Interest calculation tool

• US 20050071398A1
• Filed: 12/22/2003
• Published: 03/31/2005
• Est. Priority Date: 09/30/2003
• Status: Active Grant

• Current Assignee: SAP SE
• Original Assignee: SAP AG (SAP SE)
• Inventors: Dueppers, Johannes Gustav
• Granted Patent: US 7,499,884 B2
• Time in Patent Office: Days
• US Class Current: 708/160
• CPC Class Codes: G06Q 40/00 Finance; Insurance; Tax strategies; Processing of corporate or income taxes
• CPC Class Codes: G06Q 40/02 Banking, e.g. interest calculation or account maintenance credit or loans G06Q40/03
• CPC Class Codes: G06Q 40/03 Credit; Loans; Processing thereof
• CPC Class Codes: G06Q 40/04 Trading; Exchange, e.g. stocks, commodities, derivatives or currency exchange
• CPC Class Codes: G06Q 40/06 Asset management; Financial planning or analysis

Abstract

Embodiments of the present invention relate to a computer-implemented method and system for performing interest calculations on account balances. The calculations may be based on time intervals of less than a day, and using time parameters defined in terms of seconds.

Claims

1. An automated method for calculating interest for an account over a selected time interval, comprising the steps of:

receiving calculation period data, including a start point and an end point, each said point defined by date, hour, minute and second;

receiving interest condition data, including at least a starting interest data point and optionally including one or more subsequent interest data points, each said interest condition data point having associated therewith an effective interest rate and an effective time point defined by date, hour, minute and second;

based on the interest condition data, forming one or more effective interest rate intervals;

receiving valuation date data, including one or more valuation points after said starting date and not exceeding said ending date, each said valuation point defined by date, hour, minute, and second, and having associated therewith an account balance;

ordering said effective interest rate intervals and valuation points in a time sequence;

forming valuation intervals defined by said effective interest rate intervals and valuation points, each said valuation interval having associated therewith an effective interest rate and an account balance; and

for each said valuation interval, calculating an interest.

2. The method of claim 1, further comprising:

for each said valuation interval, determining a number of seconds in the interval; and

calculating the interest on the account balance based on the number of seconds in the interval.

3. A method comprising:

determining an interval for a calculation of interest on an account balance;

determining a number of seconds in the interval;

calculating the interest on the account balance based on the number of seconds in the interval.

4. The method of claim 3, wherein bounds of the interval are determined by a start date, hour, minute and second, and an end date, hour, minute and second.

5. The method of claim 3, wherein a bound of the interval is determined by a time at which the account balance changes.

6. The method of claim 3, wherein a bound of the interval is determined by a time at which an effective interest rate for the account changes.

7. A method comprising:

defining a calculation period for the calculation of interest on an account balance, wherein at least one of an effective interest rate and an account balance changes during the calculation period;

dividing the calculation period into intervals, where for each interval both the effective interest rate and account balance are constant;

determining a number of seconds in each interval; and

calculating an interest on the account balance for each interval, based on the number of seconds and the effective interest rate for the interval.

8. The method of claim 7, further comprising recording a result of the calculation.

9. A machine-readable medium storing computer-executable instruction to implement an automated method for calculating interest for an account over a selected time interval, the automated method comprising the steps of:

receiving calculation period data, including a start point and an end point, each said point defined by date, hour, minute and second;

receiving interest condition data, including at least a starting interest data point and optionally including one or more subsequent interest data points, each said interest condition data point having associated therewith an effective interest rate and an effective time point defined by date, hour, minute and second;

based on the interest condition data, forming one or more effective interest rate intervals;

receiving valuation date data, including one or more valuation points after said starting date and not exceeding said ending date, each said valuation point defined by date, hour, minute, and second, and having associated therewith an account balance;

ordering said effective interest rate intervals and valuation points in a time sequence;

forming valuation intervals defined by said effective interest rate intervals and valuation points, each said valuation interval having associated therewith an effective interest rate and an account balance; and

for each said valuation interval, calculating an interest.

10. The machine-readable medium of claim 9, the automated method further comprising:

for each said valuation interval, determining a number of seconds in the interval; and

calculating the interest on the account balance based on the number of seconds in the interval.

11. A machine-readable medium storing computer-executable instructions to implement method comprising:

determining an interval for a calculation of interest on an account balance;

determining a number of seconds in the interval;

calculating the interest on the account balance based on the number of seconds in the interval.

12. The machine-readable medium of claim 11, wherein bounds of the interval are determined by a start date, hour, minute and second, and an end date, hour, minute and second.

13. The machine-readable medium of claim 11, wherein a bound of the interval is determined by a time at which the account balance changes.

14. The machine-readable medium of claim 11, wherein a bound of the interval is determined by a time at which an effective interest rate for the account changes.

15. A machine-readable medium storing computer-executable instructions to implement a method comprising:

defining a calculation period for the calculation of interest on an account balance, wherein at least one of an effective interest rate and an account balance changes during the calculation period;

dividing the calculation period into intervals, where for each interval both the effective interest rate and account balance are constant;

determining a number of seconds in each interval; and

calculating an interest on the account balance for each interval, based on the number of seconds and the effective interest rate for the interval.

16. The machine-readable medium of claim 15, the method further comprising recording a result of the calculation.