2. Oracle FCUBS - External Accounting Interface
The integration between the Oracle FLEXCUBE Universal Banking System
(FCUBS) and an External Accounting System enables processing external
accounting entries in Oracle FLEXCUBE through external product processors.
This chapter contains the following sections:
2.1 Scope
This section describes the scope of the integration with respect to
FCUBS and External Accounting System. Oracle FLEXCUBE allows processing
external accounting entries to FCUBS. The system updates the customer
account and ledger balances for the external product transactions.
The FCUBS accounting module will handle the ECA requests from external
systems and processes the external transactions. The following accounting
stages are impacted due to the external interface changes:
- Account service validations (EAC check)
- ECA request for accounts and related operations
- Debit transactions from external systems (ECA)
- Credit transactions from external systems
2.2 Prerequisites
Set up Oracle FLEXCUBE Universal Banking Application and Oracle Global
Liquidity Management Application.
Refer the ‘Oracle FLEXCUBE Universal Banking Installation’
manual.
2.3 Integration Process
This section contains the following topic:
2.3.1 Account Service Validations
The system performs account related validations for external transactions
based on the requests. The response of these requests will be send to
the external system.
FCUBS validates the status of the accounts based on the debit credit
indicator send in the request. The account service validation request
from the external system will be handled by ‘QueryCustAccVal’
interface.
For account related validations, the account validation services with
credit indicator will be used. System performs the following validations
on the accounts:
- Check unauthorized accounts
- Check closed accounts
- Check frozen status of CIF / account
- Check pending primary party change
- Check no debit marked for account
- Check no credit marked for account
- Check dormancy status of account
- Check debit interest due on account
- Check debit transactions if customer has become major and if age
proof not submitted
If these account related validations are maintained as an override,
then the request will be approved. If the validations are configured
as an error, then the request will be rejected.
- If debit or credit indicator is specified as ‘None’ (N),
only the account service validations like unauthorized account, closed
account will be performed.
- If debit or credit indicator is specified as ‘Debit’
(D), then debit related validations like No debit, CIF minor, dormancy
etc will be performed.
- If debit or credit indicator is specified as ‘Credit’
(C), credit related validations like No credit, dormancy will be performed.
- If debit or credit indicator is specified as ‘Both’ (B),
then both credit and debit account service validations will be performed.
If any account validation fails, then the failure response will be
send to the external system.
2.3.2 Handling External Credit Approval (ECA) Requests
In this stage, the system performs account balance check and validations
for the debit transactions.The debit transactions from external system
will be processed through ECA.The amount requested for debit will be
blocked in the account and the response will be send to the external
system.
The system performs the following in this stage:
- If any account related validations fails and is configured as an
override, then ECA will be approved. If it is configured as an error,
ECA will be rejected.
- If the account validations are passed, then available balance check
is done in the account. Balance check will take account level limits
(TOD, Uncollected Limits, Daylight Limits) also into consideration for
ECA approval. Minimum balance check will be performed on accounts during
ECA block.
- If the total available balance is greater than or equal to ECA amount,
system creates an amount block for ECA amount and ECA will be approved.
If the available balance is less than ECA amount then ECA request will
be rejected.
- If ECA account is linked to ELCM, an account balance check is performed
based on the total available amount. If the available balance is less
than ECA amount, system will look for limits availability and will perform
limit utilization. An amount block will be created for the full ECA amount.
ECA reference number will be generated for each ECA request.
- Amount block created through external systems, will be shown under
ECA blocked amount (ACY_ECA_BLOCKED_AMT) in account balance table (sttm_account_balance).
The ‘Blocked Amount’ field in STDCUSAC will display consolidated
amount blocked through FCUBS or external systems.
- If the account has sweep facility enabled and is opted in the request,
then the sweep processing will be done based on the ECA request. If the
ECA request is sent with sweep required, system will perform sweep for
the amount required. By default, sweep required will be ‘No’
for the requests.
- If the ECA amount is more than account balance post sweep, limit
amount will be utilized for the remaining amount, if available.
- ECA external request reference is captured in request and system
sends the ECA block reference in the ECA approval.
- Any ECA requests which are received during EOD will be processed.
If the block results in any sweep entries it will be tanked.
- If one or more of the accounts under a request have failed for ECA
block, ECA block will be done for the remaining accounts and account
wise response will be returned.
- A tag ‘UPDASERRIFANYFAIL’ will be given to stop ECA block
for the entire request, if any of the account has failed for ECA block.
If the tag UPDASERRIFANYFAIL has value ‘No’ in the request,
system will do the ECA block for the remaining accounts and only the
ones with error will be failed. A success response will be given in this
case against the ECA request. If tag UPDASERRIFANYFAIL is ‘Yes’,
entire ECA request sent under create external ECA reference number will
be rejected, even if one account fails for ECA block. A failure response
will be given in this case against the ECA request.
- System will support partial block, if partial block tag is yes in
the ECA Request. If account has lesser balance than the requested ECA
amount, system will approve to the extent of available amount and the
response will be send with the approved amount.
- If the partial release tag is No, partial request will not be allowed,
ECA should be utilized in full. By default partial blocking will be No
for the requests, if not sent by external systems.
- On ECA approval, account withdrawable balance will be reduced to
the extent of ECA approved amount.
- Minimum ECA block amount maintained at account class (sttm_account_class)
will be validated for the ECA block amount. If partial block is allowed,
then system will first check whether amount is greater than the minimum
ECA amount on account class level.
- If block amount is more than Minimum ECA block amount, but less than
the available amount at the account, then error will be thrown for insufficient
balance.
- If ECA debit request is rejected, the placed ECA block will not be
released automatically. The external system has to send ECA Undo request
to release the ECA block.
- You can do an ECA debit for lesser amount than the approved amount.
The system will release the amount for full and do the debit for lesser
amount that is requested. The balance amount will be released to the
customer account.
- ECA debit can be done for lesser amount multiple times against an
ECA block. This will be send as partial ECA debit request.
- You can also do an ECA debit for a bigger amount than the approved
amount. When the ECA amount exceeds the approved amount the ECA block
will be closed and the system performs account validations on the debit
account for the excess amount. If the account does not hold balance for
the additional amount, the entire ECA debit requested for the current
transaction will fail.
- Effective date will be defaulted to application date for ECA block
creation.
- TD and CL accounts will not be allowed in ECA creation.
2.3.2.1 Viewing ECA Block Details
The system creates an ECA amount block on an account when an ECA request
is approved. This blocked amount is used for ECA debit and will be active
till the approved amount is debited or ECA request is cancelled. The
interface ‘CreateEcablk’ will perform the ECA block request.You
can view the ECA Block details in ECA block screen. The system allows
you to only query the details in this screen. Other operations are not
allowed in this screen. You can invoke this screen by typing ‘CADECABL’ in the field at the top right corner
of the Application toolbar and clicking the adjoining arrow button.
Click ‘Enter
Query’ to specify and view the following details:
Branch
The system displays the current branch code.
Source Code
The system displays the source code passed in the request.
External Reference
Specify the external reference number.
ECA Reference
Specify the ECA reference number.
Effective Date
The system displays the effective date.
Mark as Error
If ‘Mark as Error’ is enabled then the complete ECA request
will be rejected even if one account fails in the validation.
ECA Details
The following ECA details are displayed based on the query:
- Account Branch
- Account Number
- Account Currency
- Requested Amount’
- Approved Amount
- Outstanding Amount
- Status
- Remarks
- Sweep Required
- Partial Block Required
- Partial Release Allowed
2.3.2.2 Viewing ECA Block Details
You can view details of ECA Block through ‘ECA Block Summary’
screen. You can invoke this screen by typing ‘CASECABL’ the field at the top right corner
of the Application tool bar and clicking on the adjoining arrow button.
You can search records
based on the following parameters:
- External Reference
- Source Code
- ECA Reference
Click on ‘Search’ button with or without entering any
of the above search parameters. All records matching the search criteria
are displayed. To view a particular record double click on the desired
record displayed in the list of records. The following details pertaining
to each record is displayed:
- External Reference
- ECA Reference
- Source Code
2.3.2.3 Cancelling ECA Request
The system allows you to cancel an approved and active ECA request.
On cancellation request the system will release the amount block created
on ECA block.
The system performs the following if cancellation of ECA is requested:
- ECA amount block created on block will be marked as Cancelled
on ECA Undo.
- If any sweep transaction is executed on ECA block it will be reversed.
- If any ELCM utilization is done during ECA block, it will be de-utilized
if line is revolving.
- Any debit request on the cancelled ECA request will be rejected.
- Partial cancellation of ECA request is not possible with Undo ECA
option.
- Once the cancel ECA is successful, the confirmation will be provided
in response against the Undo reference number.
2.3.2.4 ECA Undo and Query Block Interface
The interface ‘CloseEcablk’ and ‘QueryEcablk’
will perform ECA undo request and query the status of ECA transactions
respectively. The system displays the approved amount, outstanding ECA
amount ECA status etc for queried ECA external reference number.
2.3.3 Triggering Accounting Entries to FCUBS
The external systems can trigger accounting entries to FCUBS through
external accounting interface ‘CreateExtAccEcaEntries’. This
interface will do all the customer account validations during accounting.
All the entries posted from the product processors will be passed as
an authorized entry. You can view the external accounting entries passes
using ‘External Accounting Entries’ screen. The system allows
you to only query the details in this screen. Other operations are not
allowed in this screen.You can invoke the screen by typing ‘IFDEXACC’ in the top right corner of the Application
toolbar and clicking the adjoining arrow button.
Click ‘Enter
Query’ to specify and view the following details:
Source Code
The system displays the source code passed in the request.
Group Reference Number
Specify the group reference number generated for accounting handoff.
All the entries under one handoff is treated under a group reference
number.
Transaction Reference
Specify the transaction reference number specified in the ECA debit
request. Alternatively, you can select the transaction reference from
the option list. The list displays all valid options.
External Reference Number
Specify the external reference number. Alternatively, you can select
the external reference number from the option list. The list displays
all valid options.
Event
The system displays the vent passed in ECA debit request.
Event Serial Number
The system displays the event serial number generated on accounting
handoff.
Action Indicator
Check this box to indicate if the MIS send by the external product
processor is new.
Click ‘Execute Query’ to view the following accounting
entry and MIS details:
Accounting Entries
- Branch
- Account
- Account Ccy
- Debit/Credit
- Amount Tag
- Foreign Currency Amount
- Rate
- Local Currency Amount
- Date
- Value Date
- Event
- Event Serial Number
- Related Account
- Related Reference
- Related Customer
- ECA Reference
- Block Release Status
- Module
- External Reference Number
- MIS Head
- Instrument Code
- Product
- Available Balance Check Required
- Intra Day Release
- Availability Information
- Consider for Cover Sweeps
- Escrow Processing
- Cheque Mandatory
- Consider for Account Activity
- Salary Credit
- Component type for transaction
- Consider For Turnover Limit
- Anti Money Laundering Required
- Available Balance Update Through PPC
- Transaction Narrative
- Swift Code
- Transaction Code
- Debit Override Tracking
- Credit Override Tracking
- AML Product Category
- End Table
FCUBS will process the following on the external entries:
- Account and GL validations for the entry posting
- Account and GL balance updation
- Account statement processing
- Release of ECA Block for ECA based debit
- Inter branch entry posting, if transaction branch and account branch
are not same
- CYPO entries processing, if account currency and local currency are
not same
- Release of dormancy on entry posting
- Sweep entry related processing
- Updation of instrument status, if debit is against an instrument
number
- ELCM limit updation
MIS Details
- MIS Group
- Unit Reference
- Branch Code
- Customer
- Product
- Processed Flag
- Unit Type
- Link to Group
- Currency
- Related Account
- Related Reference
- MIS Head
- Rate Code
- Spread
- Rate Type
- Profit Method
- Exchange Rate
- Refinance Rate
- Pool Code
- Cost Code
- Transaction MIS
- Composite MIS
- Fund MIS
2.3.3.1 Viewing External Accounting Entry Details
You can view details of External Accounting Entries through ‘External
Accounting Entries Summary’ screen. You can invoke this screen
by typing ‘IFSEXACC’ the field at the top right corner
of the Application tool bar and clicking on the adjoining arrow button.
You can search records
based on the following parameters:
- Group Reference Number
- External Reference Number
- Source Code
- Transaction Reference
- Event
Click on ‘Search’ button with or without entering any
of the above search parameters. All records matching the search criteria
are displayed. To view a particular record double click on the desired
record displayed in the list of records. The following details pertaining
to each record is displayed:
- Group Reference Number
- Transaction Reference
- Event Serial Number
- External Reference Number
- Event
- Source Code
2.3.4 Processing Account Statements
The product processors has to send all the required details for processing
the account statement. Transaction narratives ‘TXNNARRATIVE’
in the request will be displayed as statement narrative against respective
external entries. The statement date will be the application date for
transactions originating from external systems.
2.3.5 Multi Currency Accounts
The external product processors can view the authorized multi currency
accounts of FCUBS. Multi currency accounts are identified with account
class 7. The external product processor can fetch the real accounts based
on the multi currency accounts and transaction currency. The transaction
received from the external product processors are processed at FCUBS.
The external product processors can query the real accounts using
‘Real Account Derivation’ screen. You can invoke this screen
by typing ‘STDMCYRL’ in the top right corner of the Application
toolbar and clicking the adjoining arrow button.
You can query with
the following to derive the real account number:
- Multi Currency Account Number
- Currency
2.3.6 Handling MIS for External Product Processor
Oracle FLEXCUBE considers transactions from external product processors
for MIS. Using the exposed service of external accounting, MIS details
are sent to FCUBS. If there is any change in the MIS details that is
sent for an account/transaction, then the modification flag is sent along
with the accounting entries by the external product processor and the
existing MIS details will be updated with changed MIS details in FCUBS.