Money 4 & 5: Creating a Variable Interest Rate Loan (133484)


The information in this article applies to:

  • Microsoft Money 97
This article was previously published under Q133484

SYMPTOMS

When you attempt to change the interest rate to a future time period, you receive an error message similar to the following:
You have entered a date after today, so Money will make the loan changes effective immediately.
This occurs when you are creating a variable interest rate amortization schedule. To create such an amortization schedule, you must create a loan using one interest rate and then modify that rate for a specific time period.

The error occurs because Money will not allow a change effective for a future date.

WORKAROUND

NOTE: When you complete this procedure, be sure to set the date in Control Panel back to today's date.

To create a Variable Interest Rate Amortization Schedule, do the following:
  1. Start Money.
  2. Click Account Manager, click New Account, click Loan, and then click Next.
  3. Create the loan in the usual manner. When you are prompted with the "Have any payments been made on this loan?" message, click Yes.
  4. When asked, "Do you want Money to record all the scheduled payments?", Click YES.
  5. Type the appropriate date. Calculate the loan in the usual manner, and type the requested information for each screen. When you are prompted for an interest rate, type the starting interest rate for the loan, and complete the loan in the usual manner.
  6. After the loan is created, temporarily change the date in Windows.
    1. Click the Start button, and point to Settings, and click Control Panel.
    2. In the Control Panel, double-click Date/Time.
    3. Change the current date back to the date of the interest rate change for the proposed loan. Click OK.
  7. Return to Money. In Account Manager, select the loan and click Account Details.
  8. Click Change Loan Information.
  9. When you are asked, "What part of your loan do you want to change?" Click Interest Rate.
  10. When you are asked when you want the changes to take effect, type the date the loan's next interest rate starts.
  11. At the "What is the new principal + interest amount for your payment?" prompt, click Next.
  12. At the "What is the new interest rate for your loan?" prompt, type the new interest rate, and then click Next.
  13. Repeat steps 6-12 for each subsequent interest rate change.

Printing the Amortization Schedule

  1. Click Report & Chart Gallery.
  2. Click What I Owe.
  3. Click Loan Amortization, and then click Go To Report/Chart.
  4. Click Customize, select the loan, and then select All Transactions.
  5. Click View.
This report should reflect the interest rate changes for the loan.
Modification Type:MajorLast Reviewed:10/3/2003
Keywords:kberrmsg KB133484
©2003 Microsoft Corporation. All rights reserved.