Project Report of Bank Current Account, Bank of Baroda

Document Sample
Project Report of Bank Current Account, Bank of Baroda Powered By Docstoc
Gujarat Zonal Audit Office
  Gujarat Zonal Audit Office covers Risk
  Based Internal Audit and Information
  System Audit of over 300 branches of
  our Bank distributed in 4 Zones in the
            State of Gujarat

                 We also Control
the Concurrent and Revenue Audits in these branches
                   Advantages of CBS
• Anywhere, Anytime, Anyhow Banking possible.
• Centralised Database:The data of all the branches covered under
  the project will be stored at one place called Data Centre. In effect,
  it means that all the operations at the connected branches shall
  take place at one place i.e., Data Centre.
• Enhanced Security features can be implemented as Server is
  located at one place and access control can be effectively
  managed on need to know basis.
• Back Office functions: The branches which will be called Service
  Outlets (SOLs) in the Finacle Software will not need to take backup
  as the same will be done at Data Centre. Many of the back office
  functions will be handled at Data Centre only.
             Advantages of CBS
• Effective MIS: As the data of all connected branches
  shall be located at one Centralised location, the MIS
  information can be extracted without the same being
  provided by branches. The branches can be spared the
  burden of providing information by way of
  returns/reports etc.
• Integration with Core Module: Integration of
  Government Business Module, CRM- Loans Originating
  System, e-Channel (facilitates various delivery channels
  like Internet Banking, ATMs etc.) with the Core
             Advantages of CBS
• This Software is functionally rich and caters to almost
  all the facets of banking. Some of the salient features
  of the Software are as follows:
• Every customer of the branch hitherto, is now a
  customer of the bank, as all the customers will have
  unique customer ID across the bank.
• The Software encompasses all the retail functionalities
  like Savings, Current, Cash Credit, Overdraft, Term
  Deposits, Term Loans, Safe Deposit Vault etc. The
  security features include Maker-Checker Concept,
  Audit Trail etc.
             Advantages of CBS
• Business can be leveraged to suit ever-changing needs like
  introduction of pooled accounts, Flexi-deposits etc.
• Trade Finance module includes Inland/Foreign Bills,
  Documentary Credits, Guarantees, Remittances, Pre-shipment
  Credits and Forward Contracts.
• Customer Relationship Module (CRM) – Credit Application
  Processing System (CAPS) supports initiating account opening
  process at the backend.
• Government Business Module (GBM) enables Pension
  processing, PPF, CBDT and RBI Bonds maintenance.
• e-Channel to support various delivery channels like Internet
  Banking, ATMs etc.
• Every user is allotted a User ID comprising of
  his Employee number and Initials of the
• User level is assigned according to the
  designation and duty
• Every user level has access restrictions to
  various menu options in the system
   Maker and Checker Concept
• Every transaction entry done by an employee
  has to be necessarily authorised / verified by
  a Supervisory staff
• Similarly any modifications done to the
  Customer Master records are also to be
  verified by the Supervisory staff
• Any transaction which is authorised or
  verified, can not be cancelled. A reversal
  transaction has to be passed
Audit Trails And Exception Reports
• Modifications done in customer master
  data in the system or New Accounts
  opened, are tracked in the Audit Trail
• The transactions which are not as per the
  laid down procedures of the Bank are
  reported in ‘Exceptional Transactions
  Report’ and seperated as Minor and
  Major as per their risk perceptions
       Sensitive Stationery
• Sensitive stationery like cheque books DDs
  are entered in the system and properly
  managed through dual control

• The list of all such sensitive stationery
  entered in the system are reflected in a
  report generated through the ‘ISRA’ menu
        Furniture and Fixtures
• Furniture and fixtures have been made live
  in the system

• The report can be generated through
  ‘MISRPT’ – “FF”

• Menu option ‘FXDTRAN’ gives an item wise
  detailed report of each Block
Revenue Leakage in Advance Accounts:

  • Advances in Finacle are broadly divided into two
     – LOANS and
     – CC / OD

  • Loans (scheme type LAA) may be either EMI type
    or Non-EMI type

  • In CC / OD (scheme type CCA / ODA) accounts
    the limit is revolving.
                   LOANS :

• For EMI type loans monthly demand for installments
  comprising of principal and interest component are
  created by the system
• Similarly, demands for principal and interest for Non-
  EMI accounts are created based on the repayment
• The rate of interest to be charged in the accounts can
  be viewed using Menu Option INTTI.
                    CC/OD Accounts:
 In CC/ OD accounts the limit is revolving. The limit ceiling depends upon
  the sanctioned limit and drawing power.
 The sanctioned limit and drawing power can be inquired using menu
  option ACI – H (Option S for Sanctioned Limit and Option D for
  drawing Power)
 Again, in CC/OD accounts, interest rates can be attached at account level
  as well as limit level (slab-wise).
 Generally in CC / OD accounts the interest rate is not slab-wise, hence
  limit level flag should ideally be “N’ and rate of interest should be entered
  by the branch through menu option INTTM.
 If limit level (slab-wise) interest is to be applied, then the slabs and rates
  are entered with limit level flag as “Y”. This is generally in case of loan
  against multiple TDRs where rates on these TDRs are different (LA611 &
  OD271 in both the scheme type is ODA).
               CC/OD Accounts:

 Interest in CC/ OD accounts is generally applied on the
  last weekend of the month i.e. up to the last Sunday and
  the entry appears on the next working day i.e. Monday.

 During Month ends interest is booked on the last
  working day.

 When interest is booked, P&L account is credited by
  debiting the interest receivable accounts, Interest
  Receivables is later adjusted during next interest
  application in the account.
 Probable reasons for failure of
Interest application in Advance
           Interest failure reasons:

• Account is marked NPA - can be viewed through
  option ACI - Y
• Interest Table code is Zero - INTTI
• Collect Interest flag is “N” – ACI – 0 option
• Interest demand effective date is a future date or
• Limit level interest is ‘Y’ but normal interest rate field
  is BLANK – ACI -H
• Interest rate is pegged but pegging date is either not
  given, is a past date or is not reviewed –ACI - 0
         Demands raised by system
• Various demands raised by the system can be viewed
  through menu option ACI=> E Repayment Schedule Details.
  Press Shift+F4 on this screen to check various demands
  raised and also recoveries made by the system towards the
  listed demands on various dates.
• Wrong data entry in this regard shows an incorrect position
  of overdue amount
• In a few accounts, penal interest is charged by the system
  although regular installment is paid. This may be due to
  overdue position of the account because of various pending
  demands like PRDEM / EIDEM/ NIDEM.
• We also use LAOPI menu for inquiry of overdue position in
  an account.
Interest Failure Reports
 A few reports have been provided which indicate
     the interest failures in advance accounts:

                   Report I:
             Menu Name : MISRPT
            Module Name – OTHERS
            Report Number – LNINT


  This report provides the list of LAA type of accounts
 where interest application has not taken place for the
  Month/Quarter/Half Year and does not include the
   accounts marked as NPA (Main Classification '02').

Moreover, this report does not cover the accounts where
  Zero Table code is attached and all other details are
properly entered, as the date of next interest application
         is moved by the system in such cases.

 Inputs required: Month End Date / Quarter End Date /
                   Half Year End Date
   Frequency - M (Default) / Q / H as the case may be.
 This report provides the branches with the information regarding the
 account number, name, and amount outstanding in the account along
            with the entered values for the following fields:

                      i.       Last Interest Application Date
    ii.       Next Interest calculation date which should be equal to next
               interest demand date. This field is updated automatically
                                        by the system.
        iii.      Next Interest Demand Date (It indicates next interest
                                      application date).
   iv.        Collect Interest flag: Ideally should be ‘Y’ to facilitate interest
v.          Interest Table Code: Interest table code attached to the account.
vi.        Frequency of interest application – Intervals at which the interest
                                 application will take place.
                          vii.     Next installment date
              Report II:
        Menu Name : MISRPT
       Module Name – OTHERS
      Report Number – CCODINT

This report provides details of CCA / ODA
 type of accounts where interest failures
   have occurred on the lines of LNINT.
Sanction /Drawing Power Related Matters:
 In ACLHM option, whenever user undertakes
  modification of Sanction Limit or Drawing
  Power, the system by default populates the
  applicable date of the record selected by the
  user. However, it allows modification of the
  applicable date. It is suggested that the user
  should preferably input BOD date (current
  date) or date subsequent to last interest
  application date to avoid interest recalculation
  unless compelling reasons for inputting
  previous (old) date exist.
 Sanction /Drawing Power Related Matters:

• Similarly, in HACLHM menu option if existing record is
  chosen for modification, the system does not allow
  changing of applicable date and consequently, the
  interest is recalculated from an earlier date (applicable
  date). Therefore, it is advisable to choose Add New option
  while using HACLHM with applicable date as BOD Date
  (current date) or a date subsequent to last interest
  application date unless compelling reasons exist for
  inputting an earlier applicable date. This will prevent
  recalculation of interest and thereby wrong interest
  credits/debits in the account
 Sanction /Drawing Power Related Matters:
Drawing limit in loans accounts is required to know the
overdue position of an account, the same is available
through menu option LAOPI (DR) and HLAOPI (DC). The
overdue position of Principal and Interest is correctly
available through these Menus.

Security details are filled through SRM menu.
 Sanction /Drawing Power Related Matters:
 Please note that the following Drawing Power
  indicators have been provided in Finacle:
 E – Indicates that the DP is Equal to the Sanctioned
 M – Indicates that the DP is going to be Maintained
 D – Indicates that the DP is Derived from the Securities
  attached to the Account. The securities are to be
  attached by using menu option HACLM or SRM.
 P – Indicates that the DP will be derived from a Parent
  Node created specifically for the purpose.
 Sanction /Drawing Power Related Matters:
• Therefore, for the normal accounts, the E or M or D
  indicators will suffice. The P indicator needs to be
  carefully used by ensuring that the Limit Node being
  attached has been opened by the branch to control the
  group exposures. In no case, Limit Node created by
  other branch should be attached to the accounts of the
  local branch unless specifically authorized to do so by
  the Parent branch (who had created the node). Please
  note that the consequences of such incorrect
  attachment may result in return of cheques of the
  genuine customer with a message that Group liability
  exceeds. You will agree that such wrongful return of
  cheques because of our negligent action can lead to
  undesirable results and should be avoided under all
                 Overdue Report
• Menu Name : MISRPT
  Module Name – LOANS
  Report Number – LAA001

• This report has been designed to give the overdue
  position . However ,it gives the list of all the accounts
  under a given scheme code. This report can also be
  used for monitoring advance accounts.
       The Details in this report are quite
    comprehensive. It Lists the following fields :
1. Account Number
2. Account Name
3. Open Date
4. Sanction Limit
5. Interest Table
6. Interest Rate
7. Current Balance
8. Installment Start Date
9. Installment Amount
10. Asset Code
11. Asset Date
12. Overflow
13. Total Demand
14. Total Recovery
15. Total Overdue
     Branches can list the accounts using this report and check the “Rate of
     Interest” in all the accounts under the given scheme code.
INTTM  (M)odify  (A)ccount number  15 digit
             Account number 
Education Loan A/c
Education Loan A/c


•   MISRPT -> EOD -> EOD021 Sanction details & Drawing
    Power Details
• RELRPT – to calculate the subvention amount based on certain
  It generates two reports – A/C – wise and Quarterly statement.

• CHGIR – Generation of report for verifying service charges.
  (Event based report to be selected)

• ABMR – Report Account below minimum balance for a given
  period. To be generated periodically and status to be changed
Thank You


             K BALARAM
            PRAMOD JAIN
                        Bank of India
                       Vadodara Zone
       Our Initiatives for Speedy Customer Services

• City SME Centre :
• Target Customers – Sales Turnover less than
  Rs.100 Crores
• At : 3rd Floor, Bank of India Building , Raopura,
• City SME Head : Mr. Simon Philip
• Mob. : 81286 68566
• Land Line-0265-2416832
                      Bank of India
                     Vadodara Zone
     Our Initiatives for Speedy Customer Services
• Vadodara Mid Corporate Branch :
• Target Customers – Sales Turnover above
  Rs.100 Crores & upto Rs.500 Crores
• At : 2nd Floor, Bank of India Building , Raopura,
• MCB Head: Mr.Padia Mob. 97243 39722
                       0265 -2439791
                     Bank of India
                    Vadodara Zone
    Our Initiatives for Speedy Customer Services
• Retail Hub :
• At : 2nd Floor, Bank of India Building , opp.:
  Madhyavarti School ; Raj Mahal Road,
• For all kinds of retail Loans i.e. Housing Loans,
  Auto Loans, Education Loans & Mortgage
• Head, Retail Hub: Mr. C.B.Kure Mob. 97343 39781
• Land Line :0265-2423365

Shared By:
Description: Project Report of Bank Current Account, Bank of Baroda document sample