Introduction Business Scenario Finacle CBS Process Overview Key Terminologies Step by Step Process Demonstration Summary

Lesson Objective Duration Intended Audience To understand the process of create Standing Instruction (SI) in Finacle Duration 1 Hour Counter PA and Supervisor Intended Audience

Business Scenario -1 A customer wants to transfer some amount to his own or minor son’s recurring deposit maintained at your branch. This transfer has to happen every month on the particular date. You will need to use the facility of Simple Standing Instruction to auto-program this periodic transfer for your customer. Let us see the generic process in detail for creating Simple Standing instruction in Finacle CBS

Business Scenario -2 A customer wants to transfer some amount to his own or minor son’s recurring deposit maintained at Axis Bank through ECS. This transfer has to happen every month on the particular date. You will need to use the facility of Complex Standing Instruction to auto-program this periodic transfer for your customer. Let us see the generic process in detail for creating Complex Standing Instruction in Finacle CBS

Finacle Process Overview The approach for creating a Standing Instruction: Standing Instructions (SI) is a facility for the account holders who want to make payments or remittances of a recurring nature, like transfer of funds, instalments for a recurring deposit or a loan account and so on. Customers may give standing instructions to the Post Office to make payments or remittances on their behalf on a specified date. Customers can give certain conditions, which needs to be satisfied before making these payments. Payment / Receipts system is an interface provided, either to credit or debit, different accounts of the customers.  

Finacle Process Overview (Contd…) Finacle also provides the option of multiple Standing Instructions for the same customer, i.e. standing instructions can be prioritised. Standing instructions are automatically executed by the system based on certain criteria: Date on which it should occur during the given period Time during the day it should occur The number of times it should occur during the day The number of times it should occur during the specified duration Standing Instruction are of two types - Simple Standing Instruction and Complex standing instruction.  

Key Terminologies TERMS DESCRIPTION 1 2 3 4 Standing Instruction Standing Instruction is a facility provided by Post Office to the customers for auto- occurrence of recurring transactions. 2 Standing Instruction Execution Standing Instruction can be executed During the day, Anytime during the day or at End of the day. 3 Customer Induced Standing Instruction transaction done at the request of the customer. 4 Post office Induced Standing Instruction done for Post Office for official purpose without any interference of a customer.  

Step by Step Process Given below is the step involved in creating a Standing Instruction in Finacle: Invoke the menu option HSSIM to create a simple SI (or HSIM to create a complex SI involving multiple accounts of a customer. This might include accounts at different Post Office branches requiring transfer of funds using payment systems like SWIFT or RTGS.) Enter data like SI Type, SI execution From and To Date, Auto Post, Carry Forward if Failed, Execution Condition and so on. You must visit the Instruction Details Tab to enter the fixed amount. For Variable amount you need to furnish other details.   The SI requires verification using the same menu option HSSIM.

Demonstration

Summary Congratulations!! You have successfully completed the lesson on Standing Instruction in Finacle. Following are the summary of important points discussed in this lesson: Finacle allows the standing instruction to be either Post Office induced or Customer induced. You can create a simple SI using the menu option HSSIM and for a complex SI you need to invoke the menu option HSIM. Complex standing instruction can be linked to a payment system (ECS) to facilitate periodic transfer to accounts in other financial institutions. The SI needs verification using the same menu option HSSIM (for Simple SI) or HSIM (for Complex SI). Standing instructions created can be cancelled at any point of time using the same menu.

No let us do a hands on exercise on Standing instructions No let us do a hands on exercise on Standing instructions. Please refer to Job aid for structured exercise