You can maintain interest rate schedules in Oracle Cash Management, if you have bank account balances that can earn interest rate or where the interest rate can be charged. Please note that, if you have bank accounts authorized for use in Oracle Treasury, you have to assign an interest rate schedule to such accounts before you can maintain their bank account balances.
Please also note that a separate function is available to allow the user to update only one attribute of the Interest Rate Schedule - the interest rates.
Navigate to the Interest Rate Schedules page.
Click Create Schedule.
Enter the schedule Name, select schedule Currency, Basis, Interest Rounding, and Day Count Basis. Note that you can also choose the value of the Interest Includes parameter if you choose to display it by personalizing the page. By default, the value of the Interest Includes parameter is taken as Last Day.
Basis: This parameter defined if the same interest rate applies to the entire balance amount or of a different interest rate applies to different portions of the balance amount. The options are: Flat and Step. For example, if the selected option is Flat, the balance amount is 150,000 and you have the following rate structure.
| Rate | Amount |
| 5% | 0 to 100,000 |
| 3% | greater than 100,000 |
The 3% interest rate will apply to the entire 150,000 balance amount. If the selected option is Step for the same balance amount and the same rate structure, the 5% interest rate will apply to the first 100,000 of the balance amount and the 3% interest rate will apply to the remaining 50,000 of the balance amount.
Interest Rounding: This parameter defines how the calculated interest will be rounded to the currency precision. The options are: Nearest, Round Down, and Round Up. For example, let's assume that the exact calculated interest amount is 100.1078 and the bank account currency precision allows only two decimals. If the selected option is Nearest, the interest amount will be rounded to 100.11. If the selected option is Round Down, the interest amount will be rounded to 100.10. If the selected option is Round Up, the interest amount will be rounded to 100.11.
Day Count Basis: This convention defines the number of days in a year. The options are: Actual/Actual, Actual/360, and Actual/365.
Interest Includes: This parameter defines the number of days in the calculation of the interest amount on the first available balance date. The options are: First Day, Last Day, and Both Days. For example, let's assume that the first ever balance date for your bank account is March 1 and the next balance date is March 2. If the selected option is First Day, the number of days in the interest calculation between March 1 and March 2 will be one and it will be assumed to be accrued on March 1. If the selected option is Last Day, the number of days in the interest calculation between March 1 and March 2 will be one and it will be assumed to be accrued on March 2. If the selected option is Both Days, the number of days in the interest calculation between March 1 and March 2 will be two and it will be assumed to be accrued partially on March 1 and partially on March 2.
Click Next.
Enter the balance ranges (from lowest to highest) to which different rates will apply. A single range may not contain both positive and negative balances. In order to cover all possible balances:
The number you enter in the High field increments by one (1) in the smallest precision of the schedule currency and serve as the Low value in the following row.
The High field in your final range should not contain a value.
By default, a balance range for negative and positive amounts is created automatically.
Click Next.
Enter the interest rates that will apply to the balance amount ranges you have defined in the previous step.
Click Next.
Click Assign Accounts and select bank accounts to which this interest rate schedule will apply.
Click Finish.
Navigate to the Interest Rate Schedules page.
Optionally, enter a part of the Interest Rate Schedule name in the Search region.
Click Go.
Click the name of the Interest Rate Schedule to view the details.
Navigate to the Interest Rate Schedules page.
Optionally, enter a part of the Interest Rate Schedule name in the Search region.
Click Go.
Select the Interest Rate Schedule name and click Update icon.
Modify details as necessary, including adding or removing bank accounts.
Click Apply.