Working with Rate Grid

This section provides detailed illustrations for the working of Rate Grids.

Creating New Arrangement

The user can add Rate Grid in the financial arrangement at new arrangement creation or in mid-life amendment such as change interest activity.

Consider that the user requires the location-based Pricing Grids product (PG009) as the index in the Interest condition. The user can define the Pricing Grid Product ID in User Rate Grid in the subject interest condition at the arrangement-level or at the product-level.

Below is the procedure to create a new arrangement with Rate Grid for the above scenario.

1. Create the arrangement in the Boston branch (02110) by entering Branch as 02110 and Term as 2Y.



2. Set User Rate Grid as PG009 (as the pricing grid index) in interest condition and the system updates Effective Rate as 3.80% as per the Rate Grid.



The system derives the rate (3.80%) based on the Term (2Y) and Branch (02110) of the arrangement as per the Rate Grid below.