InterestRateCalculation with RateChange Immediate Calculating Interest with Wrong Rate (Doc ID 2049902.1)

Last updated on AUGUST 07, 2017

Applies to:

Oracle Insurance Policy Administration J2EE - Version 9.6.1.0 to 9.6.1.21 [Release 9.6]
Information in this document applies to any platform.

Symptoms

On : 9.6.1.15 version, Valuation

ACTUAL BEHAVIOR
-------------------
InterestRateCalculation with RateChange TYPE="Immediate" is calculating interest with wrong rate
Example:
There is a rate change as of 8/1/2017 where the interest rate changes from 0.0445 to 0.0505
There are financial activities on the policy for 7/31/2017 and 8/31/2017.
The 7/31/2017 is calculating correctly.
The 8/31/2017 should calculate from 7/31/2017 - 8/1/2017 e.g. 1 day at 0.0445 and then from 8/2/2017 - 8/31/2017 e.g. 30 days at 0.0505 but is calculating both at the new rate of 0.0505

EXPECTED BEHAVIOR
-----------------------
Expect the 08/01/2017 calculation to be at the existing rate of .0445 not the new rate of .0505.


STEPS
-----------------------
The issue can be reproduced at will with the following steps:
1. Configure a transaction which uses RateChange TYPE="Immediate"
2. Process a transaction (ex. Monthaversary) for the end of the month
3. Note the Rate change is applied one day earlier than expected

BUSINESS IMPACT
-----------------------
Due to this issue, interest rates are being calculated incorrectly..

Cause

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