3.5 Charges Maintenance

This topic describes the information to setup the reference data to maintain the charges in Cash Management system.

Banks can levy charges on services extended to corporates with respect to managing and financing receivables and payables, like documentation charges, handling charges and so on. These charges can be configured at default/global level for specific products or parties. The levying of the charges can be triggered by specific events such as auto-debit, EOD, etc. Once configured, the charges would get levied for manual as well as auto processing mode for transactions.

Charge pricing is determined by configuring various pricing methods such as fixed amount, fixed percentage, slab based pricing, count based pricing and so on. The frequency of calculation and collection, such as, daily/weekly/monthly/yearly, can also be defined for a charge.

Banks are also empowered to configure flexible and preferential pricing as per corporate risk profile and assessment.

This topic contains the following subtopics:

• Charge Code
  This topic describes the information to setup the reference data for charge codes in Cash Management system.
• Charge Rule Maintenance
  This topic describes the information to setup the rules for charge pricing/charge calculation, based on the bank’s requirements in Cash Management system.
• Charge Decisioning
  This topic describes the information to map the charge rule template and charge code to a specific products.
• Charge Preferential Pricing
  This topic describes the information to configure the special pricing or charge application for a specific corporate.