7. Processing Outgoing Messages

7.1 Introduction

Here, the procedure involved in generating an outgoing message is explained. To recall, you have already maintained:

In each module of Oracle Lending, you can define products. While defining products you also indicate the messages that should be associated with an event in the life cycle of a contract involving the product.

A contract goes through several events during its lifecycle. A message for an event is triggered for generation when the event is authorized.

Example

You have defined a product to cater to short-term loans. You have indicated that the following messages should be generated when events take place:

Event

Message

INITIATION

Initiation Advice

LIQUIDA­TION

Liquidation Advice

 

When you initiate a short-term loan involving the product an Initiation Advice will be triggered for generation. Similarly, if you make a repayment on the loan, the liquidation advice defined for the event will be triggered for generation.

Note

In this context advices and messages are commonly referred to as messages.

Depending on the product - message - customer details that you have set up, Oracle Lending determines the address and the media through which the message should be transmitted.

If a message is to be transmitted through mail, it has to be printed. If the message is to be transmitted through Telex, you will have to enter the testword (if it is required for the message). The messages that are to be transmitted through media like Telex and S.W.I.F.T. will be sent by the Media Control System (MCS), which is connected to the node in which the database of your branch is installed.

A message that is triggered for generation can be sent in the background or can be generated on-line. An outgoing message will be processed based on the preference that you state.

Note

The messages that are triggered by an automatic event like the generation of a tracer for an LC, billing notice and delinquency notice for a loan, etc., will be put in the Outgoing Browser by the automatic function itself. This is because events triggered by an automatic function do not require authorization.

This section contains the following topics:

7.1.1 Manual Generation of Outgoing Messages

If the background message process is not running, all the messages that are triggered for generation will be displayed in the Outgoing Message Browser from where you can generate the message.

You can generate messages from the Outgoing Browser at any time in the day.

You can invoke the ‘Outgoing Message Browser Summary’ screen by typing ‘OLSOUTBR’ in the field at the top right corner of the Application tool bar and clicking on the adjoining arrow button.

 

 

7.1.2 Features of Outgoing Message Browser

The following details of a message will be displayed in the Outgoing Message Browser:

A message that is displayed on the Outgoing Message Browser can bear one of the following statuses:

For a message that was put into the repair status, the exception that occurred while the message was being processed will be shown. The following details of the message will also be displayed, and you have an option to change them. They are:

7.1.3 Viewing messages with different authorization status

You can choose to view the details of the outgoing messages on this Browser based on the status of a message. Oracle Lending offers you several options to choose from.

The options available are:

After indicating your preference, you can indicate the status for which you want to view message details. You can choose from these options:

Select the option(s) for which you would like to obtain details. You can choose to view details of the messages under one or all the options that are available.

Example

Case 1

You have specified that you want to view details of the ‘authorized’ messages. You have also ticked against ungenerated.

In this case, all the messages that are authorized and yet to be generated will be displayed.

Case 2

You have specified that you want to view details of the ‘unauthorized’ messages. You have also ticked against ‘Reinstated’ and ‘Canceled’ the details of all the unauthorized messages that have been reinstated will be displayed in a particular color and the unauthorized messages that were canceled will be displayed in a different color.

7.1.4 Operations you can perform on an outgoing message

The operations that you can perform on an outgoing message are determined by the rights that you have been assigned in the Security Management System (SMS) module of Oracle Lending. If a function in the Outgoing Browser is disabled, it means that the function is not allowed for the record.

 

Generate button

Click to generate an outgoing message. You can generate un-generated and repaired messages.

When you click ‘Generate’, the system checks the contract status for which the message is generated and will not generate a message in the following condition:

  • If the contract is reversed
  • If the message is on hold
  • If the message maintenance is not authorized and the message is moved to repair queue

Hold button

Click if you need to temporarily stop generating an outgoing message. Authorizing Supervisor can view details and then release the messages or change their status to Carry Forward, which in turn can be released on further authorization.

Note:

Messages with Hold status must either be carried forward or released, before you execute the EOD processes at the branch; else the system displays an error message. However, if the message is cancelled, then the system will not display error message, though the status is ‘Hold’.

Release button

Click if you need to release a message which is on hold.

Cancel button

Click if you need to cancel an outgoing message. You can cancel mes­sages with ‘Ungenerated’ and ‘Hold’ status.

Reinstate button

Click if you need to reinstate cancelled outgoing messages.

 

Testword Input button

Telex messages for which a testword is required will be put into the repair status. To enter the testword in order to remove a message from the repair status,

Highlight the message(s) then

Click the Test word Input button

The complete telex message will be displayed on the screen and you will be prompted to enter the testword.

Note:

The test word entry for a telex message will have to be authorized if you have indicated so in the Messaging Branch Preferences screen. If the testword entry requires authorization then on successfully entering the testword, the message will move from the repair status to an unauthor­ized status. In this case, the message can be generated only after the testword entry is authorized.

Authorize Test Word button

 

Click if you are provided rights to authorize testword entered for a Telex message. While authorizing you have to reenter the testword.

Change Priority button

Click if you need to change the priority, for sending a payment message which is yet to be generated.

Note: In the Background, Oracle Lending generates messages on the priority basis.

Change Media button

Click if you need to change the media through which a message is transmitted, before it would be generated. Media of transmission of a message is changed if there is a failure of the medium at the recipient’s end.

Note:

The selected media through which a message is transmitted should be available to the recipient.

Print Button

Click if you need to print an outgoing message. When you click ‘Print’, option will be provided to select spool or print on-line.

Messages that are transmitted through mail and those cancelled should be printed. You can also choose to print the details of messages trans­mitted through other media types.

The system provides an option to spool the advices in PDF format. When you click the ‘Print/Spool’ button, you can view the selected advice in PDF file. You can also view the SWIFT tag description.

Resend button

Click if you need to regenerate and resend a message which was gen­erated and sent.

View button

Click if you need to view the contents of a generated outgoing mes­sage. Viewing multiple messages is not supported.

Change Branch

Click if you need to send an outgoing message from another branch. Select the branch to which the message needs to be moved from the adjoining option list.

You change the branch of a message for the following reasons:

  • If there is a failure of a medium at the bank’s or the counterparty’s end
  • If the branch is located closer to the location of the customer’s address.

Change address button

Click if you need to change the address to which an outgoing message has to be sent. Enter the new address to which the message should be sent and click ’OK’ to save.

Note:

Change of address can be done only before a message is generated.

Change Node button

Click if you need to change the node from which an outgoing message is generated.

In a distributed environment, the database of one or more branches of your bank will be located at a node or a server. Hence a Media Control System will be installed and defined specifying the node at which it is installed.

When you click ‘Node’, the system displays the details of the individual message providing an option to change the ‘Node’. Select the node you need to change from the adjoining option list.

Note:

MCS status at the node in which the database of your bank is installed should be passive.

Handoff button

Click if you need to hand-off a generated message to MCS to save the date in an ASCII format.

Undo button

Click if you need to reverse the last action you performed on an outgo­ing message at ‘Outgoing Messages Browser’ level

Authorize button

Click to authorize, if you are provided authorization rights for an opera­tion at the Messaging Branch Preferences level. Messages should be authorized before sending them.

On-Line Auth button

Click to authorize online, if you are provided online authorization rights for an operation at the Messaging Branch Preferences level. Messages should be authorized before sending them.

Copy Button

Click if you need to send a copy of an outgoing message to another cus­tomer involved in a contract. You will provide the following to options:

  • Any–Select to implement the following changes:
  • Select media from an adjoining option list
  • Specify name of the recipient
  • Specify the location of the recipient
  • Specify the address of the recipient
  • Original–Select to copy the message in the original form

7.2 Generating Ad-hoc FpML Messages

FpML messages can be generated by the system when the event to which the messages are attached is triggered or on an ad-hoc basis manually. You can perform the latter operation for certain messages from the ‘Fpml Adhoc Message’ screen.

You can invoke the ‘FpML Adhoc Message’ screen by typing ‘LBDFPMLM’ in the field at the top right corner of the Application tool bar and clicking on the adjoining arrow button.

 

You can generate the following messages from this screen:

Each time any of the message specified above is generated for a tranche or a drawdown, the system will fire the event ‘ZAMG’.

This section contains the following topics:

In this screen, specify the following:

Contract Reference No.

Select the contract reference number for the contract for which you wish to generate messages from the adjoining option list. The list contains the reference numbers of all active and authorized tranche and drawdown contracts.

The system will display the following details:

CUSIP/ISIN

System displays the CUSIP/ISIN for the tranche. However, you can query the tranche details based on the ‘CUSIP/ISIN’.

External CUSIP

System displays the external CUSIP for the tranche. However, you can query the tranche details based on the ‘External CUSIP’.

Value Date

System defaults the ‘Value Date’ as the current application date. However, you can edit the ‘Value Date’ only when you select the ‘Notice Name’ as ‘positionUpdate’. Also, the value date cannot be a holiday and it should be less than or equal to the current application date.

Notice Name

Select the name of the message that you wish to generate from the adjoining option list. The list contains the messages that you can generate from this screen.

Note

 

7.2.1 Selecting Drawdowns

You can select the drawdowns corresponding to the tranche using ‘Drawdown Selection’ screen. You can invoke this screen by clicking the ‘Drawdown’ button in the ‘Fpml Adhoc Message’ screen.

System displays the following details from the main screen:

Drawdowns under Tranche

System displays the drawdowns corresponding to the tranche or CUSIP/ISIN only if the drowdown notice has been generated for the drawdown.

Drawdowns for Fpml Message

Select all or specific drawdowns from ‘Drawdowns under Tranche’ that are required in the ‘Position Update’ message of ‘Statement’ type by using the right arrow button (>) in the screen.

7.2.2 Selecting Participants

You can select the participants corresponding to the tranche or CUSIP/ISIN selected using ‘Participant Selection’ screen. You can invoke this screen by clicking the ‘Participant’ button in the ‘Fpml Adhoc Message’ screen.

System displays the following details from the main screen:

Display By

Indicate the tranche participant mode of display. You can select one of the following options:

Tranche Participants

System displays the participants corresponding to the tranche or CUSIP/ISIN only if the UDF ‘MEICODE’ is maintained at the customer level.

Participants for Fpml Message

Select all or specific participants from the list of participants displayed in ‘Tranche Participants’ that are required in the ‘Position Update’ message of ‘Statement’ type by using the right arrow button (>) in the screen.

Note

‘Drawdown and/or Participant selection is already done for Position update notice, changing Notice name will delete these details’

 

7.3 Forward Processing of Events

You can view the details of contracts marked for forward processing through the ‘Payment Browser’ screen.

You can invoke the ‘Payment Browser’ screen by typing ‘LBSFWDPR’ in the field at the top right corner of the Application tool bar and clicking on the adjoining arrow button.

Note

To carry out forward processing on an event, you will have to select the Rollover Mode, Liquidation Mode and Initiation Mode as ‘Semi-Auto’ for tranche and drawdown. Similarly, for forward processing of fee components, the fee liquidation mode should be ‘Semi-Auto’ (in the ‘Fee Components’ sub-screen of the ‘LS Tranche Contract Online’ screen and the ‘Drawdown Contract Online’ screen). The processing for the events ROLL, LIQD, INIT and FLIQ will be processed semi-automatically. LD rollover should have rollover mode as semi auto to reflect the payment messages in the forward processing browser.

This section contains the following topics:

7.3.1 Fetching the Contracts for Forward Processing

In this screen, you can filter the contracts required for forward processing based on the following parameters:

Date Range

The ‘From and ‘To’ dates consider Archive days and Limit days for forward processing. These dates will be automatically calculated by the system based on the application date considering the ‘Limit Days’ and ‘Archive Days’ maintained as part of branch parameters (in the ‘Syndication Loans and Commitments – Branch Parameters’ screen).

For more details on maintaining branch parameters, refer the heading titled ‘Indicating branch parameters for loan syndication’ in the ‘Reference Information for Loan Syndication’ chapter of this User Manual.

Processed Status

You can also filter the required contracts based on a processing status of the contracts. The available options are:

After specifying the filter criteria, click the ‘Refresh’ button to fetch the contracts. The following details will be displayed in the screen:

You need to check the ‘Hold Transaction’ option after the message generation and before the fee liquidation (FLIQ) of payment, if the payment has to be stopped.

During the batch, the system will verify if the payment is on hold. If so, it will not pass the accounting entry and the schedule will not get liquidated. If you check the ‘Hold Transaction’ box, the system will uncheck and disable the ‘Confirmed to Auto’ check box. It will also disable the ‘D’ button.

If the ‘Hold Transaction’ option is unchecked for the payment on/before the schedule date of the payment, then the FLIQ event will be triggered during the EOD batch of the payment schedule date and the new payment message will be generated with new payment value date. There will not be any change in participant ratio/SSI if there is no back valued activity impacting the schedule amount.

If the payment is closed manually, then the fee liquidation entries will be passed using the suspense GL and SSI propagation for amount tags till the next hold date/ latest SSI based on the components in next schedule is on hold on or before the current application date.

The ‘Sanction Checked’ box will be checked automatically once Sanction Check system confirms all the payment messages in detail block with value -1 (COMPLETE). If any of the payment messages in the detail block is not -1 (COMPLETE), then the system will not check the ‘Sanction Checked’ box.

The SC N/A box is checked systematically if sanction check is not applicable for a payment.

Depending on the module and payment type, the payments for which SC is not applicable will be handed off as soon as they are generated, or manual intervention will be required to release the payments

The system will display the payment messages for the below payments in the ‘Payment Browser’ screen:

The system will do sanction screening process for LS, LD, SLT, Adhoc Fee and FT modules, if the ‘Sanction Check Required’ box in Loans Parameter screen is checked. This will be done once the payment message is generated and displayed in the ‘Payment Browser’ screen with status code as ‘0 - TRANSMITTED TO SANCTIONS’.

If the status code received from Sanction Check system is ‘-1’, then:

If the status code received from Sanction Check is not ‘-1’, then system will not allow to confirm and manually release the payment messages for LS and SLT payments.

If the status code received from Sanction Check system is ‘03’ (Terminate), then the payment message can neither be released manually / systematically nor be resent to SC

If the status code received from Sanction Check system is 04, 05 or 06, then:

If the status code is 0, -1, 01, 02, 03 then you will not be allowed to resend the message for Sanction Check processing.

Payment cannot be released manually or systematically when the status is 0.The status can be systematically re-updated more than once for the payment messages that are re-sent from Oracle Lending. For example,

If the status code is 01, 02, 04, 05, 06, then you will be allowed to confirm and manually release the message with maker/checker process for payments across LS, SLT, LD, Adhoc Fee and FT modules. However, the status code will remain same and there will not be any change in the status codes even after releasing the payment messages.

You can view the payments based on status code:

During end of day batch processing, the payment messages cannot be released from forward processing browser, though the status code received from Sanction Check system is -1. Once the batch is completed and online jobs are started, status code in the forward processing browser will get updated which was received during the batch.

The payment messages for FT and LD modules including Adhoc Fee will be systematically released if the status code is -1. However, the payment messages for LS and SLT modules will be allowed to be released manually through maker/checker process when the status code is -1

7.3.2 Confirming the Generation of Messages for an Event

From the filtered contracts, you have to select the contracts that need to be processed. To do this, check the ‘Confirmed to Auto’ option against the respective events. This will confirm that the messages for the selected events under the contract should be generated on the schedule date. However, the system will not automatically generate the messages on the schedule date. You have to manually confirm the events to generate the messages in the ‘Outgoing Message Browser’.

You can view the status code and the description of the status code received from Sanction Check.

When you click the double-click the record ‘Message Generated for the Event’ will be displayed.

Click ‘Save’ to confirm that the messages should be generated. When you save the details, the ‘Confirm’ option (in the screen above) is automatically checked.

After selecting one or more messages and checking the ‘Resend to SC?’ box, click ’OK’. The selected messages with status code 04, 05 and 06 that are unconfirmed by Sanction Check will be resent to sanction check for confirmation.

The following are the various statuses that will be received from Sanction Check system. The status code will be automatically displayed in the status column once the acknowledgement is received from Sanction Check System.

Code

Status

Description

0

TRANSMITTED TO SANCTIONS

Message has been sent from Oracle Lending to SC and awaiting a response from Sanction Screening

-1

COMPLETE

0 hit from Global Interdict, Compliance officer approves the status

01

PENDING-COMPLI­ANCE

1 or more hits from Global Interdict

02

CONFIRMED-HIT

Compliance officer has confirmed the hit. The status will only be available after maker approves the status

03

TERMINATE

Compliance officer terminates the transaction

04

SC APPLICATION ERROR

This is an error status if something goes wrong on sanc­tions check side

05

GI APPLICATION ERROR

This is an error status if something goes wrong on GI application side

06

OTHER ERROR

This is an error status for errors other than SC, GI

 

Click on the ‘OK’ to proceed. The messages associated with the event will be released into the ‘Outgoing Message Browser’ and the ‘Hold’ status will be set to ‘N’ (No). This indicates that the messages have been released successfully and are no longer on hold.

Click the “View’ button to view the message that will be sent out.

The system will send out a message depending on when the confirmation received from you. This is explained in the example given below:

Example

The following are the details of a contract booked:

Booking Date - 1st July 2005

Value Date – 5th July 2005

Currency – USD

Settlement Days – 2 days

If you confirm on the 1st or 2nd of July that the message needs to be generated, the message will be sent on the 3rd of July (BOD).

If you confirm on the 3rd, 4th or 5th of July that the message needs to be generated, the message will be released from the ‘Outgoing Message Browser’ immediately.

If you do not confirm before the 5th of July EOD that the message needs to be generated, the accounting entries will be passed for the event, and the message will be held in the Outgoing Message Browser.

7.3.2.1 Viewing separate fee liquidation entries in Forward Processing Browser

The system supports fee payment messages in modules LS, LD and SLT where the messages are released from ‘Forward Processing browser’. Firstly, the system populates the ADHOC Fee and derived fee payments into Forward Processing browser if the ‘forward processing required’ flag is checked and if fee liquidation mode at the product level is set to the following criteria’s: