Rate caps set a ceiling on the interest rate that can accrue on a loan. Use Set rate cap to add a new cap, and Manage rate caps to update or remove an existing one. If multiple rate caps overlap on the same dates, the system uses the lowest value. Setting a rate cap with a past start date triggers an account replay.
Availability: All clients Required permissions: rates:create (to set); rates:update (to update); rates:delete (to remove) Loan status: active Loan types: All
- From the agent-view Borrower Portal, open the loan and select Loan options > Set rate cap.
- For Line of Credit loans, select the scope from the Applicable to dropdown: Line of credit and draws, Line of credit only, or a specific draw. This field does not appear for installment loans. See Global behaviors — Applicable-to selector.
- Enter the Max rate (annual) as a percentage (0–999.99).
- Select a Start date. The date can be in the past, today, or in the future. The maximum is the loan end date.
- Optionally select an End date, or choose End of loan to apply the cap indefinitely. The end date must be after the start date.
- Select a Reason for the rate cap.
- Select Set rate cap.
The rate cap takes effect at the start date. If the start date is in the past, the system replays the loan.
| Field | Description | Required | Values / Format |
|---|---|---|---|
| Applicable to | Whether the cap applies to the line of credit, all draws, or a specific draw. Only shown for LOC loans. | Conditional | Select: Line of credit and draws, Line of credit only, or a specific draw |
| Max rate (annual) | The maximum annual interest rate as a percentage. | Yes | Number (0–999.99) |
| Start date | The date the rate cap takes effect. | Yes | Date (max: loan end date) |
| End date | The date the rate cap expires. Select End of loan for no end date. | No | Date or "End of loan" preset. Must be after start date. |
| Reason | The regulatory or business reason for the rate cap. | Yes | Select: MLA, SCRA, Federal, State, Other |
View, update, or remove existing rate caps on the loan.
- From the agent-view Borrower Portal, open the loan and select Loan options > Manage rate caps.
- For Line of Credit loans, select the scope from the Applicable to dropdown to filter the rate cap list.
- Select the rate cap you want to modify from the list.
- Select the rate cap, then select Update.
- In the update dialog, modify the fields as needed: Max rate (annual), Start date, End date, and Reason.
- Select Update rate cap.
The system replays the loan after the update.
- Select the rate cap, then select Remove.
- Confirm the removal.
The system replays the loan after the removal.
| Field | Description | Required | Values / Format |
|---|---|---|---|
| Applicable to | Filters the rate cap list. Only shown for LOC loans. | Conditional | Select: Line of credit and draws, Line of credit only, or a specific draw |
| Rate cap selection | The rate cap to update or remove. | Yes | Radio group from rate cap list |
| Max rate (annual) | The updated maximum annual rate (update dialog). | Yes | Number (0–999.99) |
| Start date | The updated start date (update dialog). | Yes | Date |
| End date | The updated end date (update dialog). | No | Date or "End of loan" preset. Must be after start date. |
| Reason | The updated reason (update dialog). | Yes | Select: MLA, SCRA, Federal, State, Other |
Note: The Update button requires the rates:update permission. The Remove button requires the rates:delete permission. If you lack either permission, the corresponding button is hidden.