirements.

The new functionality applies to Fixed Term Loans.

Configuration

On the Account Type form, Interest Options page there is a section that allows you to set the Comparison Rate options. These include the Type, the digits to round to and the Maximum Rate. In Australia set to "Australian NCCP", 2 and 48%.

Elements; Advance, Deposit and Refinance types are always treated as Capitalised Principal. However, for Cost, Fee and Journal types you can define whether or not the element is capitalised to Principal. Normally this only applies to government fees. Additionally if capitalising, you can define the Regions (or States in Australia), this applies to, for example a fee could apply to only NSW.

There is a optional script that is defined under Account Types. The Script should be an "Object Event" for object "Account" and should handle the "CalculateComparisonRate" event.

Additional Information

• When entering a New Loan the Financial page summary will show a Comparison Rate block. This displays the calculated Comparison Rate and Maximum Rate, as defined on the Account Type, as well as a warning if it exceeds the maximum.

• Quotation documents include a new section showing the Comparison Rate.

• On an existing Loan the Comparison Rate is shown on the Financial Page, "Opening" row. Full audit details are saved and can be seen on the Audit page of the Account form. This notes "Version 1.00 Beta".