Interest rate options

Insurance against interest rate risk with purchase of the right. The interest rate option hedges the debtor against an increase in interest rate above the implementation interest rate.

The following types of interest rate options are supported:

  • cap;
  • floor;
  • collar.

Software support enables:

  • contracting of transactions with banks and legal persons,
  • authorization of master data (possibility of four eyes control),
  • automatic bookkeeping of business events within daily processing,
  • creation of MT360 and MT362 messages – automatically within daily processing (transactions with banks),
  • possibility of management of floating / reference interest rates on individual transactions or the use of the collective HIBIS coding system,
  • automatic creation of amortization schedule based on inputted parameters,
  • manual corrections of amortization schedule,
  • bookkeeping of effects (fair value) with a manual bookkeeping program,
  • bookkeeping of exchange rate differences for transactions in foreign currencies and transactions with a currency clause,
  • notification by email of interest rate fixation and interest period maturity.