Overview
In business, the penalty interest for a late payment of the sum due is usually calculated based on the penalty interest that are published periodically and announced in the ordinances of the Cabinet “concerning the determination of statutory interest levels.” This is used to calculate the interest amount on the interest notes, reminders, or for simulation purposes, that allows to estimate the amount of expired due sums and commitments increased by potential penalty interest.
For that reason, standard software is supplemented with the option of interest charging that
takes statutory interest rates into account. The user can:
- Define penalty interest tables
- Calculate interest amount in reminders based on a penalty interest
- Calculate interest invoice amount based on a penalty interest