Interest Calculation
Below is an example of how Interest is calculated in ACE. This information is based an evaluation of behavior not the actual code.
Account is assigned on 12/4/2015 (same as current "to date" for example)
Interest Effective Date is 11/25/2015
7 days of interest calculated -> Does not included Interest Effective Date or Current Date - ONLY THE DAYS BETWEEN
Interest is an Annual Percentage calculated daily as shown here:
| Balance | Annual Rate | Daily Rate | Interest Accrued Daily | Days | Interest Accrued to Date (12/4/2015 in our example) |
| $156.00 | 9.00% | 0.0246% | $0.04 | 7 | $0.27 |
| Annual Rate/365.25 | Balance *Daily Rate | Interest Accrued Daily * Days |
The above does not take Itemization Interest into account which changes the way interest prior to assignment may need to be loaded into an account.
Note
Ace serializes interest on an account each time a payment is taken and resets the interest effective date to the date of payment.
Interest is also serialized and the interest effective date is updated when a Validation Notice is sent.
Interest is also serialized and the interest effective date is updated when a Validation Notice is sent.