Interest Rates
Interest Rates defines the rates you lend and take deposits at. Each rate is named and carries a percentage, so a loan or deposit is issued against a defined rate rather than a number typed in each time.
Where to find it
Go to Customer Loan > Settings > Interest Rates.
Field reference
| Field | Description |
|---|---|
| Rate Name | What the rate is called, as it appears when issuing a loan or deposit. |
| Interest Percentage (%) | The annual rate. |
| Effective Rate | What the borrower actually pays once the calculation method is applied. |
| Interest Type | How interest is computed across the term. |
Add a new rate when the rate changes rather than editing the existing one. Loans already issued reference the rate they were sold at, and editing it in place rewrites the terms of agreements already signed.
Naming rates
Name rates so the person issuing a loan can tell them apart — "Standard 18%", "Staff 12%", "Deposit 7%". A list of percentages with no context is where the wrong rate gets picked.
Related pages
- New Loan — where a rate is applied
- New Deposit — the deposit side
- Settings — the interest accounts