[ARCHIVE] Scheduled Payment Recurrence and intervals

Archived 2022.12.11. Content moved to CDS Guide, Scheduled Payments

The questions below are in relation to the schema CDS BankingScheduledPaymentRecurrence.

Question

Can the intervalSchedule contain schedule of payments intervals i.e recurrence of payment frequency e.g. weekly, fortnightly, monthly, quarterly and yearly?

Answer

Yes.

Question

What does the field lastWeekDay contain? Is it the last day of the final payment is due e.g. if the loan is 5 years term and taken on Monday, 10 Jan 2020 and payments are monthly then last occurrence of the specific Week Day will be Monday, 9 Jan 2025?

Answer

The description of the lastWeekDay object states: "Indicates that the schedule of payments is defined according to the last occurrence of a specific weekday in an interval." The lastWeekDay structure includes both the interval and the last week day to apply.

Question

If the answers to the above questions are 'yes' as explained, the challenge becomes that the intervalSchedule and lastWeekDay can’t coexist, its either one or the other?

Answer

Only one of onceOff, intervalSchedule, lastWeekDay or eventBased should be present.  See the definition of the recurrenceUType field.

Question

Why is intervals defined as an Array? The system currently cannot define the different interval on the same payment schedule. In other words each payment set cannot have multiple intervals set.

Answer

Under consultation, some banks wanted the flexibility to have multiple intervals occurring simultaneously.  For instance, a payment may occur on the first of each month and the last Thursday of each month.  If any specific Data Holder does not need this complexity they need not use this facility.

Question

Is the interval of payment the duration between payments starting with nextPaymentDate? For example if the payment is weekly and first payment date is 25 Nov 2020 then interval is 7 days and next Payment Date is 2 Dec 2020. 

Answer

Yes. The nextPaymentDate field in the recurrence object is used as the baseline.

Question

Could you clarify what dayInInterval requires? 

Answer

This field is used to specify a specific day in an interval for the payment.  For instance, a payment that always occurs on the 10th of the month would have a interval of P1M and a dayInInterval of 10.