Definition: Interests receivable and payable
These items shall include all profits and losses arising out of banking activities, including:
- all income from assets entered under Assets items 1 to 5 in the balance sheet, however circulated. Such income shall also include income arising from the spreading on a time basis of the discount on assets acquired at an amount below, and liabilities contracted at an amount above, the sum payable at maturity;
- all charges arising out of liabilities entered under Liabilities items 1, 2, 3 and 8, however calculated. Such charges shall also include charges arising from the spreading on a time basis of the premium on assets acquired at an amount above, and liabilities contracted at an amount below, the sum payable at maturity;
- income and charges resulting from covered forward contracts, spread over the actual duration of the contract and similar in nature to interest;
- fees and commission similar in nature to interest and calculated on a time basis or by reference to the amount of the claim or liability.
European Union, Council Directive 86/635/EEC of 8 December 1986 on the annual accounts and consolidated accounts of banks and other financial institutions (Official Journal of the European Communities No L 372, 31/12/1986, p. 1), Article 29.