1. User Guide
  2. Balance Build

7 Balance Build

This topic describes the information about the balance build in Oracle Banking Liquidity Management system.

Oracle Banking Liquidity Management is a standalone system with accounts and balances being mirrored from DDA's. The actual accounts and balances are on DDA.

Oracle Banking Liquidity Management either pulls the account turnover data from DDA and builds the balance for the account or DDA pushes the actual value dated balances to Oracle Banking Liquidity Management tables based on which Oracle Banking Liquidity Management updates the account balances and carry out its function of sweeping and pooling.

Balance Upload

The balance fetch parameter maintained at the Branch maintenance will govern the mode of balance update on Oracle Banking Liquidity Management. Oracle Banking Liquidity Management supports two modes of balance update as follows:
  • Online mode
  • Offline mode
Online Mode

In the online mode, the balances of the accounts in the branch are obtained from the DDA through the Web Service. Basically, it is a pull by Oracle Banking Liquidity Management from DDA. The balance build always takes place before the sweep / pool execution so, sweeps / pool are always performed on the latest balances in the account.

Oracle Banking Liquidity Management builds online balances in the following manner.

Value Date Build

In this scenario, Oracle Banking Liquidity Management fetches balances from the DDA. The balance fetch includes previous day (T-1) closing value date account balance and the account turnover for the current book date (T) based on which the balance is built for the account. The account turnover considers transaction posted by the DDA and the transactions posted by Oracle Banking Liquidity Management as well (which may be due to Intraday/time-based sweeps).

As part of account turnover fetch, Oracle Banking Liquidity Management can receive the following:
  • Only current value dated (T) turnover. In this situation the TO is clubbed with previous day’s value date balance to arrive at today’s value date balance.
  • Both current values dated (T) turnover and back dated turnover (T-X, where X is the number of days) or
  • Only back dated turnover (T-X, where X is the number of days).
DDA Turnover (BVT Turnover)

In this scenario, Oracle Banking Liquidity Management only fetches the turnover for all the days in the BVT period without including the transactions that are posted by LM. This is used for BVT processing.

Offline Mode

In offline mode, the account balances at the branch are fetched from the backend tables of Oracle Banking Liquidity Management. These balances are updated through a periodic file upload from DDA. Basically, it is a push from DDA to Oracle Banking Liquidity Management. DDA will keep periodically pushing the balance files to Oracle Banking Liquidity Management and the periodicity is governed by the DDA. Oracle Banking Liquidity Management will refer to its backend tables before the start of sweep / pool.

In offline method, Oracle Banking Liquidity Management builds balances on actual value dated balances of the participant accounts (based on the last file upload from DDA).

Note:

All transaction posted in DDA from Oracle Banking Liquidity Management, will have a unique transaction code and shows a confirmation of structure getting submitted.