Help appreciated

[Captain Cooler]

Hello!

I would kindly appreciate any help on the following interest rate swap related question.

The thing is about forward start amortizing swap.

For example, the loan is under disbursement and there is a grace period set, though the precise date of the start of capital payments is not yet known for sure and will commence in around 12 months time.

Q: If the swap contract is entered now specifying the best estimate for the start of capital payments would it create problems with the contract if the grace period will in reality commence couple of months earlier?
What do you guys say? If that is the case, is there a possibility to make precisions to the contract at a later stage?
In my opinion it might be worse if the grace period starts later then initially written in the swap contract indicating the start of capital payments under the loan.

It might be that there too little info in the example but I am happy to fill in the missing tiles.

Thank you very much in advance, any discussion is appreciated!

CapCooler

 

[Captain Cooler]

Hello!

I would kindly appreciate any help on the following interest rate swap related question.

The thing is about forward start amortizing swap.

For example, the loan is under disbursement and there is a grace period set, though the precise date of the start of capital payments is not yet known for sure and will commence in around 12 months time.

Q: If the swap contract is entered now specifying the best estimate for the start of capital payments would it create problems with the contract if the grace period will in reality commence couple of months earlier?
What do you guys say? If that is the case, is there a possibility to make precisions to the contract at a later stage?
In my opinion it might be worse if the grace period starts later then initially written in the swap contract indicating the start of capital payments under the loan.

It might be that there too little info in the example but I am happy to fill in the missing tiles.

Thank you very much in advance, any discussion is appreciated!

CapCooler

One mistake in my question.
It should be like this: "If the swap contract is entered now specifying the best estimate for the start of capital payments would it create problems with the contract if the grace period will in reality end couple of months earlier?"