Article Details
Id:10302
Product:finPOWER Connect
Type:FIX
Version:1.06.00
Opened:11/07/2012
Closed:11/07/2012
Released:01/08/2012
Job: J009990
High Importance

Account Calculations; Total Interest calculation fails with message

Entering the "Total Interest" in either the New Account or Account Quotation wizards may fail with the message:

Cannot calculate Interest Rate from Total Interest value.

Cannot calculate Account Payment value.

The Payment value cannot be calculated. Reasons for this include:

  1. The Balance Payable is spread over too many Payments.
  2. The Final Payment date does not coincide with the Maturity date.

Consider:

  1. Decreasing the Term.
  2. Changing the Payment frequency.
  3. Changing the First Payment Period to 'Standard'.
  4. Using a Balloon Payment.

This is because during the calculation iterations the "interest rate" guess caused an error. The logic on how this works has been updated.

To recreate:

  1. Setup an Account Type that "Allow entry of Total Interest to calculate Interest Rate?" and the Interest Calculation option Accrued Interest is "Annualised".
  2. Enter an Account Quotation. Loan Advance is $26,580.00, Term 156 Weekly, Payments Weekly, Interest Weekly.
  3. Enter Interest Rate as 20% and click "Calculate". This should calculate Interest as $8,816.12 and payments of $226.90, final $226.62.
  4. Click the Interest Total calculate button and enter $8,816.24.