● Interest Applied Transaction
────────────────────────────────────────────────────────────────────────────── Back to top
Interest Application
Whenever accrued interest is applied on an account that means that the interest has been recognized as income in the case of loan accounts or overdrafts and as an expense for interest paid to client deposit accounts.
When interest is posted an Interest applied transaction is created to update the account balances.
Automatic interest posting on accounts is controlled by the Loan or Deposit Product settings, please see the relevant settings for Loan and Deposit products.
Interest can also be applied manually, as described below.
────────────────────────────────────────────────────────────────────────────── Back to top
Manually Apply Interest
To manually apply interest, open the account > More Actions > Apply Accrued Interest > confirm the date > Apply.
The amount of interest applied reflects the interest accrued in the given period. The interest accrued is calculated using the product settings.
────────────────────────────────────────────────────────────────────────────── Back to top
Undo Interest Applied
Interest applied transactions can be reverted as any other transactions.
To revert an interest applied transaction open the account > go to the transactions tab > click on "more - reverse" for the transaction to reverse > add a reversal reason and confirm
────────────────────────────────────────────────────────────────────────────── Back to top