How do I register a loan where the fixed interest does not extend over the entire term?
Example:
A new loan with a term of 10 years needs to be registered. The interest is fixed for 5 years.
How do we set this up in Nordkap to achieve a correct calculation of interest binding and credit commitment?
The end date is set for 10 years. Interest maturity for fixed interest is set for 5 years. Nordkap then calculates that the interest transitions to variable after the fixed interest matures.
In the advanced settings for fixed loans, there is an option to specify a date for "Interest Maturity for Fixed Interest" after selecting the Fixed Interest type.
This function is used in cases where fixed interest does not extend over the entire loan term. It does not change anything in the loan calculations or periods if a date is specified.
However, it affects reports, such as key figures for interest binding in the Portfolio Report and loan interest costs in the Budget Report, when using interest scenarios, etc. Therefore, a loan with fixed interest will be affected by interest scenarios if the date for "Interest Maturity for Fixed Interest" has passed.