Setting Up Step Up Rates

You can set up step up rates for fixed-rate loans on the Pricing Opportunity page.

1. Select Pricing > Pricing.
2. Expand a fixed-rate loan on the Loans page to see the loan details.
3. Select View Pricing Opportunity.
   The Pricing Opportunity page opens.
4. Expand the Rate Type panel.
5. Define the Rate Type.
   For a new loan or a loan where the source is not the monthly update, a View link appears in the Step Up Rates field.
6. Select View in the Step Up Rates field.
   The Step Up Rates page opens. The instrument's Expected Life shows for reference purposes.
7. Select Add to define the initial interval.
8. Enter a value in the Interval column.
9. Select Add to set up subsequent or final step up rates as needed.
   Tip: You can add multiple rows. Each new row appears at the end of the table.
   1. Enter an Interval value for all rows and a Step Up Rate value for all subsequent intervals after the initial interval.
      Note: The sum of the Interval values must equal the instrument's Expected Life.

      You can select Delete to remove a row.

      
      

      

      
      
10. Select Save.
11. Select Cancel to return to the Pricing Opportunity page.

Example: Starting in month one, the instrument's rate is 5.000 percent for a 36-month interval. Then, in month 37, the instrument's rate increases to 5.250 percent for the remaining life of the instrument.