This Annexure lists the suggested accounting entries and advices that can be set up, for the Islamic Bills and Collections module of Oracle FLEXCUBE. The annexure lists details of the suggested accounting entries and advices, event-wise.
This section contains the following topics
Operation |
Stage |
Clean / Doc |
Sight/Usance |
Bill Under LC |
PAY |
INI |
DOC |
Sight Only |
Yes (mandatory) |
Accounting Entries
If any charges/fees are applicable, then the following accounting entries will be passed for each of the charges/fees:
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
Income |
Cr |
Charges/Fees earned. |
LCY |
Equivalent charge amount in LCY. |
Real |
Customer /Account Receivable |
Dr |
Customer/Charges or Fees Receivable. |
CCY |
Equivalent amount of charges/fees in the charge/fee currency if it is an Account Receivable else equivalent amount of charges/fees in the Customer Account Currency. |
Advices
Advice Type |
Advice Description |
DISCREPANCY_REQ |
Discrepancies Request Letter |
DOC_ARVL_NOTICE |
Document Arrival Notice |
ACKNOWLEDGEMENT |
Acknowledgment Advice |
PAYMENT_ADVICE |
Payment Advice |
Stage |
Clean/Doc |
Sight/Usance |
Bill Under LC |
INI |
DOC |
Sight Only |
Yes (mandatory) |
Accounting Entries
If any charges/fees are applicable, then the following accounting entries will be passed for each of the charges/fees:
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
Income |
Cr |
Charges/Fees earned |
LCY |
Equivalent charge amount in LCY |
Real |
Customer / Account Receivable |
Dr |
Customer/Charges or Fees Receivable |
CCY |
Equivalent amount of charges/fees in the charge/fee currency if it is a Account Receivable else equivalent amount of charges/fees in Customer Account Currency |
Advices
Advice type |
Advice Description |
DISCREPANCY_REQ |
Discrepancies Request Letter |
DOC_ARVL_NOTICE |
Document Arrival Notice |
ACKNOWLEDGEMENT |
Acknowledgment Advice |
PAYMENT_ADVICE |
Payment Advice |
Stage |
Clean / Doc |
Sight/Usance |
Bill Under LC |
INI |
DOC |
Usance only |
Optional |
Accounting Entries
If any charges/fees are applicable, then the following accounting entries will be passed for each of the charges/fees:
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
Income |
Cr |
Charges/Fees earned |
LCY |
Equivalent charge amount in LCY |
Real |
Customer / Account Receivable |
Dr |
Customer/Charges or Fees Receivable |
CCY |
Equivalent amount of charges/fees in the charge/fee currency if it is a Account Receivable else equivalent amount of charges/fees in Customer Account Currency |
Advices
Advice type |
Advice Description |
DISCREPANCY_REQ |
Discrepancies Request Letter |
DOC_ARVL_NOTICE |
Document Arrival Notice |
ACKNOWLEDGEMENT |
Acknowledgment Advice |
PAYMENT_ADVICE |
Payment Advice |
Stage |
Clean/Doc |
Sight/Usance |
Bill Under LC |
INI |
DOC |
Usance only |
Optional |
Accounting Entries
If any charges/fees are applicable, then the following accounting entries will be passed for each of the charges/fees:
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
Income |
Cr |
Charges/Fees earned |
LCY |
Equivalent charge amount in LCY |
Real |
Customer / Account Receivable |
Dr |
Customer/Charges or Fees Receivable |
CCY |
Equivalent amount of charges/fees in the charge/fee currency if it is a Account Receivable else equivalent amount of charges/fees in Customer Account Currency |
Advices
Advice Type |
Description |
DISCREPANCY_REQ |
Discrepancies Request Letter |
DOC_ARVL_NOTICE |
Document Arrival Notice |
ACKNOWLEDGEMENT |
Acknowledgment Advice |
PAYMENT_ADVICE |
Payment Advice |
Stage |
Clean/Doc |
Sight/Usance |
Bill Under LC |
INI |
DOC |
Sight only |
Yes (Mandatory) |
Accounting Entries
If any charges/fees are applicable, then the following accounting entries will be passed for each of the charges/fees:
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
Income |
Cr |
Charges/Fees earned |
LCY |
Equivalent charge amount in LCY |
Real |
Customer/Account Receivable |
Dr |
Customer/Charges or Fees Receivable |
CCY |
Equivalent amount of charges/fees in the charge/fee currency if it is an Account Receivable else equivalent amount in Account Currency |
Advices
Advice Type |
Description |
DISCREPANCY_REQ |
Discrepancies Request Letter |
PAYMENT_ADVICE |
Payment Advice |
Stage |
Clean/Doc |
Sight/Usance |
Bill Under LC |
INI |
DOC |
Sight Only |
Not Under LC |
Accounting Entries
If any charges/fees are applicable, then the following accounting entries will be passed for each of the charges/fees:
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
Income |
Cr |
Charges/Fees earned |
LCY |
Equivalent charge amount in LCY |
Real |
Customer /Account Receivable |
Dr |
Customer/Charges or Fees Receivable. |
CCY |
Equivalent amount of charges/fees in the charge/fee currency if it is a Account Receivable else equivalent amount of charges/fees in Customer Account Currency. |
Advices
Advice type |
Advice Description |
DISCREPANCY_REQ |
Discrepancies Request Letter |
PAYMENT_ADVICE |
Payment Advice |
Stage |
Clean/Doc |
Sight/Usance |
Bill Under LC |
INI |
DOC |
Sight Only |
Optional |
Accounting Entries
If any charges/fees are applicable, then the following accounting entries will be passed for each of the charges/fees:
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
Income |
Cr |
Charges/Fees earned |
LCY |
Equivalent charge amount in LCY |
Real |
Customer / Account Receivable |
Dr |
Customer/Charges or Fees Receivable |
CCY |
Equivalent amount of charges/fees in the charge/fee currency if it is a Account Receivable else equivalent amount of charges/fees in Customer Account Currency |
Advices
Advice type |
Advice Description |
DISCREPANCY_REQ |
Discrepancies Request Letter |
PAYMENT_ADVICE |
Payment Advice |
Stage |
Clean/Doc |
Sight/Usance |
Bill Under LC |
INI |
DOC |
Usance only |
Optional |
Accounting Entries
If any charges/fees are applicable, then the following accounting entries will be passed for each of the charges/fees:
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
Income |
Cr |
Charges/Fees earned |
LCY |
Equivalent charge amount in LCY |
Real |
Customer / Account Receivable |
Dr |
Customer/ Charges or Fees Receivable |
CCY |
Equivalent amount of charges/fees in the charge/fee currency if it is a Account Receivable else equivalent amount of charges/fees in Customer Account Currency |
Advices
Advice type |
Advice Description |
DISCREPANCY_REQ |
Discrepancies Request Letter |
PAYMENT_ADVICE |
Payment Advice |
Stage |
Clean / Doc |
Sight/Usance |
Bill Under LC |
INI |
DOC |
Usance only |
Optional |
Accounting Entries
If any charges/fees are applicable, then the following accounting entries will be passed for each of the charges/fees:
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
Income |
Cr |
Charges/Fees earned |
LCY |
Equivalent charge amount in LCY |
Real |
Customer / Account Receivable |
Dr |
Customer/Charges or Fees Receivable |
CCY |
Equivalent amount of charges/fees in the charge/fee currency if it is a Account Receivable else equivalent amount of charges/fees in Customer Account Currency |
Advices:
Advice type |
Description |
DISCREPANCY_REQ |
Discrepancies Request Letter |
PAYMENT_ADVICE |
Payment Advice |
Stage |
Clean/Doc |
Sight/Usance |
Bill under LC |
FIN |
DOC |
Usance only |
Optional |
Accounting Entries
If any charges/fees are applicable, then the following accounting entries will be passed for each of the charges/fees:
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
Income |
Cr |
Charges/Fees earned |
LCY |
Equivalent charge amount in LCY |
Real |
Customer/ Account Receivable |
Dr |
Customer/Charges or Fees Receivable |
CCY |
Equivalent amount of charges/fees in the charge/fee currency if it is an Account Receivable else Equivalent amount of charges/fees in Account Currency |
Real |
Customer |
Cr |
Customer Settlement Account |
CCY |
Equivalent of the Bill amount in the Customer Account currency. |
Real / Asset |
GL |
Dr |
Bills Discounted |
CCY |
Bill amount in the contract currency. |
Real / Liability |
GL |
Cr |
Profit Collected in Advance on Discounted Bills. |
CCY |
Discounted Profit amount in the contract currency. |
Real |
Customer |
Dr |
Customer Profit Payment Account |
CCY |
Equivalent Discounted Profit amount in the Debit Account currency |
Advices
Advice type |
Advice Description |
PAYMENT_ADVICE |
Payment Advice |
Accounting Entries
If any charges/fees are applicable, then the following accounting entries will be passed for each of the charges/fees:
GL Type |
A/C Type |
Dr/Cr |
Account Description |
Real |
Income |
Cr |
Charges/Fees earned |
Real |
Customer/Account Receivable |
Dr |
Customer/Charges or Fees Receivable |
AdvicesIncoming Advance
Advice type |
Description |
PAYMENT_ADVICE |
Payment Advice |
ACKNOWLEDGEMENT |
Acknowledgment Advice |
DOC_ARVL_NOTICE |
Document Arrival Advice |
ACKNOWLEDGEMENT |
Acknowledgment Advice |
REMITTANCE_LTR |
Remittance Letter |
Stage |
Clean / Doc |
Sight/Usance |
Bill Under LC |
FIN |
DOC |
Sight only |
Yes (mandatory) |
Accounting Entries
If any charges/fees are applicable, then the following accounting entries will be passed for each of the charges/fees:
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
Income |
Cr |
Charges/Fees earned |
LCY |
Equivalent charge amount in LCY |
Real |
Customer/Account Receivable |
Dr |
Customer/Charges or Fees Receivable |
CCY |
Equivalent amount of charges/fees in the charge/fee currency if it is a Account Receivable else Equivalent amount of charges/fees in Customer Account Currency |
Real |
GL |
Dr |
Advance under LCs |
CCY |
Bill amount being advanced under the LC in the contract currency. |
Real |
Nostro / Vostro |
Cr |
Nostro / Vostro Account of Settlement |
CCY |
Equivalent amount of the Bill amount being advanced in the Nostro / Vostro Account Currency. |
Contingent Liability |
GL |
Dr |
LCs OCU Account |
CCY |
LC OCU decrement entry in the contract currency. |
Contingent Offset |
GL |
Cr |
GL Contingent Offset Account |
CCY |
LC OCU decrement offset entry in the contract currency. |
Real |
GL / Customer |
Cr |
Cash Collateral Account for Bills paid as Advance under LCs |
CCY |
User input Cash Collateral Amount in the Cash Collateral Currency. |
Real |
Customer |
Dr |
Cash Collateral payment Account |
CCY |
Equivalent User input Cash Collateral Amount in the Cash Collateral Currency. |
Advices
Advice type |
Advice Description |
PAYMENT_ADVICE |
Payment Advice |
RESERVE_RELEASE |
Release of Reserve Advice |
DOC_ARVL_NOTICE |
Document Arrival Notice |
ACKNOWLEDGEMENT |
Acknowledgment Advice |
PAYMENT_ADVICE |
Payment Advice |
Stage |
Clean / Doc |
Sight/Usance |
Under LC |
FIN |
DOC |
Usance only |
Optional |
Accounting Entries
If any charges/fees are applicable, then the following accounting entries will be passed for each of the charges/fees:
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
Income |
Cr |
Charges/Fees earned |
LCY |
Equivalent charge amount in LCY |
Real |
Customer /Account Receivable |
Dr |
Customer/Charges or Fees Receivable |
CCY |
Equivalent amount of charges/fees in the charge/fee currency if it is a Account Receivable else Equivalent amount of charges/fees in Customer Account Currency |
Real / Contingent |
GL |
Dr |
CLFA Account |
CCY |
Bill amount in the contract currency. |
Real / Contingent |
GL |
Cr |
CLFA Offset Account |
CCY |
Bill amount in the contract currency. |
Real |
GL / Customer |
Cr |
Cash Collateral Account for Bills accepted under LCs |
CCY |
User input Cash Collateral Amount in the Cash Collateral Currency. |
Real |
Customer |
Dr |
Cash Collateral payment Account |
CCY |
Equivalent User input Cash Collateral Amount in the Cash Collateral Currency. |
Advices
Advice type |
Advice Description |
RESERVE_RELEASE |
Release of Reserve Advice |
DOC_ARVL_NOTICE |
Document Arrival Notice |
PAYMENT_ADVICE |
Payment Advice |
ACKNOWLEDGEMENT |
Acknowledgment Advice |
Stage |
Clean/Doc |
Sight/Usance |
Bill under LC |
FIN |
DOC |
Usance only |
Optional |
Accounting Entries
If any charges/fees are applicable, then the following accounting entries will be passed for each of the charges/fees:
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
Income |
Cr |
Charges/Fees earned |
LCY |
Equivalent charge amount in LCY |
Real |
Customer / Account Receivable |
Dr |
Customer/Charges or Fees Receivable |
CCY |
Equivalent amount of charges/fees in the charge/fee currency if it is a Account Receivable else equivalent amount of charges/fees in Customer Account Currency |
Real |
Nostro / Vostro |
Cr |
Nostro / Vostro Settlement Account |
CCY |
Equivalent Bill amount in the currency of the Nostro / Vostro Account currency. |
Real / Asset |
GL |
Dr |
Bills Discounted |
CCY |
Bill amount in the contract currency. |
Real / Liability |
GL |
Cr |
Profit Collected in Advance on Discounted Bills. |
CCY |
Discounted Profit amount in the contract currency. |
Real |
Customer |
Dr |
Customer Profit Payment Account |
CCY |
Equivalent Discounted Profit amount in the Customer account currency |
Advices
Advice type |
Advice Description |
PAYMENT_ADVICE |
Payment Advice |
RESERVE_RELEASE |
Release of Reserve Advice |
DOC_ARVL_NOTICE |
Document Arrival Notice |
ACKNOWLEDGEMENT |
Acknowledgment Advice |
Stage |
Clean/Doc |
Sight/Usance |
Bill under LC |
FIN |
CLE |
Usance only |
Not Applicable |
Accounting Entries
If any charges/fees are applicable, then the following accounting entries will be passed for each of the charges/fees:
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
Income |
Cr |
Charges/Fees earned |
LCY |
Equivalent charge amount in LCY |
Real |
Customer / Account Receivable |
Dr |
Customer/Charges or Fees Receivable |
CCY |
Equivalent amount of charges/fees in the charge/fee currency if it is a Account Receivable else equivalent amount of charges/fees in Customer Account Currency |
Real |
Nostro |
Cr |
Nostro / Vostro Settlement Account |
CCY |
Equivalent Bill amount in the currency of the Nostro / Vostro Account currency. |
Real / Asset |
GL |
Dr |
Bills Discounted |
CCY |
Bill amount in the contract currency. |
Real / Liability |
GL |
Cr |
Profit Collected in Advance on Discounted Bills. |
CCY |
Discounted Profit amount in the contract currency. |
Real |
Customer |
Dr |
Customer Profit Payment Account |
CCY |
Equivalent Discounted Profit amount in the Customer account currency |
Advices
Advice type |
Advice Description |
PAYMENT_ADVICE |
Payment Advice |
DOC_ARVL_NOTICE |
Document Arrival Notice |
ACKNOWLEDGEMENT |
Acknowledgment Advice |
Stage |
Clean / Doc |
Sight/Usance |
Bill Under LC |
FIN |
DOC |
Sight only |
Yes (Mandatory) |
Accounting Entries
If any charges/fees are applicable, then the following accounting entries will be passed for each of the charges/fees:
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
Income |
Cr |
Charges/Fees earned |
LCY |
Equivalent charge amount in LCY |
Real |
Customer / Account Receivable |
Dr |
Customer / Charges or Fees Receivable |
CCY |
Equivalent amount of charges/fees in the charge/fee currency if it is a Account Receivable else equivalent amount of charges/fees in Customer Account Currency |
Real |
Nostro / Vostro |
Dr |
Nostro / Vostro Settlement Account |
CCY |
Equivalent Bill amount in the currency of the Nostro / Vostro Account currency. |
Real |
Customer |
Cr |
Customer Account |
CCY |
Equivalent amount of the Bill amount being paid in the Customer Account Currency. |
Contingent Liability |
GL |
Dr |
Customer OCU Account |
CCY |
LC OCU decrement entry in the contract currency. This entry will be passed only if the Bill is under an LC confirmed by the Bank. |
Contingent Offset |
GL |
Cr |
GL Contingent Offset Account |
CCY |
LC OCU decrement offset entry in the contract currency. This entry will be passed only if the Bill is under an LC confirmed by the Bank. |
Advices
Advice type |
Advice Description |
RESERVE_RELEASE |
Release of Reserve Advice |
REMITTANCE_LTR |
Remittance Letter |
PAYMENT_ADVICE |
Payment Advice |
Stage |
Clean/Doc |
Sight/Usance |
Under LC |
FIN |
DOC |
Sight only |
No |
Accounting Entries
If any charges/fees are applicable, then the following accounting entries will be passed for each of the charges/fees:
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
Income |
Cr |
Charges/Fees earned |
LCY |
Equivalent charge amount in LCY |
Real |
Customer/ Account Receivable |
Dr |
Customer/Charges or Fees Receivable |
CCY |
Equivalent amount of charges/fees in the charge/fee currency if it is a Account Receivable else equivalent amount of charges/fees in Customer Account Currency |
Real |
GL Asset |
Dr |
Outgoing Bills purchased |
CCY |
Bill Amount in Contract currency. |
Real |
Customer |
Cr |
Customer Account |
CCY |
Equivalent amount of the Bill amount being paid in the Customer Account Currency. |
Real |
GL Liability |
Cr |
Profit collected in advance on Outgoing Bills Purchased |
CCY |
Equivalent Profit amount for the BC contracts in LCY. |
Real |
Customer |
Dr |
Customer Account |
CCY |
Equivalent Profit amount in the Customer Account Currency. |
Advices
Advice type |
Advice Description |
RESERVE_RELEASE |
Release of Reserve Advice |
REMITTANCE_LTR |
Remittance Letter |
Stage |
Clean/Doc |
Sight/Usance |
Bill Under LC |
FIN |
CLE |
Sight only |
Not Applicable |
Accounting Entries
If any charges/fees are applicable, then the following accounting entries will be passed for each of the charges/fees:
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
Income |
Cr |
Charges/Fees earned |
LCY |
Equivalent charge amount in LCY |
Real |
Customer / Account Receivable |
Dr |
Customer/Charges or Fees Receivable |
CCY |
Equivalent amount of charges/fees in the charge/fee currency if it is an Account Receivable else equivalent amount of charges/fees in Customer Account Currency |
Real |
GL Asset |
Dr |
Outgoing Bills purchased |
CCY |
Bill Amount in Contract currency. |
Real |
Customer |
Cr |
Customer Account |
CCY |
Equivalent amount of the Bill amount being paid in the Customer Account Currency. |
Real |
GL Liability |
Cr |
Profit collected in advance on Outgoing Bills Purchased |
CCY |
Equivalent Profit amount for the BC contracts in LCY. |
Real |
Customer |
Dr |
Customer Account |
CCY |
Equivalent Profit amount in the Customer Account Currency. |
Advices
Advice type |
Advice Description |
REMITTANCE_LTR |
Remittance Letter |
PAYMENT_ADVICE |
Payment Advice |
Stage |
Clean/Doc |
Sight/Usance |
Bill Under LC |
FIN |
DOC |
Sight only |
Optional |
Accounting Entries
If any charges/fees are applicable, then the following accounting entries will be passed for each of the charges/fees:
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
Income |
Cr |
Charges/Fees earned |
LCY |
Equivalent charge amount in LCY |
Real |
Customer / Account Receivable |
Dr |
Customer/Charges or Fees Receivable |
CCY |
Equivalent amount of charges/fees in the charge/fee currency if it is a Account Receivable else equivalent amount of charges/fees in Customer Account Currency |
Real / Asset |
GL |
Dr |
Customer’s Outgoing Bills Negotiated |
CCY |
Bill amount in the contract currency. |
Real |
Customer |
Cr |
Customer Account |
CCY |
Equivalent amount of the Bill amount being negotiated in the Customer Account Currency. |
Real / Liability |
GL |
Cr |
Profit Collected in Advance on Outgoing Bills Negotiated |
CCY |
Equivalent amount of the Profit collected in advance in the accrual currency. |
Real |
Customer |
Dr |
Customer Profit Payment Account |
CCY |
Equivalent amount of Profit collected in advance in the Customer Account currency. |
Advices
Advice type |
Advice Description |
RESERVE_RELEASE |
Release of Reserve Advice |
REMITTANCE_LTR |
Remittance Letter |
PAYMENT_ADVICE |
Payment Advice |
Stage |
Clean/Doc |
Sight/Usance |
Bill Under LC |
FIN |
CLE |
Sight only |
Not Applicable |
Accounting Entries
If any charges/fees are applicable, then the following accounting entries will be passed for each of the charges/fees:Advices
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
Income |
Cr |
Charges/Fees earned |
LCY |
Equivalent charge amount in LCY |
Real |
Customer/ Account Receivable |
Dr |
Customer/Charges or Fees Receivable |
CCY |
Equivalent amount of charges/fees in the charge/fee currency if it is a Account Receivable else equivalent amount of charges/fees in Customer Account Currency |
Real / Asset |
GL |
Dr |
Outgoing Bills Negotiated |
CCY |
Bill amount in the contract currency. |
Real |
Customer |
Cr |
Customer Account |
CCY |
Equivalent amount of the Bill amount being negotiated in the Customer Account Currency. |
Real / Liability |
GL |
Cr |
Profit Collected in Advance on Outgoing Bills Negotiated |
CCY |
Equivalent amount of the Profit collected in advance in the accrual currency. |
Real |
Customer |
Dr |
Customer Profit Payment Account |
CCY |
Equivalent amount of Profit collected in advance in the Account currency. |
Advice type |
Advice Description |
REMITTANCE_LTR |
Remittance Letter |
PAYMENT_ADVICE |
Payment Advice |
Stage |
Clean / Doc |
Sight/Usance |
Bill Under LC |
FIN |
DOC |
Usance only |
Optional |
Accounting Entries
If any charges/fees are applicable, then the following accounting entries will be passed for each of the charges/fees:
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
Income |
Cr |
Charges/Fees earned |
LCY |
Equivalent charge amount in LCY |
Real |
Customer /Account Receivable |
Dr |
Customer/Charges or Fees Receivable |
CCY |
Equivalent amount of charges/fees in the charge/fee currency if it is a Account Receivable else equivalent amount of charges/fees in Customer Account Currency |
Real / Contingent Asset |
GL |
Dr |
Bills CLFA Account |
CCY |
Bill amount in the contract currency. |
Real / Contingent Offset |
GL |
Cr |
CLFA Offset Account |
CCY |
Bill amount in the contract currency. |
Contingent Liability |
GL |
Dr |
LCs OCU Account |
CCY |
If the Bill is under an LC and if the export LC has been confirmed by the Bank, then the LC OCU entries will be reversed to the extent of Bill availment. |
Contingent Offset |
GL |
Cr |
Contingent Offset Account |
CCY |
If the Bill is under an LC and if the export LC has been confirmed by the Bank, then the LC OCU entries will be reversed to the extent of Bill availment. |
Real & Asset |
GL |
Dr |
Bills Acceptances Cash Collateral Account |
CCY |
If a Cash Collateral Amount has been entered during the contract input, then the Cash Collateral entries will be passed. |
Real |
Customer |
Cr |
Customer Cash Collateral payment account. |
CCY |
If a Cash Collateral Amount has been entered during the contract input, then the Cash Collateral entries will be passed. |
Advices
Advice type |
Advice Description |
RESERVE_RELEASE |
Release of Reserve Advice |
REMITTANCE_LTR |
Remittance Letter |
PAYMENT_ADVICE |
Payment Advice |
Stage |
Clean/Doc |
Sight/Usance |
Bill Under LC |
FIN |
CLE |
Usance only |
Not applicable |
Accounting Entries
If any charges/fees are applicable, then the following accounting entries will be passed for each of the charges/fees:
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
Income |
Cr |
Charges/Fees earned |
LCY |
Equivae amount in LCY |
Real |
Customer / Account Receivable |
Dr |
Customer/Charges or Fees Receivable |
CCY |
Equivalent amount of charges/fees in the charge/fee currency if it is a Account Receivable else equivalent amount of charges/fees in Customer Account Currency |
Real / Contingent Asset |
GL |
Dr |
Bills CLFA Account |
CCY |
Bill amount in the contract currency. |
Real / Contingent Offset |
GL |
Cr |
CLFA Offset Account |
CCY |
Bill amount in the contract currency. |
Real & Asset |
GL |
Cr |
Bills Acceptances Cash Collateral Account |
CCY |
If a Cash Collateral Amount has been entered during the contract input, then the Cash Collateral entries will be passed. |
Real |
Customer |
Dr |
Customer Cash Collateral payment account. |
CCY |
If a Cash Collateral Amount has been entered during the contract input, then the Cash Collateral entries will be passed. |
Advices
Advice type |
Advice Description |
REMITTANCE_LTR |
Remittance Letter |
PAYMENT_ADVICE |
Payment Advice |
Stage |
Clean / Doc |
Sight/Usance |
Bill under LC |
FIN |
DOC |
Usance only |
Not Applicable |
Accounting Entries
If any charges/fees are applicable, then the following accounting entries will be passed for each of the charges/fees:
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
Income |
Cr |
Charges/Fees earned |
LCY |
Equivalent charge amount in LCY |
Real |
Customer / Account Receivable |
Dr |
Customer/Charges or Fees Receivable |
CCY |
Equivalent amount of charges/fees in the charge/fee currency if it is a Account Receivable else equivalent amount of charges/fees in Customer Account Currency |
Real |
Customer |
Cr |
Customer Settlement Account |
CCY |
Bill amount in the Customer Account currency. |
Real / Asset |
GL |
Dr |
Bills Discounted |
CCY |
Bill amount in the contract currency. |
Real / Liability |
GL |
Cr |
Profit Collected in Advance on Discounted Bills. |
CCY |
Discounted Profit amount in the contract currency. |
Real |
Customer |
Dr |
Customer Profit Payment Account |
CCY |
Equivalent Discounted Profit amount in the Customer account currency |
Advices
Advice type |
Advice Description |
PAYMENT_ADVICE |
Payment Advice |
Stage |
Clean / Doc |
Sight/Usance |
Bill Under LC |
FIN |
CLE |
Sight/Usance |
Not applicable |
FIN |
DOC |
Sight/Usance |
Optional |
Accounting Entries
If any charges/fees are applicable, then the following accounting entries will be passed for each of the charges/fees:
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
Income |
Cr |
Charges/Fees earned |
LCY |
Equivalent charge amount in LCY |
Real |
Customer/ Account Receivable |
Dr |
Customer/Charges or Fees Receivable |
CCY |
Equivalent amount of charges/fees in the charge/fee currency if it is a Account Receivable else equivalent amount of charges/fees in Customer Account Currency |
Real |
Nostro / Vostro |
Cr |
Nostro / Vostro Account of Settlement |
CCY |
Equivalent amount of principal being liquidated in the currency of the Nostro / Vostro Account. |
Real |
Customer/ Account Receivable |
Dr |
Customer/Account Receivable |
CCY |
Equivalent amount of principal being liquidated in the contract currency if it is a Account Receivable else equivalent amount of principal being liquidated in the Customer Account Currency. |
Advices
Advice type |
Advice Description |
PAYMENT_ADVICE |
Payment Advice |
Stage |
Clean / Doc |
Sight/Usance |
Bill Under LC |
FIN |
DOC |
Sight only |
Yes (mandatory) |
Accounting Entries
If any charges/fees are applicable, then the following accounting entries will be passed for each of the charges/fees:
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
Income |
Cr |
Charges/Fees earned |
LCY |
Equivalent charge amount in LCY |
Real |
Customer / Account Receivable |
Dr |
Customer/Charges or Fees Receivable |
CCY |
Equivalent amount of charges/fees in the charge/fee currency if it is a Account Receivable else equivalent amount of charges/fees in Customer Account Currency |
Real |
Nostro / Vostro |
Cr |
Nostro / Vostro Account of Settlement |
CCY |
Equivalent amount of Bill amount being paid in the currency of the Nostro / Vostro Account. |
Real |
Customer |
Dr |
Customer Account |
CCY |
Equivalent amount of the Bill amount being paid in the Customer Account Currency. |
If contingent entries were defined for the event
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Contingent Liability |
GL |
Dr |
LC OCU Account |
CCY |
LC OCU decrement entry in the contract currency. |
Contingent Offset |
GL |
Cr |
Contingent Offset Account |
CCY |
LC OCU decrement offset entry in the contract currency. |
Advices:
Advice type |
Advice Description |
PAYMENT_ADVICE |
Payment Advice |
Stage |
Clean / Doc |
Sight/Usance |
Bill Under LC |
FIN |
DOC |
Sight only |
Yes (mandatory) |
Accounting Entries
If any charges/fees are applicable, then the following accounting entries will be passed for each of the charges/fees:
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
Income |
Cr |
Charges/Fees earned |
LCY |
Equivalent charge amount in LCY |
Real |
Customer / Account Receivable |
Dr |
Customer/Charges or Fees Receivable |
CCY |
Equivalent amount of charges/fees in the charge/fee currency if it is a Account Receivable else equivalent amount of charges/fees in Customer Account Currency |
Real |
GL |
Cr |
Advance under LCs |
CCY |
Bill amount that was advanced under the LC in the contract currency. |
Real |
Customer |
Dr |
Customer Payment Account |
CCY |
Equivalent amount of the Bill amount being that was advanced, in the Customer Account Currency. |
Real |
GL |
Cr |
Profit Earned Not Collected |
CCY |
Profit for Bill in the Accrual Currency of the BC contract. |
Real |
Customer |
Dr |
Customer Profit Payment Account |
CCY |
Equivalent amount of Profit in the Customer Account Currency. |
Advices
Advice type |
Advice Description |
PAYMENT_ADVICE |
Debit Advice |
Stage |
Clean / Doc |
Sight/Usance |
Bill Under LC |
FIN |
DOC |
Usance only |
Optional |
Accounting Entries
If any charges/fees are applicable, then the following accounting entries will be passed for each of the charges/fees:
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
Income |
Cr |
Charges/Fees earned |
LCY |
Equivalent charge amount in LCY |
Real |
Customer/ Account Receivable |
Dr |
Customer/Charges or Fees Receivable |
CCY |
Equivalent amount of charges/fees in the charge/fee currency if it is a Account Receivable else equivalent amount of charges/fees in Customer Account Currency |
Real / Contingent |
GL |
Cr |
CLFA Account |
CCY |
Bill amount in the contract currency. |
Real / Contingent |
GL |
Dr |
CLFA Offset Account |
CCY |
Bill amount in the contract currency. |
Real |
Nostro / Vostro |
Cr |
Nostro / Vostro Settlement Account |
CCY |
Equivalent Bill amount in the currency of the Nostro / Vostro Account currency. |
Real |
Customer |
Dr |
Customer Payment Account |
CCY |
Equivalent Bill amount in the Customer account currency |
Advices
Advice type |
Advice Description |
PAYMENT_ADVICE |
Payment Advice |
Stage |
Clean / Doc |
Sight/Usance |
Bill Under LC |
FIN |
CLE |
Usance only |
Not applicable |
Accounting Entries
If any charges/fees are applicable, then the following accounting entries will be passed for each of the charges/fees:
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
Income |
Cr |
Charges/Fees earned |
LCY |
Equivalent charge amount in LCY |
Real |
Customer/ Account Receivable |
Dr |
Customer/Charges or Fees Receivable |
CCY |
Equivalent amount of charges/fees in the charge/fee currency if it is an Account Receivable else equivalent amount of charges/fees in Customer Account Currency. |
Real / Contingent |
GL |
Cr |
CLFA Account |
CCY |
Bill amount in the contract currency. |
Real / Contingent |
GL |
Dr |
CLFA Offset Account |
CCY |
Bill amount in the contract currency. |
Real |
Nostro / Vostro |
Cr |
Nostro / Vostro Settlement Account |
CCY |
Equivalent Bill amount in the currency of the Nostro / Vostro Account currency. |
Real |
Customer |
Dr |
Customer Payment Account |
CCY |
Equivalent Bill amount in the Customer account currency. |
Advices
Advice type |
Advice Description |
PAYMENT_ADVICE |
Payment Advice |
Stage |
Clean / Doc |
Sight/Usance |
Under Our LC |
FIN |
DOC |
Usance only |
Optional |
Accounting Entries
If any charges/fees are applicable, then the following accounting entries will be passed for each of the charges/fees:
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
Income |
Cr |
Charges/Fees earned |
LCY |
Equivalent charge amount in LCY |
Real |
Customer / Account Receivable |
Dr |
Customer/Charges or Fees Receivable |
CCY |
Equivalent amount of charges/fees in the charge/fee currency if it is a Account Receivable else equivalent amount of charges/fees in Customer Account Currency |
Real / Asset |
GL |
Cr |
Bills Discounted |
CCY |
Bill amount in the contract currency. |
Real |
Customer |
Dr |
Customer Payment Account |
CCY |
Equivalent Bill amount in the Customer account currency |
Advices
Advice type |
Advice Description |
PAYMENT_ADVICE |
Payment Advice |
Stage |
Clean/Doc |
Sight/Usance |
Under Our LC |
FIN |
CLE |
Usance only |
Not Applicable |
Accounting Entries
If any charges/fees are applicable, then the following accounting entries will be passed for each of the charges/fees:
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
Income |
Cr |
Charges/Fees earned |
LCY |
Equivalent charge amount in LCY |
Real |
Customer / Account Receivable |
Dr |
Customer/Charges or Fees Receivable |
CCY |
Equivalent amount of charges/fees in the charge/fee currency if it is a Account Receivable else equivalent amount of charges/fees in Customer Account Currency |
Real / Asset |
GL |
Cr |
Bills Discounted |
CCY |
Bill amount in the contract currency. |
Real |
Customer |
Dr |
Customer Payment Account |
CCY |
Equivalent Bill amount in the Customer account currency |
Advices
Advice type |
Advice Description |
PAYMENT_ADVICE |
Payment Advice |
Stage |
Clean / Doc |
Sight/Usance |
Bill Under LC |
FIN |
CLE |
Sight/Usance |
Not applicable |
FIN |
DOC |
Sight/Usance |
Optional |
Accounting Entries:
If any charges/fees are applicable, then the following accounting entries will be passed for each of the charges/fees:
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
Income |
Cr |
Charges/Fees earned |
LCY |
Equivalent charge amount in LCY |
Real |
Customer / Account Receivable |
Dr |
Customer/Charges or Fees Receivable |
CCY |
Equivalent amount of charges/fees in the charge/fee currency if it is a Account Receivable else equivalent amount of charges/fees in Customer Account Currency |
Real |
Nostro / Vostro |
Dr |
Nostro / Vostro Account of Settlement |
CCY |
Equivalent amount of principal being liquidated in the currency of the Nostro/Vostro Account. |
Real |
Customer / Account Payable |
Cr |
Customer/Account Payable |
CCY |
Equivalent amount of principal being liquidated in the contract currency if it is Account Payable else equivalent amount of principal being liquidated in the Debit Account Currency. |
Advices
Advice type |
Advice Description |
PAYMENT_ADVICE |
Payment Advice |
Stage |
Clean / Doc |
Sight/Usance |
Bill Under LC |
FIN |
DOC |
Sight only |
Yes (Mandatory) |
Accounting Entries (If contingent entries are defined for the event)
GL Type |
A/C Type |
Dr/Cr |
Account Description |
Amount |
Contingent Asset |
GL |
Cr |
Outgoing Bills under LCs paid |
Bill amount in the contract currency. |
Contingent Offset |
GL |
Dr |
Outgoing Bills under LC’S paid Offset Account |
Bill amount in the contract currency. |
Advices
Advice type |
Advice Description |
PAYMENT_ADVICE |
Payment Advice |
Stage |
Clean / Doc |
Sight/Usance |
Bill Under LC |
FIN |
DOC |
Sight only |
No |
Accounting Entries
GL Type |
A/C Type |
Dr/Cr |
Account Description |
Amount |
Real |
GL Asset |
Cr |
Outgoing Bills purchased |
Bill Amount in Contract currency. |
Real |
Nostro / Vostro |
Dr |
Nostro / Vostro Account of Settlement |
Equivalent amount of the Bill amount being paid in the Nostro / Vostro Settlement Account Currency. |
Advices
None
Stage |
Clean/Doc |
Sight/Usance |
Bill Under LC |
FIN |
CLE |
Sight only |
Not Applicable |
Accounting Entries
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
GL Asset |
Cr |
Outgoing Bills purchased |
CCY |
Bill Amount in Contract currency. |
Real |
Nostro / Vostro |
Dr |
Nostro / Vostro Account of Settlement |
CCY |
Equivalent amount of the Bill amount being paid in the Nostro / Vostro Settlement Account Currency. |
Advices
None
Stage |
Clean/Doc |
Sight/Usance |
Bill Under LC |
FIN |
DOC |
Sight only |
Optional |
Accounting Entries
If any charges/fees are applicable, then the following accounting entries will be passed for each of the charges/fees:
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
Income |
Cr |
Charges/Fees earned |
LCY |
Equivalent charge amount in LCY |
Real |
Customer / Account Receivable |
Dr |
Customer/Charges or Fees Receivable |
CCY |
Equivalent amount of charges/fees in the charge/fee currency if it is a Account Receivable else equivalent amount of charges/fees in Customer Account Currency |
Real / Asset |
GL |
Cr |
Outgoing Bills Negotiated |
CCY |
Bill amount in the contract currency. |
Real |
Nostro / Vostro |
Dr |
Nostro / Vostro Settlement Account |
CCY |
Equivalent amount of the Bill amount in the Nostro / Vostro Account Currency. |
Advices
Advice type |
Advice Description |
PAYMENT_ADVICE |
Payment Advice |
Stage |
Clean / Doc |
Sight/Usance |
Bill Under LC |
FIN |
CLE |
Sight only |
Not Applicable |
Accounting Entries
If any charges/fees are applicable, then the following accounting entries will be passed for each of the charges/fees:
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
Income |
Cr |
Charges/Fees earned |
LCY |
Equivalent charge amount in LCY |
Real |
Customer / Account Receivable |
Dr |
Customer/Charges or Fees Receivable |
CCY |
Equivalent amount of charges/fees in the charge/fee currency if it is a Account Receivable else equivalent amount of charges/fees in Customer Account Currency |
Real / Asset |
GL |
Cr |
Outgoing Bills Negotiated |
CCY |
Bill amount in the contract currency. |
Real |
Nostro /Vostro |
Dr |
Nostro/Vostro Settlement Account |
CCY |
Equivalent amount of the Bill amount in the Nostro/Vostro Account Currency. |
Advices
Advice type |
Advice Description |
PAYMENT_ADVICE |
Payment Advice |
Stage |
Clean / Doc |
Sight/Usance |
Bill Under LC |
FIN |
DOC |
Usance only |
Optional |
Accounting Entries
If any charges/fees are applicable, then the following accounting entries will be passed for each of the charges/fees:
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
Income |
Cr |
Charges/Fees earned |
LCY |
Equivalent charge amount in LCY |
Real |
Customer/Account Receivable |
Dr |
Customer/Charges or Fees Receivable |
CCY |
Equivalent amount of charges/fees in the charge/fee currency if it is a Account Receivable else equivalent amount of charges/fees in Customer Account Currency |
Real / Contingent |
GL |
Cr |
CLFA Account |
CCY |
Bill amount in the contract currency. |
Real / Contingent |
GL |
Dr |
CLFA Offset Account |
CCY |
Bill amount in the contract currency. |
Real |
Nostro / Vostro |
Dr |
Nostro / Vostro Settlement Account |
CCY |
Equivalent Bill amount in the currency of the Nostro / Vostro Account currency. |
Real |
Customer |
Cr |
Customer Settlement Account |
CCY |
Equivalent Bill amount in the Customer Settlement currency |
Advices
Advice type |
Advice Description |
PAYMENT_ADVICE |
Payment Advice |
Stage |
Clean/Doc |
Sight/Usance |
Bill Under LC |
FIN |
CLE |
Usance only |
Not Applicable |
Accounting Entries
If any charges/fees are applicable, then the following accounting entries will be passed for each of the charges/fees:
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
Income |
Cr |
Charges/Fees earned |
LCY |
Equivalent charge amount in LCY |
Real |
Customer / Account Receivable |
Dr |
Customer/ Charges or Fees Receivable |
CCY |
Equivalent amount of charges/fees in the charge/fee currency if it is a Account Receivable else equivalent amount of charges/fees in Customer Account Currency |
Real / Contingent |
GL |
Cr |
CLFA Account |
CCY |
Bill amount in the contract currency. |
Real / Contingent |
GL |
Dr |
CLFA Offset Account |
CCY |
Bill amount in the contract currency. |
Real |
Nostro / Vostro |
Dr |
Nostro / Vostro Settlement Account |
CCY |
Equivalent Bill amount in the currency of the Nostro / Vostro Account currency. |
Real |
Customer |
Cr |
Customer Settlement Account |
CCY |
Equivalent Bill amount in the Customer Settlement account currency |
Advices
Advice type |
Advice Description |
PAYMENT_ADVICE |
Payment Advice |
Stage |
Clean / Doc |
Sight/Usance |
Under Our LC |
FIN |
DOC |
Usance only |
Optional |
Accounting Entries
If any charges/fees are applicable, then the following accounting entries will be passed for each of the charges/fees:
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
Income |
Cr |
Charges/Fees earned |
LCY |
Equivalent charge amount in LCY |
Real |
Customer / Account Receivable |
Dr |
Customer/Charges or Fees Receivable |
CCY |
Equivalent amount of charges/fees in the charge/fee currency if it is a Account Receivable else equivalent amount of charges/fees in Customer Account Currency |
Real / Asset |
GL |
Cr |
Bills Discounted |
CCY |
Bill amount in the contract currency. |
Real |
Nostro / Vostro |
Dr |
Nostro / Vostro Settlement Account |
CCY |
Equivalent Bill amount in the currency of the Nostro / Vostro Account currency. |
Advices
Advice type |
Advice Description |
PAYMENT_ADVICE |
Payment Advice |
Stage |
Clean / Doc |
Sight/Usance |
Under Our LC |
FIN |
CLE |
Usance only |
Not Applicable |
Accounting Entries
If any charges/fees are applicable, then the following accounting entries will be passed for each of the charges/fees:
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
Income |
Cr |
Charges/Fees earned |
LCY |
Equivalent charge amount in LCY |
Real |
Customer / Account Receivable |
Dr |
Customer/Charges or Fees Receivable |
CCY |
Equivalent amount of charges/fees in the charge/fee currency if it is a Account Receivable else equivalent amount of charges/fees in Customer Account Currency |
Real / Asset |
GL |
Cr |
Bills Discounted |
CCY |
Bill amount in the contract currency. |
Real |
Nostro / Vostro |
Dr |
Nostro / Vostro Settlement Account |
CCY |
Equivalent Bill amount in the currency of the Nostro / Vostro Account currency. |
Advices:
Advice type |
Advice Description |
PAYMENT_ADVICE |
Payment Advice |
The following amount tags are provided for collateral liquidation as a part of Bill liquidation:
Amount Tag |
Description |
COLL_LIQ_AMT |
Collateral Liquidation Amount |
COLL_LIQ_AMT_EQ |
Collateral Liquidation Amount |
The related Accounting Roles are as follows:
Dr/Cr |
Accounting role |
Amount tag |
Dr |
BILL COLLATERAL |
COLL_LIQ_AMT |
Cr |
Nostro Account |
COLL_LIQ_AMTEQ |
Stage |
Clean / Doc |
Sight/Usance |
Bill Under LC |
INI |
DOC |
Sight Only |
Yes (mandatory) |
Accounting Entries
None
Advices
None
Stage |
Clean / Doc |
Sight/Usance |
Bill Under LC |
INI |
DOC |
Usance only |
Optional |
Accounting Entries
None
Advices
None
Stage |
Clean / Doc |
Sight/Usance |
Bill Under LC |
FIN |
DOC |
Usance only |
Optional |
Accounting Entries
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real / Contingent |
GL |
Cr |
CLFA Account |
CCY |
Bill amount in the contract currency. |
Real / Contingent |
GL |
Dr |
CLFA Offset Account |
CCY |
Bill amount in the contract currency. |
Advices
None
Stage |
Clean / Doc |
Sight/Usance |
Bill Under LC |
FIN |
CLE |
Usance only |
Not Applicable |
Accounting Entries
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real / Contingent |
GL |
Cr |
CLFA Account |
CCY |
Bill amount in the contract currency. |
Real / Contingent |
GL |
Dr |
CLFA Offset Account |
CCY |
Bill amount in the contract currency. |
Advices
None
Stage |
Clean / Doc |
Sight/Usance |
Bill Under LC |
FIN |
DOC |
Usance only |
Optional |
Accounting Entries
If any charges/fees are applicable, then the following accounting entries will be passed for each of the charges/fees:
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
Income |
Cr |
Charges/Fees earned |
LCY |
Equivalent charge amount in LCY |
Real |
Customer / Account Receivable |
Dr |
Customer/Charges or Fees Receivable |
CCY |
Equivalent amount of charges/fees in the charge/fee currency if it is a Account Receivable else equivalent amount of charges/fees in Customer Account Currency |
Real/Cont. Asset |
GL |
Cr |
Bills CLFA Account |
CCY |
Bill amount in the contract currency. |
Real/Cont. Offset |
GL |
Dr |
CLFA Offset Account |
CCY |
Bill amount in the contract currency. |
Advices
Advice type |
Advice Description |
PAYMENT_ADVICE |
Payment Advice |
Stage |
Clean / Doc |
Sight/Usance |
Bill Under LC |
FIN |
CLE |
Usance only |
Optional |
Accounting Entries
If any charges/fees are applicable, then the following accounting entries will be passed for each of the charges/fees:
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
Income |
Cr |
Charges/Fees earned |
LCY |
Equivalent charge amount in LCY |
Real |
Customer / Account Receivable |
Dr |
Customer/Charges or Fees Receivable |
CCY |
Equivalent amount of charges/fees in the charge/fee currency if it is a Account Receivable else equivalent amount of charges/fees in Account Currency |
Real / Contingent Asset |
GL |
Cr |
Bills CLFA Account |
CCY |
Bill amount in the contract currency. |
Real / Contingent Offset |
GL |
Dr |
CLFA Offset Account |
CCY |
Bill amount in the contract currency. |
Advices
Advice type |
Advice Description |
PAYMENT_ADVICE |
Payment Advice |
Stage |
Clean/Doc |
Sight/Usance |
Bill Under LC |
REG (Incoming) |
CLE |
Sight/Usance |
Not applicable |
REG (Incoming) |
DOC |
Sight/Usance |
Optional |
REG (Outgoing) |
CLE |
Sight/Usance |
Not applicable |
REG (Outgoing) |
DOC |
Sight/Usance |
Optional |
Accounting Entries
None
Advices
None
Stage |
Clean/Doc |
Sight/Usance |
Bill Under LC |
FIN |
DOC |
Usance only |
Optional |
Accounting Entries
If any charges/fees are applicable, then the following accounting entries will be passed for each of the charges/fees:
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
Income |
Cr |
Charges/Fees earned |
LCY |
Equivalent charge amount in LCY |
Real |
Customer/Account Receivable |
Dr |
Customer/Charges or Fees Receivable |
CCY |
Equivalent amount of charges/fees in the charge/fee currency if it is a Account Receivable else equivalent amount of charges/fees in Customer Account Currency |
Real |
Customer |
Cr |
Customer Account |
CCY |
Equivalent Bill amount in the currency of the Nostro / Vostro Account currency. |
Real / Asset |
GL |
Dr |
Bill Acceptances Discounted |
CCY |
Bill amount in the contract currency. |
Real / Liability |
GL |
Cr |
Profit Collected in Advance on Discounted Bills. |
CCY |
Discounted Profit amount in the contract currency. |
Real |
Customer |
Dr |
Customer Profit Payment Account |
CCY |
Equivalent Discounted Profit amount in the Customer account currency |
Real / Contingent |
GL |
Cr |
CLFA Account |
CCY |
Bill amount in the contract currency. |
Real/ Contingent |
GL |
Dr |
CLFA Offset Account |
CCY |
Bill amount in the contract
currency. |
Advices
Advice type |
Advice Description |
PAYMENT_ADVICE |
Payment Advice |
Stage |
Clean/Doc |
Sight/Usance |
Bill Under LC |
FIN |
CLE |
Usance only |
Not Applicable |
Accounting Entries
If any charges/fees are applicable, then the following accounting entries will be passed for each of the charges/fees:
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
Income |
Cr |
Charges/Fees earned |
LCY |
Equivalent charge amount in LCY |
Real |
Customer / Account Receivable |
Dr |
Customer/Charges or Fees Receivable |
CCY |
Equivalent amount of charges/fees in the charge/fee currency if it is a Account Receivable else equivalent amount of charges/fees in Customer Account Currency |
Real |
Customer |
Cr |
Customer Account |
CCY |
Equivalent Bill amount in the currency of the Nostro / Vostro Account currency. |
Real / Asset |
GL |
Dr |
Bill Acceptances Discounted |
CCY |
Bill amount in the contract currency. |
Real / Liability |
GL |
Cr |
Profit Collected in Advance on Discounted Bills. |
CCY |
Discounted Profit amount in the contract currency. |
Real |
Customer |
Dr |
Customer Profit Payment Account |
CCY |
Equivalent Discounted Profit amount in the Customer account currency |
Real / Contingent |
GL |
Cr |
CLFA Account |
CCY |
Bill amount in the contract currency. |
Real / Contingent |
GL |
Dr |
CLFA Offset Account |
CCY |
Bill amount in the contract currency. |
Advices
Advice type |
Advice Description |
PAYMENT_ADVICE |
Payment Advice |
Stage |
Clean / Doc |
Sight/Usance |
Bill Under LC |
FIN |
DOC |
Usance only |
Optional |
Accounting Entries
If any charges/fees are applicable, then the following accounting entries will be passed for each of the charges/fees:
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
Income |
Cr |
Charges/Fees earned |
LCY |
Equivalent charge amount in LCY |
Real |
Customer / Account Receivable |
Dr |
Customer/Charges or Fees Receivable |
CCY |
Equivalent amount of charges/fees in the charge/fee currency if it is a Account Receivable else equivalent amount of charges/fees in Customer Account Currency |
Real |
Customer |
Cr |
Customer Settlement Account |
CCY |
Bill amount in the contract currency. |
Real / Asset |
GL |
Dr |
Bill Acceptances Discounted |
CCY |
Bill amount in the contract currency. |
Real / Liability |
GL |
Cr |
Profit Collected in Advance on Discounted Bills. |
CCY |
Discounted Profit amount in the contract currency. |
Real |
Customer |
Dr |
Customer Profit Payment Account |
CCY |
Equivalent Discounted Profit amount in the Customer account currency |
Real / Contingent |
GL |
Cr |
Bills CLFA Account |
CCY |
Bill amount in the contract currency. |
Real / Contingent |
GL |
Dr |
CLFA Offset Account |
CCY |
Bill amount in the contract currency. |
Advices
Advice type |
Advice Description |
PAYMENT_ADVICE |
Payment Advice |
Stage |
Clean / Doc |
Sight/Usance |
Bill Under LC |
FIN |
CLE |
Usance only |
Optional |
Accounting Entries
If any charges/fees are applicable, then the following accounting entries will be passed for each of the charges/fees:
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
Income |
Cr |
Charges/Fees earned |
LCY |
Equivalent charge amount in LCY |
Real |
Customer/ Account Receivable |
Dr |
Customer/Charges or Fees Receivable |
CCY |
Equivalent amount of charges/fees in the charge/fee currency if it is a Account Receivable else equivalent amount of charges/fees in Customer Account Currency |
Real |
Customer |
Cr |
Customer Account |
CCY |
Equivalent Bill amount in the Customer Account currency. |
Real / Asset |
GL |
Dr |
Bill Acceptances Discounted |
CCY |
Bill amount in the contract currency. |
Real / Liability |
GL |
Cr |
Profit Collected in Advance on Discounted Bills. |
CCY |
Discounted Profit amount in the contract currency. |
Real |
Customer |
Dr |
Customer Profit Payment Account |
CCY |
Equivalent Discounted Profit amount in the Customer account currency |
Real / Contingent |
GL |
Cr |
CLFA Account |
CCY |
Bill amount in the contract currency. |
Real/Contingent |
GL |
Dr |
CLFA Offset Account |
CCY |
Bill amount in the contract currency. |
Advices
Advice type |
Advice Description |
PAYMENT_ADVICE |
Payment Advice |
Bill Type |
Operation |
Stage |
Clean / Doc |
Sight/Usance |
Under Our LC |
* |
* |
* |
* |
Usance only |
* |
* All types of BC Products applicable
Accounting Entries
None
Advices
Bill Type |
Advice type |
Advice Description |
OUT |
ACCEPTANCE_ADV |
Advice of Acceptance |
INC |
ACCEPTANCE_ADV |
Advice of Acceptance |
Reverse out all the accounting entries booked for the contract till date.
Reverse the accounting entries of the last version creating event.
Bill Type |
Operation |
Stage |
Clean / Doc |
Sight/Usance |
Under Our LC |
* |
* |
* |
* |
* |
* |
All types of BC Products
Accounting Entries
All the Accounting Entries that were passed during the life cycle of the BC Contract will be reversed out.
Advices
None
Bill Type |
Operation |
Stage |
Clean / Doc |
Sight/Usance |
Under Our LC |
* |
* |
* |
* |
* |
* |
* All types of BC Products for which profit is applicable
Profit Accruals will be done during initiation of a BC Contract as well as by the EOC Automatic Profit Accrual Function. During Contract initiation, if profit is applicable for the product and if the profit start date is less than the today’s system date, then profit accruals till yesterday will be done. The normal profit accruals will be done by the EOC automatic profit accrual function.
Accounting Entries
If the Profit on the Bill is collected in arrears, then the following profit accrual entries will be passed:
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
GL - Income |
Cr |
Profit earned |
LCY |
Equivalent profit accrual amount in LCY |
Real |
GL Asset/IENC |
Dr/Cr |
Profit Earned Not Collected |
CCY |
Equivalent profit accrual amount in the accrual currency |
If the Profit on the Bill is collected in advance, then the following profit accrual entries will be passed:
GL Type |
A/C Type |
Dr/Cr |
Account Description |
CCY |
Amount |
Real |
GL |
Cr |
Profit earned |
LCY |
Equivalent profit accrual amount in LCY. |
Real |
GL Liability/UI |
Dr |
Unearned Profit / Profit collected in advance |
CCY |
Equivalent Bill amount in the accrual currency. |
Advices
None
Bill Type |
Operation |
Stage |
Clean/Doc |
Sight/Usance |
Under Our LC |
* |
* |
* |
* |
* |
* |
* All types of BC products
Accounting Entries
None
Advices
None
Bill Type |
Operation |
Stage |
Clean/Doc |
Sight/Usance |
Under Our LC |
* |
* |
* |
* |
* |
* |
* All types of BC Products applicable
Accounting Entries
None
Advices
Bill Type |
Advice type |
Advice Description |
OUT |
RESERVE_RELEASE |
Advice of Discharge |
INC |
RESERVE_RELEASE |
Advice of Discharge |
Bill Type |
Operation |
Stage |
Clean / Doc |
Sight/Usance |
Under Our LC |
* |
* |
* |
* |
Usance only |
* |
* Al types of BC Products applicable
Accounting Entries
None
Advices
Bill Type |
Advice type |
Advice Description |
OUT |
ACCEPT_REFUSAL |
Advice of Refusal |
INC |
ACCEPT_REFUSAL |
Advice of Refusal |
Bill Type |
Operation |
Stage |
Clean / Doc |
Sight/Usance |
Under Our LC |
* |
* |
* |
* |
* |
* |
* All types of BC Products applicable
Accounting Entries
None
Advices
Bill Type |
Advice type |
Advice Description |
OUT |
PAYMENT_REFUSAL |
Advice of Refusal |
INC |
PAYMENT_REFUSAL |
Advice of Refusal |
Bill Type |
Operation |
Stage |
Clean / Doc |
Sight/Usance |
Under Our LC |
* |
* |
* |
* |
* |
* |
* Al types of BC Products applicable
Accounting Entries
None
Advices
Bill Type |
Advice type |
Advice Description |
Recipient |
OUT |
PRINCIPAL_FATE |
Advice of Fate and Request for Instructions |
Drawer |
INC |
PRINCIPAL_FATE |
Advice of Fate and Request for Instructions |
Remitting / Collecting Bank |
Bill Type |
Operation |
Stage |
Clean/Doc |
Sight/Usance |
Under Our LC |
* |
* |
* |
* |
Usance only |
* |
* All types of BC Products applicable
Accounting Entries
None
Advices
Bill Type |
Advice type |
Advice Description |
INC |
ACCEPTANCE_TRCR |
Tracer for Acceptance |
OUT |
ACCEPTANCE_TRCR |
Tracer for Acceptance |
Bill Type |
Operation |
Stage |
Clean / Doc |
Sight/Usance |
Under Our LC |
* |
* |
* |
* |
* |
* |
* All type of BC Products applicable
Accounting Entries
None
Advices
Bill Type |
Advice type |
Advice Description |
INC |
PAYMENT_TRCR |
Tracer for Payment |
OUT |
PAYMENT_TRCR |
Tracer for Payment |
Operation |
Stage |
Clean/Doc |
Sight/Usance |
Under Our LC |
* |
* |
* |
* |
* |
* Al types of BC Products applicable
Accounting Entries
None
Advices
Bill Type |
Advice type |
Advice Description |
INC |
DISCAPPRVL_TRCR |
Tracer for Approval of Discrepancies |
Operation |
Stage |
Clean / Doc |
Sight/Usance |
Under Our LC |
* |
* |
* |
* |
* |
* All types of BC Products applicable
Accounting Entries
None
Advices
Bill Type |
Advice type |
Advice Description |
OUT |
REL_OF_RES_TRCR |
Tracer for Release of Reserve |
Operation |
Stage |
Clean / Doc |
Sight/Usance |
Under LC |
* |
* |
* |
* |
* |
* All types of BC Products applicable
Accounting Entries
None
Advices
Advice type |
Advice Description |
DOC_ARVL_NOTICE |
Document Arrival Notice |
Accounting Entries
Event |
Accounting Role |
Amount Tag |
Dr./Cr. Indicator |
ROLL |
ROLL_BRIDGE_GL |
PRINCIPAL_ROLL |
Debit |
ROLL |
ADV UNDER LCS |
PRINCIPAL_ROLL |
Credit |
INIT |
ADV UNDER LCS |
PRINCIPAL_ROIN |
Debit |
INIT |
ROLL_BRIDGE_GL |
PRINCIPAL_ROIN |
Credit |
INIT |
LC_BC_COLL_BRIDGE |
CASH_COLL_AMT |
Debit |
INIT |
BILL COLLATERAL |
CASH_COLL_AMTEQ |
Credit |
Amount Tags
Amount Tag |
Description |
PRINCIPAL_ROLL |
Rollover Amount |
PRINCIPAL_ROIN |
Principal Amount |
Here, LC_COMM component and LC_CHG component are defined in the LC product where the Collect LC Commission in Bills option is checked.
Sl No |
Accounting Role |
Description |
1. |
LC_CHG_COMP_RECV |
LC Charges Receivable |
2. |
LC_COMM_COMPRECV |
LC Commission Receivable. |
3. |
BC_LC__CHG_COMP_RECV |
BC Charges Receivable from LC |
4. |
BC_LC_COMM_COMPRECV |
BC Commission Receivable from BC |
The following accounting roles are maintained in the INIT, LIQD and AMND events of Bills.
Accounting Roles
Accounting role |
Description |
LC_CHG_COMP_RECV |
LC Charges Receivable |
LC_COMM_COMPRECV |
LC Commission Receivable |
BC_LC_CHG__COMP_RECV |
Bills Charges Receivable |
BC_LC_COMM_COMPRECV |
Bills Commission Receivable |
The LC_CHG_COMP_RECV and LC_COMM_COMPRECV roles defined as a part of the Bills product are mapped onto the GL’s same as the ones mapped in the LC product. This is operationally controlled and the system does not ensure the same.
The BC_LC_CHG_COMP_RECV and BC_LC_COMM_COMPRECV roles defined as a part of the Bills product are mapped to the BILLS receivable GL .This is used to transfer the amount from LC receivable GL to BILLS receivable GL.
Amount Tags
The amount tags for the receivable charge and receivable commission propagated from LC to Bills are as follows:
Amount Tag |
Description |
LC_CHG_TFR |
LC Charge being transferred. |
LC_COMM_TFR |
LC Commission being transferred. |
LC_CHG_TFR_LIQD |
LC transferred Charge being liquidated. |
LC_COMM_TFR_LIQD |
LC transferred Commission being liquidated |
Accounting Entries
The accounting entries as a part of the Bill initiation/Liquidation/Amendment with regards to the commission an charges transferred from the LC are as follows:
Dr/Cr |
Accounting role |
Amount tag propagated from LC |
Dr |
BC_LC_COMM_COMPRECV |
LC_COMM_TFR |
Cr |
LC_COMM_COMPRECV |
LC_COMM_TFR |
Dr |
BC_LC_CHG_COMP_RECV |
LC_CHG_TFR |
Cr |
LC_CHG_COMP_RECV |
LC_CHG_TFR |
These accounting entries may not be maintained as part of either of the events where the system does not pass any accounting with regards to transfer of charge onto Bills.
Accounting role |
Description |
LC_BC_COLL_BRIDGE |
Collateral bridge between LC and Bills |
This accounting role is used to transfer the collaterals from the LC onto the Bill. This role maps onto the GL/Account maintained as a part of the LC product preference.Bill Crystallization Accounting Roles and Amount Tags
The event to indicate crystallization of the bill is CRST.
The following are the Accounting Roles and Amount tags available to define the accounting entries for the crystallization event of the bills.
Amount Tag |
Description |
BC_CRST_TFR_AMT |
Bill Amount to be crystallized |
BC_CRST_LIQ_AMT |
Total Bill Amount to be liquidated |
BC_CRST_COLL_LIQ_AMT |
Bill Amount to be liquidated against Collateral |
LC COMM COMP _TFR_LIQD |
Commission Amount to be liquidated |
LC CHARGE COMP _TFR_LIQD |
Charge Amount to be liquidated |
LC COMM COMP _TFR |
Commission Amount to be transferred onto Finance |
LC CHARGE COMP _TFR |
Charge Amount to be transferred onto Finance |
Accounting Role |
Description |
BC SUSPENSE |
BC LD Bridge GL |
BC_COMM_RECV |
Bills Commission Receivable |
BC_CHG_RECV |
Bills Charge Receivable |
The amount tag – BC_CRST_TFR_AMT contains the amount input in crystallization preference of the bills contract. BC_CRST_COLL_LIQ_AMT contains the collateral amount to be liquidated as captured in the bills crystallization preference.
BC_CRST_CHG_LIQ_AMT and BC_CRST_COMM_LIQ_AMT contains the charge and commission amounts respectively if the option – “Liquidate charge / commission from LC “is selected in the crystallization preference, else, the amount tags - BC_CRST_CHG_TFR_AMT and BC_CRST_COMM_TFR_AMT contain the amounts.
The amount tags - BC_CRST_LIQ_AMT contain the Total Bill Outstanding amount minus Bill Amount to be crystallized minus Collateral amount to be liquidated.
The following Accounting entries are setup as a part of the crystallization event:
Event |
Accounting Role |
Dr/Cr |
Amount Tag |
CRST |
Customer Account |
Dr |
BC_CRST_LIQ_AMT |
CRST |
Nostro Account |
Cr |
BC_CRST_LIQ_AMT_EQ |
CRST |
BC SUSPENSE |
Dr |
BC_CRST_TFR_AMT |
CRST |
Nostro Account |
Cr |
BC_CRST_TFR_AMT_EQ |
CRST |
BC SUSPENSE |
Dr |
LC COMM COMP _ TFR |
CRST |
BC_COMM_RECV |
Cr |
LC COMM COMP _ TFR |
CRST |
BC SUSPENSE |
Dr |
LC CHARGE COMP _ TFR |
CRST |
BC_CHG_RECV |
Cr |
LC CHARGE COMP _ TFR |
CRST |
Customer Account |
Dr |
LC COMM COMP _ TFR_LIQD |
CRST |
LC COMM COMP _RECV |
Cr |
LC COMM COMP _ TFR_LIQD |
CRST |
Customer Account |
Dr |
LC CHARGE COMP _ TFR_LIQD |
CRST |
LC CHARGE COMP_RECV |
Cr |
LC CHARGE COMP _ TFR_LIQD |
CRST |
BCCOL_DEP_GL |
Dr |
BC_CRST_COLL_LIQ_AMT |
CRST |
Customer Account |
Cr |
BC_CRST_COLL_LIQ_AMT |
CRST |
Customer Account |
Dr |
BC_CRST_COLL_LIQ_AMT |
CRST |
Nostro Account |
Cr |
BC_CRST_COLL_LIQ_AMT |
The BC Suspense accounting role mentioned here is the bridge GL used between the Bill and finance and contains the suspense account maintained as a part of the Bill crystallization product preference.
If the set of accounting entries in INIT event of Bills discussed above are not defined, then, the you have to map the Bills Commission receivable and Bills Charge receivable accounting roles to the same head as that of the LC Commission receivable and LC Charge receivable roles’ heads. This is operationally controlled and the system does not perform any validations to ensure the same.
The BLNK event is triggered in the bill upon booking of a linked finance for the bill. No advice or accounting entries shall be allowed for the event. This event is basically used to keep an audit trail of when the linkage of the finance occurred to the bill.
Reversal of linked finance before initiation of the finance
The RLNK event is triggered in the bill on the reversal of a linked finance before initiation of the finance is allowed. This event does not have any accounting or messaging and such bills are again available for linking.
Reversal of linked finance after initiation of the finance
Upon initiation of the finance, the bill gets liquidated, and the finance behaves as a normal finance in Oracle FLEXCUBE which can be reversed. Such an event does not perform any subsequent action on the Bill linked.
Bill Reversal upon linkage of finance with finance to be initiated
Bill reversal is not allowed if there is a finance linked to the bill that has not been reversed. The reversal of the bill is allowed once the underlying linked finance has been reversed.