Inter-Company Interest Setup

 

Inter-Company Interest (ICI) Reporting allocates interest revenues and expenses among your Scotiabank accounts. Totals earned/paid by each company are recapped for a specified period, and are separated into Inter-Company interest and Bank interest.

 

The ICI report consists of four separate reports:

a)       Detailed Daily Information Report

b)       Division Report

c)       Matrix Report

d)       Summary Report

 

 

To setup the ICI report:

1.       From the Reporting menu, click on ICI then select the ICI Setup menu.

2.       Enter the transit number of the Branch that you would like your report delivered to.   

3.       Select the cut-off date for the report by clicking on one of the three options indicated beside Report Day.

The options include:

 

Month End

The report will be cut off at month end.  This is the most commonly used option.

 

Schedule

Allows you to select your own cut-off date.

Click on the Schedule link to enter the required information.

 

Day of Month

Allows the report to be cut off on a certain day each month.   For example, if you choose this option and enter 4, the cut-off date will be the 4th of every month.

 

 

4.1. Select the reports that you wish to generate by clicking on the appropriate checkbox beside ‘Requested Reports’.  A check mark indicates that the report has been selected.

The available reports are:

·         Division Report

·         Matrix Report

·         Summary Report

 

5.2. Select the rates of interest to be applied for Canadian Dollar ICI and US Dollar ICI for each of the following:

·         Rate Bank Pays Company (mandatory)

·         Rate Company Pays Bank (mandatory)

·         Inter-Company Rate (mandatory)

·         Inter-Company Overdraft Rate (optional)

 

Note: You have the option to choose the Inter Company Overdraft Rate as a fixed rate1

 

6.3. For the Canadian Dollar report, the available interest rate options in the dropdown list include:

 

·         Blank

·         Prime

·         90 Day T-Bill

·         BA Bid

·         Customer Average

 

7.4. For the US Dollar report, the available interest rate options in the dropdown list include:

 

·         USDBRCAN

·         USDBRNY

·         90 Day T-Bill

·         Customer Rate

·         Blank

 

8.5. To view the details of the rates and to add a variance, click on the details link.  Interest rates may be either fixed or variable with respect to the Bank's Prime Rate.

 

Enter the Inter-Company Interest Entity Name for each account that is set up for the service.  An Entity can consist of one account or several accounts.  If you would like to create an Entity with more than one account, ensure that the chosen accounts are all given the same Entity name.


1By Keeping both the Inter Company Rate and the Inter-Company Overdraft Rate variable with respect to the Bank's prime rate ensures a constant overdraft spread for inter company lending. Where overdraft rate is chosen to be a fixed rate there could be unexpected results for inter company overdraft spread if the external rate environment changes significantly and the fixed rate is not updated accordingly.

 

Related Topics

About the Inter Company Interest Report

Viewing/Printing the Inter-Company Interest Report

ICI Schedule Setup