How To Fix TPM_CAL018 - Amortization with delayed adjustment of effective interest rate obsolete

SAP Error Message - Details

• Message type: E = Error

• Message class: TPM_CAL - Treasury: Messages Development Class FTR_VAL_CALCULATOR

• Message number: 018

• Message text: Amortization with delayed adjustment of effective interest rate obsolete

What causes this issue?

The amortization procedure &v1& is using the setting 'Adjust Effective
Interest Rate deferred'. This setting is obsolete (ref. customizing
<DS:SIMG.TRGV_AM_PROC>Define Amortization Procedure</>).

System Response

The system will adjust the effective interest rate immediately. The
conditions valid at the amortization key date (ie. the redepmtion
schedule valid at this key date) will be used to determine the
amortization amount.

How to fix this error?

The system issues an error message and will not allow you to continue with this transaction until the error is resolved.

Procedure for System Administrators

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message TPM_CAL018 - Amortization with delayed adjustment of effective interest rate obsolete ?

  The SAP error message TPM_CAL018, which states "Amortization with delayed adjustment of effective interest rate obsolete," typically occurs in the context of Treasury and Risk Management (TRM) when dealing with financial instruments that have amortization schedules and interest rate adjustments.
  Cause:
  This error usually arises due to the following reasons:
  
  Configuration Issues: The settings for the financial instrument may not be correctly configured to handle amortization with delayed adjustments.
  Obsolete Functionality: The system may be trying to use a method of amortization that is no longer supported or has been marked as obsolete in the current version of SAP.
  Data Inconsistencies: There may be inconsistencies in the data related to the financial instrument, such as incorrect interest rate settings or amortization parameters.
  Version Compatibility: The error may also occur if the system is not updated to the latest version that supports the required functionalities.
  
  Solution:
  To resolve the TPM_CAL018 error, you can take the following steps:
  
  Check Configuration: Review the configuration settings for the financial instrument in question. Ensure that the amortization and interest rate adjustment settings are correctly defined.
  Update System: If you are using an older version of SAP, consider updating to the latest version that supports the required functionalities. Check SAP Notes for any relevant updates or patches.
  Review Documentation: Consult the SAP documentation or help files related to Treasury and Risk Management to understand the current best practices for amortization and interest rate adjustments.
  Data Validation: Validate the data associated with the financial instrument. Ensure that all parameters, such as interest rates and amortization schedules, are correctly set up and consistent.
  SAP Support: If the issue persists, consider reaching out to SAP Support for assistance. They can provide specific guidance based on your system configuration and version.
  
  Related Information:
  
  SAP Notes: Check for any relevant SAP Notes that address this specific error message. SAP Notes often contain fixes, workarounds, or additional information about known issues.
  Transaction Codes: Familiarize yourself with relevant transaction codes in SAP that pertain to Treasury and Risk Management, such as TPM1, TPM2, and TPM3, which are used for managing financial instruments.
  Community Forums: Engage with SAP community forums or user groups where similar issues may have been discussed. Other users may have encountered the same error and can share their solutions.
  
  By following these steps, you should be able to identify the cause of the TPM_CAL018 error and implement a suitable solution.