2.2.3 Limit Utilization (Facility/Liability)
This topic describes about the detailed information on facility/liability utilization maintenance.
Note:
- The Limit Utilization screen should be used only to trigger corrective transactions in the ELM system when a transaction was initiated by an external product processor and successfully completed in the originating system.
- Utilization details for each transaction that takes place in the external product processor must be sent to Oracle Banking ELM via the Gateway Online Inbound process.
TheLimit Utilization screen is a screen for capturing utilization request specific to liabilities and facilities in Enterprise Limits System.
- Under Limits select Transactions. Under Transactions,
select Limit Utilization. The Limit Utilization screen is displayed.
- On Limit Utilization screen, specify the fields.For more information on fields, refer to the field description table.
Table 2-67 Limit Utilization - Field Description
Field Description User Reference Specify the unique number which is to be assigned for every utilization contract. Usually, User reference Number is the actual contract number in external system which is placing the utilization Utilization Branch Branch Code is displayed here. It indicates the transaction branch code. Simulate Switch to
to indicate that the details for the
transaction being entered should be used only for
simulation and not stored permanently within the system.
After a successful simulation of a transaction, the
system displays the utilized amount for liability,
facility.
Action During new utilization, you can perform below mentioned operations for the entities (liability, facility, and exposure linked to liability and facility). The options are: - NEW Utilization
- INCREASE Utilization
- DECREASE Utilization
- ALTER Utilization
- UNDO Utilization
- REVERSE Utilization
- RE-OPEN Utilization
- E.REVERSE Utilization
- MATURE Utilization
The following examples depict utilization applied on a revolving line with limit amount of 10000 for different utilization operations.
Table 2-68 Revolving Facility Amount - Before Utilization
Available Amount Utilization Amount Utilization Status 10000 0 - Table 2-69 After New Utilization of 1000
Available Amount Utilization Amount Utilization Status 9000 1000 A Table 2-70 After Alter Utilization of 3000
Available Amount Utilization Amount Utilization Status 7000 3000 A Table 2-71 After Alter Utilization of 2000
Available Amount Utilization Amount Utilization Status 8000 2000 A Table 2-72 After Increase of 1000
Available Amount Utilization Amount Utilization Status 7000 3000 A Table 2-73 After Decrease of 500
Available Amount Utilization Amount Utilization Status 7500 2500 A Table 2-74 After UNDO (reverse last transaction - Decrease)
Available Amount Utilization Amount Utilization Status 7000 3000 A Table 2-75 After Reverse of Utilization
Available Amount Utilization Amount Utilization Status 10000 0 R Table 2-76 After Reopen of Utilization
Available Amount Utilization Amount Utilization Status 10000 0 A Table 2-77 After Increase of 3000
Available Amount Utilization Amount Utilization Status 7000 3000 A Table 2-78 After Decrease of 2000
Available Amount Utilization Amount Utilization Status 9000 1000 A Table 2-79 After Increase of 1000
Available Amount Utilization Amount Utilization Status 2000 2000 A Table 2-80 After E-Reverse of Decrease (2000)
Available Amount Utilization Amount Utilization Status 6000 4000 A Table 2-81 After Mature of 6000
Available Amount Utilization Amount Utilization Status 10000 0 L Refer to table Transaction details – NRS for utilization applied on a non-revolving special line on the same day. Note: Unless specified otherwise all the transactions are considered to happen in sequence.
Note:Unless specified otherwise all the transactions are considered to happen in sequence.
Maturity Date Specify the date on which the transaction matures. This is contract attributes sent by external product processors Force Process Ovd This is for checking the error type of the error codes raised during transaction - online or batch. Possible values are N (Online) and B (Batch). Utilization ID Click Save, the system generates the Utilization ID. Save. Customer Number Specify the Customer Number of the utilization transaction. Customer Number entered should be valid Customer Number in Oracle Banking ELCM system Entity Type Select the limit type from the drop down list. The options available are: - Liability
- Facility
Default liability Switch to
to enable this parameter. When a customer
number is selected from drop-down list, default
liability toggle is enabled by default and Liability No
column shows the liability to which this customer is
linked as default.
Switch to
to disable this parameter. If a customer is
linked to multiple liabilities and utilization
transaction needs to consider the entity belonging to a
liability which is not default, then default liability
needs to be disabled and liability number can be
selected from drop- down list against this field. This
gets disabled automatically when you select the
non-default liability of the customer.
Liability Code Click the 
icon and select the liability code from the list.
All liabilities (default and non-default) to which a
customer is linked are displayed
Liability Currency Displays the currency the selected liability code. Utilization Currency Click the icon and select the currency for the utilization
transaction. The adjoining option list contains all the
currencies maintained in the system
Utilization Amount Specify the amount for the utilization transaction. Note: For sub-line utilization on the main line, the system considers both the main-line's NRS available and available amounts.
During utilization of block amount in NRS line, NRS amount is considered first if de-utilization transaction is done on the same day.
Amount Tag Click the icon and select the amount tag from the list. The
Amount Tag entered in Amount Tag Maintenance screen
is displayed here. This typically indicates the type of the
component of the transaction such as PRINCIPAL
AMOUNT.
Utilization Product Click the icon and select the product for the transaction.
The adjoining option list contains all the relevant
products. This indicates external product code initiating
the utilization transaction.
Liability Utilized Amount The system displays the utilization amount in liability currency. Line Code Click the icon and select the line code to be used for the
transaction. The adjoining option list contains all the line
codes allowed. This option is required when you select
Entity Type as ‘Facility’
Serial No The Serial Number field is disabled and it gets defaulted from the Facilities Maintenance screen. Limit Currency This field displays the limit currency of the entity (Liability or Facility) Limit Utilized Amount Specify the amount utilized from the limit in limit currency. Note:- As part of a Direct cross-currency utilization transaction, this accepts the utilization amount in limit currency and uses that directly instead of deriving it based on the utilization amount in transaction currency and the exchange rate.
- If the Limit Utilized Amount is specified, currency revaluation is not applicable for the utilization transaction.
Utilization Status Indicates the utilization status. The options are: - Active (A)
- Reverse (R)
- Liquidated (L)
Tenor Basis Select this check box to indicate that the utilization should be tracked tenor wise for the facility. You can specify the basis on which it is to be tracked in the Tenor field. Refer to Facility Tenor Restriction Maintenance. Tenor Enter the basis on which tenor tracking should be done for the utilization. You need to check the Tenor Basis option before you specify the basis here. For more details, refer to Facility Tenor Restriction Maintenance. Maturity Date Specify the date on which the transaction matures. This is contract attributes sent by external product processors. Matured Amount Specify the maturity amount of the transaction. This is contract attributes sent by external product processors. Value Date Specify the value date for the transaction. System supports both current dated and back dated block transactions. Module The module from which the transactions are triggered is displayed here. This is typically the associated module of the product processor which initiates the transaction. Source Code Indicates the product processor name from where the transaction has been originated. This field will be as part of Header section (Source Code). Ignore Overrides Specify whether the transaction should ignore the overrides occurred in the process or not. Example - an overdrawn transaction.
Possible values “Y” (force authorize) and “N” (not force authorized).Exchange Rate Specify the Exchange Rate for cross currency utilization transaction. The utilization amount for the Limit Entities Facility, Pool, Liability, and Exposure linked to liability and facility will be calculated in the mentioned utilization currency directly using this exchange rate instead of the exchange rate mentioned in Config Service. If utilization amount is in limit currency and the Exchange Rate is not provided as a part of utilization, then the system will calculate the Exchange Rate with the utilization amount in transaction currency and the utilization amount in limit currency.
Note: The exchange rate mentioned in Facility Utilization will be used only for the calculation of direct limit entities utilization. For more details, refer to Common User Guide for Exchange Rate in Cross Currency section.
Block Reference Click the icon and select the block reference from the
list.
If you enter the block reference number, you can utilize the facility amount to extend of block amount. On utilization of block amount, the extent of the amount utilized is released from the block amount, thus the block amount is reduced.
If you try to utilize more than facility amount, the system gives an override.
An error appears, when you try to utilize more than blocked amount by providing block reference number.
Note:- The system posts amount to contingent accounts to the extent of reduction of available balance and does not consider the utilization from NRS Available balance.
- For backdated utilization transaction, contingent entry is triggered only if the utilization is partially or fully serviced out of Available balance on back date. If utilization is serviced entirely out of NRS Available balance on back date, contingent entry is not triggered.
- Reversal of earlier de-utilization transaction triggers contingent entries in case there is subsequent utilization transactions that were serviced out of NRS available balance, as subsequent utilization will impact the available balance and lead to UTIL increase due to reversal.
- Reversal of utilization transaction triggers contingent entries only if utilization is partially or fully serviced out of Available balance. If utilization is serviced entirely out of NRS Available balance, contingent entry is not triggered.
Block Reference Number Specify the block reference number. Table 2-82 Transaction details - NRS
S.No Transaction Amount Transaction Limit Available Utilization Matured Outstanding NRS 1 Facility Creation 10000 10000 0 0 0 0 2 Utilization 2000 10000 8000 2000 0 2000 0 3 Alter Utilization 1500 10000 8000 2000 500 1500 500 4 Increase Utilization 3000 10000 5500 4500 500 4500 0 5 Decrease Utilization 2000 10000 5500 4500 2500 2500 2000 6 Utilization post decrease 3000 10000 4500 5500 2500 5500 0 7 Reversal of latest utilization (E-Reverse) 3000 10000 5500 4500 2500 2500 2000 8 Liquidation of contract 2500 10000 5500 4500 5000 0 4500
Parent topic: Transactions