Features of the Contract Details screen

This topic the features of the contract details screen to configure the general attributes for the product.

Every product created in your bank is endowed with certain general attributes. A deal that the user enters into acquires the general attributes defined for the product it involves. To recall an endowed product with the following general attributes:

• The product code, description, slogan, start and end date for the product and remarks
• The frequency of interest accrual
• The tenor limits for the product
• The liquidation mode: manual or automatic
• Whether a deal involving the product is rolled over into a new deal if it is not liquidated on its maturity date
• Whether the accrued interest of earlier placement(s) must be considered as part of the “utilized amount” while tracking credit utilization for a customer.
• Whether tax has to be applied.
• Whether brokerage has to be applied.
• The exchange rate variance (for a special customer, the user can choose to apply a rate that is greater than the standard exchange rate defined for the currency. The user can impose some restrictions on the special rate by way of specifying a variance). Whether a penalty is to be imposed if there is an advance repayment.
• Whether interest schedule amounts have to be recomputed in case of an advance payment
• Whether a deal involving a product is booked to be initiated on a date in the future.

• Whether for a backdated deal that has schedules prior to today’s date, the schedules have to be liquidated when the deal is initiated. A back dated deal is one, which has an initiation date, which falls before the date on which it is booked.
• The payment type for main interest - bearing, discounted or true discounted
• The values to be rekeyed, by the authorizer of a contract, at the time of authorization
• The liquidation order of various components in case of auto liquidation
• Repayment schedules
• Aging analysis details such as the movement of deals from one status to another; the mode of status change - whether forward and reverse movements must be automatic or manual; reversal or stoppage of accruals upon change of status; the transfer GL upon status change; the messages to be generated; and the transfer days for interim schedules and maturity schedules.
• Specifying rollover details like updating credit limit utilization on rollover (for a placement), tax on rollover, rolling over with interest or without, deduction of tax on rollover.
• Details of interest, charge and fee.
• Other tax details like the component being taxed, the type of tax and the event (booking, liquidation, etc.) Upon which it is applied.
• The accounting roles and the general ledgers for accounting purposes when an event (initiation, liquidation, etc.) Takes place, and the advices or messages to be generated.
• The customer categories and customers who is counterparty to a deal involving the product.
• The branch and currency restrictions

While saving a Securities Repo contract, the system will pass certain information about the Securities Repo contract to the FATCA accounts and obligations maintenance for the customer. This is done if the beneficiary account’s customer has a reportable FATCA classification and if the SR product used to book the contract is present in the FATCA Products, account class and Instruments maintenance.

If the SR contract is closed or liquidated completely, then the corresponding row in FATCA accounts and obligations maintenance is archived. If the user deletes the SR contract before authorization, they must delete the corresponding entry in FATCA accounts and obligations maintenance.

Specify the following details:

• The Portfolio ID in which the user would like to block securities (this specification is not mandatory for a reverse repo deal that involves a walk-in customer).
• The Security ID(s) that the user would like to block
• The SK Location and the SK Account where the security to be blocked is held
• The format of each security (scrip-based, dematerialized, immobilized, etc.)
• The Number of Units of each security that the user is blocking
• If the underlying security is defined with a series redemption, the series
• Settlement details like the credit/debit branch, booking date, value date, original start date, user input maturity date and liquidation mode. In an outgoing MT518 message, this maturity date is captured in field 98a. Field 98a is sequence B is generated with only option A.