10.1.12 MT 362 Interest Rate Reset/Advice of Payment

This topic describes the MT 362 Interest Rate Reset/ Advice of payment.

This message is exchanged by or on behalf of the financial institutions, Party A and Party B, who have agreed to a single or cross currency interest rate derivative transaction, including caps, collars and floors.

This message may be used to:
  • advise the details of the determination of the floating interest rate(s)
  • advise the details of the payment of interest at the end of an interest period
  • cancel a previously sent reset/advice
  • correct errors in a previously sent reset/advice
Maximum Length: 2000

Table 10-96 Format Specifications

Field Tag Field Name Format Mandatory/Optional
15A New Sequence Empty field M
20 Sender's Reference 16x M
21 Related Reference 16x O
22A Type of Operation 4!c M
94A Scope of Operation 4!c O
22C Common Reference 4!a2!c4!n4!a2!c M
23A Identification of the Swap 10a/5a M
21N Contract Number Party A 16x M
21B Contract Number Party B 16x O
30V Effective Date 8!n M
30P Termination Date 8!n M
82a Party A A or D M
87a Party B A or D M
83a Fund or Beneficiary Customer A, D, or J O
29A Contact Information 4*35x O
72 Sender to Receiver Information 6*35x O

Table 10-97 Optional Sequence B Interest Rate/Principal Payable by Party B

Field Tag Field Name Format Mandatory/Optional
15B New Sequence Empty field M
33F Calculation Notional Currency and Amount 3!a15d M
30X Period Start Date 8!n M
30Q Period End Date 8!n O
37G Reset Rate [N]12d M
37J Cap Rate 12d O
37L Floor Rate 12d O
37R Spread [N]12d M
37M Total Rate [N]12d M
30F Payment Date 8!n M
32H Currency, Interest Amount [N]3!a15d O
33E Currency, Principal Exchange Amount 3!a15d O
37N Details of Interest Rate 6*35x O

Table 10-98 Optional Sequence C (Net) Amount(s) Payable by Party B

Field Tag Field Name Format Mandatory/Optional
15C New Sequence Empty field M
18A Number of Repetitions 5n M
30F Payment Date 8!n M
32M Currency, Payment Amount 3!a15d M
53a Delivery Agent A or D O
56a Intermediary A or D O
86a Second Intermediary A or D O
57a Receiving Agent A or D M

Table 10-99 Optional Sequence D Interest Rate/Principal Payable by Party A

Field Tag Field Name Format Mandatory/Optional
15D New Sequence Empty field M
33F Calculation Notional Currency and Amount 3!a15d M
30X Period Start Date 8!n M
30Q Period End Date 8!n O
37G Reset Rate [N]12d M
37J Cap Rate 12d O
37L Floor Rate 12d O
37R Spread [N]12d M
37M Total Rate [N]12d M
30F Payment Date 8!n M
32H Currency, Interest Amount [N]3!a15d O
33E Currency, Principal Exchange Amount 3!a15d O
37N Details of Interest Rate 6*35x O

Table 10-100 Optional Sequence E (Net) Amount(s) Payable by Party A

Field Tag Field Name Format Mandatory/Optional
15E New Sequence Empty field M
18A Number of Repetitions 5n M
30F Payment Date 8!n M
32M Currency, Payment Amount 3!a15d M
53a Delivery Agent A or D O
56a Intermediary A or D O
86a Second Intermediary A or D O
57a Receiving Agent A or D M

Processing Incoming MT362

During STP, the system picks up an incoming MT362 message and extracts the following details from Sequence D for auto confirmation:
  • The currency and interest amount to be paid (Field 32H)
  • The currency and principal to be exchanged (Field 33E)
  • The payment due date (Field 30F)
After the above details are extracted, the corresponding interest and principal schedule on that date is compared with the details extracted as mentioned above. The following details are considered for matching:
  • The schedule due date
  • The amount of the schedule
  • The currency of the schedule
  • The pay and receive flag of the schedule
If the details match, the schedule will be marked as ‘Confirmed’. The same approach is followed for party B whose details are extracted from sequence B of the message. After the message is processed, the message is marked as ‘Processed’. You can view the message status in the incoming browser. After the corresponding schedules are marked as confirmed, they can be viewed in the contract confirmation screen. After confirmation, ‘Media’ will be updated as ‘SWIFT’ and ‘Authorization Status’ as ‘Auto’ in this screen.

RCON is triggered post confirmation and can be viewed under ‘Contract Online’ screen.