Import Ibc

`
WELCOME TO OROMIA
INTERNATIONAL BANK
NEW CBS (TRADE AND FINANCE
TRAINING PROGRAM
2
Inward Bills of Collection System Functions

MAJOR TOPICS TO BE COVERED
3
 Introduction to Inward BC System Functions
 Maintain Inward Bills Of Collection
 Maintain Accepted Draft for Inward Bills For Collection
 Maintain Accepted Guaranteed Draft For Inward Bills For Collection
 Maintain Accepted Guaranteed Paid Drafts for Inward Bills of collection
 Issuance of Goods Delivery Order for Inward Bills of Collection

Introduction to Inward BC system functions
4
 Based on the pro forma invoice agreement of buyer & seller as well as foreign currency approval for
the importer, the bank has allowed purchase order to importer under CAD method of payment which
enable the buyer to order goods and services for import.
 Up on approval of purchase order and receiving of the related documents ,the activities of these inward
bills of collections are handled by the system functions that are available at branch level
 For each Inward BC activity, there are business functions available for doing these activities.
 After the goods are shipped and CAD documents are presented to our counter from drawer bank, the bank
shall capture these documents on the system and communicate the importer about the arrival of the
documents
Introduction to Inward BC system functions con’d
5
o Those accounting entries related to each activities of inward BC will be created
internally by the system; no external transactions are allowed on the internal

accounts of inward BC
o In case there is different currency involved in inward BC transactions , the FX
position accounts are used to balance debit and credit transactions.
o The inward BC reference number is generated by the system when inward bill of
collection is captured on the system

Introduction to Inward BC system functions con’d
6
o All swift messages related to inward BC operations are also created by the system
functions of the inward BC and each message produced should be approved & sent
to head office(IBSD) using swift system functions at branch.
o After the message is received by IBSD, it must be approved & sent to our swift server
using swift functions available at head office and the swift section should also
process the messages to further send it to foreign correspondent banks
Functions used to maintain inward BC doc(B82IBC)
7
 The following functions are used to handle the activities that are related to
inward BC documents upon their arrival to our counter

 B82IBCJ1-Post Initial Inward Bills of Collection
 B82IBCJ2-Modify Initial Inward Bills of Collection
 B82IBCJ3-Delete Initial Inward Bills of Collection
 B82IBCJ4 -Display Initial Inward Bills of Collection
 B82IBCJ5-Approve Inward Bills of Collection
 B82IBC30-Delete /Return Inward BC
Functions used to maintain inward BC doc(B82IBC)
8
 B82IBC40-Display Inward Bills for Collection

 B82IBC50-Modify Financial Data for Inward BC
 B82IBC60-Re-Open Inward Bills for Collection
 B82IBC70-Settle Inward Bills for Collection
 B82IBC90-Increase /Decrease Commission for Inward BC
 B82IBCA0 -Collecting Charge for Returned Inward BC
 B82IBCC0-Inward BC Tracer
 B82IBCE0-Cancel Last Daily Transaction for Inward BC
 B82IBCH0 -Create Free Format Swift Message / Inward BC Post
SUMMARY OF INWARD BC HANDLING PROCESS
9
 B82IBC70-Settle Inward Bills for Collection
B48SWM50 B48SWME0
B82IBCJ1 B82IBCJ5 B82IBC70 APPROVE SEND MT
MT 202 202 TO HO
Functions used to maintain inward BC doc(B82IBC con’d
10
B82IBCJ1 -Post Initial Inward Bills of Collection

 When the IBC document is received from drawer bank, these documents are checked against the related
purchase order previously approved by the bank.
 After the document is checked, we post the initial inward bills of collect on the system using this online
function without any financial transactions
 This function can also used to produce inward bills of collection reference number
 There is no financial transaction created while posting this initial inward BC documents
11
Reference format for inward BC :71 /YY/NNNNNN:
where
o 71,Represents reference type for Inward Bills for Collection
o YY,Represents reference year of the banking operation date
o NNNNNN,Represents sequence of reference number generated by the
system
12
B82IBCJ2 Modify Initial Inward Bills of Collection

 In case there is a need to modify any fields representing financial and non financial data
of the initial inward BC added by the function add initial inward BC (B82BCJ1), this
online function is used to modify any of these required fields
 The inward bills of collection data will be modified only for initial status
 To modify this BC, the user should enter BC initial reference number
13
B82IBCJ3 Delete Initial Inward Bills of Collection

 This online function is used to delete initial Bill’s for Collection from initial record if it
was not approved yet
 This function allows the user to delete only the initial inward BC documents
B82IBCJ4 Display Initial Inward Bills of Collection

 This online function is used to display initial, deleted ,transferred to permanent inward bills of
collection from initial bills of collection table when the related inward BC reference number is
entered
14
B82IBCJ5 Approve Inward Bills of Collection

 This online function is used to approve the inward bills of collection which was added using the function
Post Initial Inward Bills of Collection (B82IBCJ1)
 This function is also used to make the appropriate financial transactions
 The entry for memo accounts are produced while using this function
 In addition to the above stated roles , this function can also used to create swift message to collecting bank
if there is a need to acknowledge the receiving of the inward BC documents

15
 The following swift messages can be produced if they are required to be created while approving the initial BC
 MT410 -Acknowledgement
 MT499 -Free Format Messages
 MT999 -Free Format Message
 After the required swift message is created at branch using this function, the following functions are used at branch & head
office(IBSD) to further process the message before the message is sent to concerned bank through our swift section :
o B48SWM50 -approve swift message (at branch)
o B48SWMEO -send swift messages on behalf of head office(at branch)
 After the message is received by head office it should be checked & sent to swift server using the following function
o H48SWMA0 -Send Swift Message to Swift-alliance (server)

16
B82IBC20-Modify Non Financial Data for Inward BC

 After the documents is received and captured on the system, non financial data of the document can be
required to be amended
 To modify these static data of the inward BC, which have no effect on financial data, we use this function
 This function can also used to produces one of the following swift messages to the drawer bank after
modifying any static data of the inward BC
 MT410 -Acknowledgement
 MT999 -Free Format Message

17
 After the required swift message is created at branch using this function, the following
functions are used at branch & head office(IBSD) to further process the message before the
message is sent to concerned bank through our swift section :
 After the message is received by head office it should be checked & sent to swift server
using the following function

18
B82IBC30 Delete /Return Inward BC

 After the inward bills for collection is received and advised to the importer, there is a
case in which it can be deleted or returned back to remitter's bank
 If the amount of the document was wrongly captured while posting the initial
inward BC and if it was also erroneously approved, the Inward BC can be deleted.
 The inward BC can also sent back to drawer bank in case the importer is unwilling
to collect the documents within a certain period of time
 We use this function to delete/return the Inward Bills of Collection in such stated
issues.
19
 The inward BC can be deleted/returned if and only if Deletion date is not equals with the date the
document is added to the system
 In case there is a need to delete the Inward BC opened at the same day it has been opened, the function
B21IBCE0 “Cancel last daily transaction for Inward BC is used
 When the inward BC is deleted or returned, the contra accounts for BC are reversed/closed
 Finally, when the document is returned, all necessary financial transactions are created and also the function
is used to produce one of the following swift messages to drawer bank:
 MT416 -Advice of non- payment/non- acceptance
 MT499- Free Format Messages
Functions used to maintain inward BC Doc(B82IBC con’d
20
message is sent to concerned concerned bank through our swift section :
 After the message is received by head office it should be checked & sent to swift server
using the following function
o H48SWMA0 -Send Swift Message to Swift-alliance (server

21
B82IBC40 Display Inward Bills for Collection

o If the user inputs inward BC reference number, this function is used to display all the required static data for inward
BC
 It also shows the following BC status in summary form
o Date the BC status changed
o Date of BC settlement in case the inputted BC was settled
o BC open date
o Follow up date (the date the tracer was made on the BC)
o Number of tracer made on the BC

22
B82IBC50 Modify Financial Data for Inward BC

 If parties of the inward BC are agreed for amendments , we use this function to modify the financial
records of inward bills for collection either by increasing or decreasing the BC amount
B82IBC60 Re-Open Inward Bills for Collection
 The inward bills of collection document that was deleted using delete/return inward bills of collection can
be reopened without changing its related reference number generated while the document was added to the
system.
 This function is used to Re-Open such inward bills of collection
 But, the inward bills of collection can be Re-opened if BC balance is zero and BC status = deleted
 On Re-opening the inward BC, the function Creates new contra Accounts for BC
23
B82IBC70 Settle Inward Bills for Collection

 When all requirements to collect the inward BC documents are fulfilled by the customer; we use this function to
settle the documents partially or totally
 This function can also creates all the necessary financial transactions required as well as producing one of the
following swift messages to the collecting bank
 MT400 -Advice of Payment

24
 The function can also produces one of the following swift messages to covering/correspondent bank
o MT202 -General Financial Institution Transfer
o MT999 -Free Format Messages
o MT103 -Single Customer Credit Transfer
 After the required swift message is created at branch using this function, the following functions are used at branch
& head office(IBSD) to further process the message before the message is sent to concerned bank through our swift
section :

25
B82IBC90 -Increase /Decrease Commission for Inward BC

 In case more/less charges are collected from customer account while inward bill of collection
was settled, this function is used to increase/decrease the charges by debiting or crediting
customer A/c used for charges
B82IBCA0-Collecting Charge for Returned Inward BC
 If the inward BC documents are not collected by the importer, the original documents are to be returned to
collecting bank
 when the document is returned to the bank already sent the document , the necessary charges are taken
from customer account
 This function is used to collect these charges if the charges were not collected while using the function
delete/return inward Bills of Collection
26
B82IBCC0 -Inward BC Tracer
 When we want to response about the status of inward collection documents to drawer bank, this function is used to create the under listed
SWIFT messages.
 MT422 -Advice of Fate and Request for Instructions
 MT999-Free Format
 After the required swift message is created at branch using this function, the following functions are used at branch & head office(IBSD) to further
process the message before the message is sent to concerned bank through our swift section :

27
B82IBCE0 Cancel Last Daily Transaction for Inward BC

 If it is required to cancel the last transaction made on the inward BC , we use this
function to cancel the transaction that was made on the BC
 The transaction can be deleted physically if the following two

conditions are available:
o transaction date equals banking operation date
o Input transaction sequence 1 must be equal transaction sequence 1 of the last

transaction which affect the concerned BC
28
B82IBCH0 Create Free Format Swift Message / Inward BC Post

 This is online function, which is part of the Outward BC system function is used to issue one of the following swift
messages:
o MT499 -Free Format Message
 After the required swift message is created at branch using this function, the following functions are used at branch & head
office(IBSD) to further process the message before the message is sent to concerned bank through our swift section :

Functions used to perform Goods Delivery Order Under Inward
BC(B83EBC)
29
 Based on request of customer , we can issue delivery order under CAD method of payment incase goods are
arrived before original Documents are received from the drawer bank
 To handle the activities related delivery order, we use the following functions
 B83EBC10 Endorse / Issue Goods Delivery Order
 B83EBC20 Modify Static Data for Goods Delivery Orders
 B83EBC30 Refund Cash Collateral for Goods Delivery Orders
 B83EBC40 Display Issued Goods Delivery Orders
 B83EBC50 Display G.D.O Cash Collateral / Customer

Functions used to perform Goods Delivery Order Under Inward BC(B83EBC) con’d
30
 B83EBC60 Increase Cash Collateral/G.D.O (Collateral)
 B83EBC70 Settle Inward BC from Cash Collateral
 B83EBC80 Settle Accepted Draft from Cash Collateral
 B83EBC90 Settle Accepted G. From Cash Collateral
 B83EBCA0 Increase/ Decrease Goods Delivery Order
 B83EBCE0 Cancel Last Daily Transaction/ G.D.O

SUMMARY OF DELIVERY ORDER HANDLING PROCESS
31
 B83EBC10 Endorse / Issue Goods Delivery Order

 B83EBC70 Settle Inward BC from Cash Collateral
 B83EBC30 Refund Cash Collateral for Goods Delivery Orders ( The
remaining refundable cash amount)

B48SWM50 B48SWME0
B83EBC10 B82IBCJ1 B82IBCJ5 B83EBC70 B83EBC30 APPROVE SEND
MT202 MT202
SUMMARY OF ACCEPTED DRAFT HANDLING PROCESS (SUPPLIER CREDIT)
32
 B82IAD15 Transfer Inward Bills for Collection to Accepted Draft
 B82IAD20- Settle Accepted Draft

B48SWM50 B48SWME0
B82IBCJ1 B82IBCJ5 B82IAD15 B82IAD20 APPROVE SEND
MT202 MT202
33
 the system generates delivery order reference number while it is issued

 Format for delivery order
 Format for delivery order refernce:72/XX/YYYYYY
o Where
o 72,reperesent,delivery order reference type
o XX represents year of delivery order issued
o YYYYYY,Represents sequence of reference number generated by the
system
34
B83EBC20Modify Static Data for Goods Delivery Orders

 If non financial records of delivery order is required to be changed, we use
this function to make a modification on any fields of these records.
 To make any amendments on static data of delivery order, the user should
input related delivery order reference number which was generated by the
system while it was issued.
35
B83EBC30 Refund Cash Collateral for Goods Delivery Orders
 If excess amount of cash margin/ collateral was collected from customer account while goods delivery
order was issued ,it should be returned to customer account after the related inward BC is settled
 To refund this excess amount, we use the function Refund Cash Collateral for Goods Delivery Orders
B83EBC40 Display Issued Goods Delivery Orders
 If we input delivery order reference number on its required field, this function is used to Display its related
information
36
B83EBC50 Display G.D.O Cash Collateral / Customer

 When we input customer number & currency code that has been used to
keep cash collateral under payable while issuing delivery orders, this
function is used to display a summary of all issued goods delivery order &
their related cash collateral balance for that customer.
37
B83EBC60Increase Cash Collateral/G.D.O (Collateral)

 If the cash collateral that was taken from customer account while delivery order was
issued is insufficient to settle the inward BC documents, the difference amount
should be added to the existing cash collateral by debiting customer account.
 we use this function to increase the amount of cash collateral for the specific goods
delivery order
38
B83EBC70 Settle Inward BC from Cash Collateral

 After primary information of inward BC original documents having goods delivery order has been
captured on the system, the related documents should be settled using the functions of goods delivery order
instead of the normal functions used to settle inward BC documents
 we use this function to settle sight draft of inward BC documents for which goods delivery order was
issued
 This functions can also creates all the necessary financial transactions required as well as producing swift
messages to the drawer bank& correspondent bank

39
 The following SWIFT message types can be produced to collecting & correspondent bank:
 Swift message for drawer bank
 MT400- Advice of Payment
 Swift message for correspondent bank
 MT202- General Financial Institution Transfer

40
 After the message is received by head office it should be checked & sent to swift server using the
following function

41
B83EBC80 Settle Accepted Draft from Cash Collateral

 After primary information of inward BC original documents having goods delivery order has been
captured on the system & transferred to accepted draft, we use this function to settle accepted draft of
inward BC documents at its maturity date.
 This functions can also creates all the necessary financial transactions required as well as producing
swift messages to the collecting bank& correspondent bank
 This functions can also creates all the necessary financial transactions required as well as producing
swift messages to the Drawer bank& correspondent bank

42
 The following SWIFT message types can be produced to drawer & correspondent bank:

43
following function

44
B83EBC90 Settle Accepted G. From Cash Collateral
 To settle accepted guaranteed draft of inward BC documents having goods delivery order, the following
should be satisfied:
o Goods delivery order should be on the documents
o primary information of Original inward BC documents should be added on the system
o The inward BC documents should be transferred to accepted guaranteed draft
 After these conditions are done on the documents, we use this function to settle accepted guaranteed draft of
inward BC documents for which goods delivery order was issued
 This functions can also creates all the necessary financial transactions required as well as producing swift
messages to the collecting bank& correspondent bank

45
 This functions can also creates all the necessary financial transactions required as well as producing swift messages to the drawer
bank& correspondent bank

46
following function

47
B83EBCA0 Increase/ Decrease Goods Delivery Order

 This function is used to Modify Financial Data for Goods Delivery Order by increasing or decreasing the
existing balance
 While modifying Goods Delivery order, the function will do the following:-
o Update related Goods Delivery order financial information
o Create the necessary accounting entries

48
B83EBCE0 Cancel Last Daily Transaction/ G.D.O

 This function is used to cancel last daily transaction for Endorse/Issue
goods delivery order
 The transaction can be cancelled if the following conditions are available:
o Transaction date = Banking date
o Input transaction sequence 1 must be equal transaction seq1 of the last
transaction which affect to the concerned BC
 If the related inward documents were not settled either partially or fully
Inward BC Inquiries
49
B84BCI10 Display Financial Information for BC

 This function is used to Display Financial Information for inward BC by inputting its specific reference number
B84BCI30 Display Inward BC’s for Customer

 If the user enters customer number & currency code of inward BC, this function Display a summary of all Inward BC’s
for that Customer
B84BCI40 Display Details Transactions for BC

 This function is used to Display Details Transactions for inward BC
Functions used to Maintain Accepted Draft of inward BC doc(B82IAD)
50
 When the payment of Inward BC document is to be by acceptance, the following functions are used to
process the operations related with this type of payment
 B82IAD20- Settle Accepted Draft
 B82IAD30 - Delete /Return Accepted Draft for Inward
 B82IAD40- Display Accepted Draft by Draft Number
 B82IAD50- Display Accepted Draft by Customer Number
 B82IAD60-Modify Maturity Date for Accepted Draft

Functions used to Maintain Accepted Draft of inward BC doc(B82IAD) con’d
51
B82IAD15 Transfer Inward Bills for Collection to Accepted Draft

 After primary data of Inward BC documents with draft by acceptance are captured on the system), this online
function is used to display a summery of all Inward BC drafts to further transfer each draft to accepted draft
one by one
 However, the customer/importer should agree to accept and settle the document within the maturity period
stated on the draft to transfer the inward BC document to accepted draft and release the documents
 This function can also creates all the necessary financial transactions required as well as producing one of the
following swift messages to remitting bank.
 MT412-Advice of Acceptance
 MT499 -Free Format Messages
 MT999 -Free Format Messages

52
 After the required swift message is created at branch using this function, the following functions
are used at branch & head office(IBSD) to further process the message before the message is sent
to concerned bank through our swift section :
following function

53
B82IAD20 Settle Accepted Draft

 When the accepted draft for inward BC is matured and the customer is ready for settlement, this function is used to
settle the inward BC accepted draft. The charges for inward BC is taken from customer account while the BC
document is settled.
 This function is also used to create the required financial transactions as well as producing swift messages to the
remitting and correspondent bank,
 Swift messages for remitting bank
 MT400 -Advice of Payment
 Swift messages to correspondent bank, if the correspondent bank is different from remitting bank.
 MT202- Financial Transfers Institutions
54
following function

55
B82IAD30 Delete /Return Accepted Draft for Inward

 The inward BC transferred to accepted draft can be deleted if there was wrong transaction on
contra accounts or it can be returned to remitting bank if the importer is unwilling to accept the
drafts.
 This function is used to delete / return the accepted draft for inward BC if the draft originating date
does not equal the banking operation date
 The system will create all the necessary financial transactions required as well as collect the
necessary charges if the document is to be returned to remitting bank

56
B82IAD40 Display Accepted Draft by Draft Number

 When the user inputs inward BC reference and draft sequence number, this function is used to display the
related information of that inward BC accepted draft
B82IAD50 Display Accepted Draft by Customer Number
 When the user inputs customer number & currency code of that draft, this function is used to display a
summary of all inward BC accepted drafts for that customer
 The user can also see detailed information about a specific draft by putting the cursor on the button beside
that draft and pressing ctrl + w or by clicking on that button

57
B82IAD60 Modify Maturity Date for Accepted Draft

 Based on the agreement of inward BC parties, the maturity of accepted draft for inward BC can be increased or
decreased and one of this options must be inputted while modifying the maturity date for this draft
 This function can also enable to collect the necessary charges from customer account if the bank policy and
procedure allows modifying maturity date for accepted draft of inward BC

Functions used to Maintain Accepted Guaranteed Draft Inward BC(B82IAG)
58
 When the payment for inward BC documents is to be by accepted & guaranteed draft, the following
functions are used to process the activities of accepted & guaranteed draft of that inward BC after the
document is accepted by applicant & importer bank is willing to undertake the payment of the inward BC
 B82IAG15 Transfer Inward BC to Accepted Guaranteed Draft

 B82IAG20 Settle Accepted Guaranteed Draft for Inward BC
 B82IAG30 Increase Accepted Guaranteed Draft Cash Margin
 B82IAG40 Return Accepted Guaranteed Draft Cash Margin
Functions used to Maintain Accepted Guaranteed Draft Inward BC(B82IAG) con’d
59
 B82IAG50 Display Accepted Guaranteed Draft Cash Margin
 B82IAG60 Display Accepted Guaranteed Draft by Draft Number
 B82IAG70 Display Accepted Guaranteed Draft by Customer Number
 B82IAG80 Delete Accepted Guaranteed Draft for Inward BC
 B82IAG90 Modify Maturity Date for Accepted Guaranteed Drafts
 B82IAGA0 Display Matured A.G. Drafts within a Period

60
 B82IAG15 Transfer Inward BC to Accepted Guaranteed Drafts

 If the draft of inward BC was by acceptance & guarantee draft, which is to be paid at maturity of that inward BC draft, the outward
BC documents that was captured on the system using the function of initial inward BC(B82IBC) should be transferred to accepted
& guaranteed draft after the customer has accepted the documents & the bank has added its payment guarantee to drawer bank.
 After the above conditions are satisfied, the inward BC should be transferred to accepted & guaranteed draft using this function.
 While we use this function ,it will display a summary of all drafts of accepted & guaranteed draft of the BC to further transfer these
drafts to accepted & guaranteed draft one by one
 To display details of the BC & to further transfer each draft to accepted & guaranteed , the user should press "ctrl + W" on the
button beside maturity date of that draft or by clicking on that button

61
 After processing all drafts one by one in case there was more than one draft to be paid
partially, or a single draft to paid fully, SWIFT messages button will be activated and it
will issue one of the following messages to inform the remitting bank of the acceptance
of one or more drafts under one collection instruction:
o MT412 -Advice of Acceptance

62
following function

63
B82IAG20 Settle Accepted Guaranteed Draft for Inward BC

 When the inward BC accepted & guaranteed draft is matured, the drawer bank should be paid either from
the account of the customer or from the bank paid account in case the customer has insufficient balance.
 If the customer has sufficient balance & ready for settlement ,we will use this function to Settle Accepted
G. Draft for Inward BC partially or fully by debiting customer account.
 while this draft is settled the system will pass all the necessary financial entries and it will update the B/C
status in the system.
 Any necessary charges are collected by system as per the bank charge set ups or some fixed charges like
swift & photo copy charges are inputted manually on their required fields.
64
• MT103- Single Customer Credit Transfer
• MT202- Installment Transfers
• MT999 -Free Format Messages

65
following function

66
B82IAG30 Increase Accepted Guaranteed Draft Cash Margin

 If the amount of cash margin that was collected & held under payable cash margin of accepted & guaranteed
draft of inward BC is required to be increased ; we use this function to collect the incremented cash margin
from customer account
B82IAG40 Return Accepted Guaranteed Draft Cash Margin

 If excess amount of cash margin was collected from customer account when the draft was transferred to accepted draft &
in case this amount was not retuned to customer account while the draft was settled or if the amount is required to be
returned before settlement, we use this function to return this excess amount to customer
67
B82IAG50 Display Accepted Guaranteed Draft Cash Margin

 If we input customer number & currency code of accepted guaranteed draft, this function will display a summary
of all Accepted Guaranteed draft cash margin balance of each draft for that customer
B82IAG60 Display Accepted Guaranteed Draft by Draft Number
 If the user input BC reference number, draft sequence number & press enter, this function will display related
information of that A.G. draft
B82IAG70 Display Accepted Guaranteed Draft by Customer Number
 If we enter customer number & currency code of accepted guaranteed draft, this function will display all
summery of accepted guaranteed drafts for that customer.
 we can see detail information of each draft by pressing on the button beside each required BC reference of
accepted guaranteed draft or by clicking on that button
68
B82IAG80 Delete Accepted Guaranteed Draft for Inward BC

 To delete Accepted Guaranteed draft for inward Bills for Collection, the following
requirements should be satisfied
o If the draft originating date does not equal the banking date
o if the draft amount must be equal draft balance to ensure that the draft amount was not transferred to paid
draft
o If cash margin balance for draft is equal to zero
o if there was no goods delivery orders issued on the BC

69
 However, If draft originating date equals the banking date then the draft can be cancelled by using cancel daily
trans. for inward BC.
 The system will create all the necessary required financial transactions
B82IAG90 Modify Maturity Date for Accepted Guaranteed Drafts
 This online function is used to modify the maturity date for accepted guaranteed drafts of inward bills for
collection.
 Based on the agreement of inward BC parties, the maturity date of the draft can be increased or decreased
and one of this options must be inputted while modifying the maturity date for this draft
 This function can also enable to collect the necessary charges from customer account if the bank policy and
procedure allows modifying maturity date for accepted guaranteed draft of inward BC
70
B82IAGA0 Display Matured A.G. Drafts within a Period

 If the user inputs currency code & the required date interval within which the inward BC of accepted
guaranteed draft will be matured, this function is used to display a summery of all A.G. Draft’s, which are
to be matured within that specified date interval in a specific currency
 But ,this can be applied only for those drafts whose balances are not equal to zero
Functions used to maintain accepted guaranteed paid drafts for inward BC (B81IBP)
71
 In case inward BC accepted guaranteed draft is matured ,but the customer has insufficient balance,
applicant bank is obliged to pay the draft amount to drawer bank since it has added its payment guarantee
while the draft was transferred to accepted guaranteed draft
 we use the following functions to process the issues related to this activities
o B82IBP10 Transfer to Paid Accepted and Guaranteed Draft
o B82IBP20 Settle Paid Accepted Guaranteed Draft for Inward BC
o B82IBP30 Display Paid Draft by Draft Number
o B82IBP40 Display Paid Draft by Customer Number

Functions used to maintain accepted guaranteed paid drafts for inward BC (B81IBP) con’d
72
B82IBP10 Transfer to Paid Accepted and Guaranteed Draft

 It is a process of transferring the accepted guaranteed draft of in
ward BC to UEL paid draft of inward BC when the accepted

guaranteed draft is matured ,but if there is no sufficient balance in
the customer’s account to settle the draft and pay the proceed to
drawer bank
 All necessary accounting entries are also passed.

73
 This function is also used to produce the following SWIFT message
 MT103- Single Customer Credit Transfer
 MT202- Installment Transfers

74
 After the required swift message is created at branch using this function, the following functions
are used at branch & head office(IBSD) to further process the message before the message is sent
to concerned bank through our swift section :
following function

75
B82IBP20 Settle Paid Accepted Guaranteed Draft for Inward BC

 When the customer account has sufficient fund and ready for settlement of outstanding
UEL paid draft of inward BC,this function is used to settle that draft partially or totally by
debiting the account used for settlement
 To settle this draft, the user should input BC reference number & draft sequence number
 All necessary accounting transactions are passed as well as interest rate is also collected
as per bank terms & tariffs for paid accepted guaranteed draft of inward BC
76
.
B82IBP30 Display Paid Draft by Draft Number
 If we input BC reference number ,draft sequence number& press enter, this function will display the
information related that paid draft
B82IBP40 Display Paid Draft by Customer Number

 If the user inputs customer number & currency code of paid draft of inward BC, this function will display
a summary of all paid drafts for that customer
 The user can also see a detail information of each paid draft by pressing on the button beside each BC
reference of that draft or by clicking on the button

Functions used to perform Goods Delivery Order Under Inward BC(B83EBC)
77
B83EBC10 Endorse / Issue Goods Delivery Order

 If the goods are arrived before original Documents are received ,but they are needed urgently and if the customer
request issuance of delivery order, the bank will use this function to issue the goods delivery order to that customer
 To issue this delivery order, as per the existing bank policy and procedure 110 % cash margin should be taken from
customer account to be kept under cash collateral until the original L/C documents will be received & settled
 The system can collect delivery order commission as per bank charge set up
 When the original inward BC documents are received & captured on the system ,the system will validate as the
deliver order was issued for this shipment.
 To validate delivery order issuance on the inward BC ,the system use transport document number & its date
DIFFERENT CHARGE COLLECTION FUNCTION
78
 B31CHR50-MISCELLANOUS CHARGE COLLECTION

 B31VCR36- VOUCHER (FREIGHT CHARGES)_ MAKER
 B34PVD50- APPROVE VOUCHER _CHECKER
Thank You
!!!!!!!!!!

Import Ibc

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Import Ibc

Uploaded by

Copyright:

Available Formats

`

Inward Bills of Collection System Functions

 Introduction to Inward BC System Functions

 Maintain Inward Bills Of Collection

 Maintain Accepted Draft for Inward Bills For Collection

 Maintain Accepted Guaranteed Draft For Inward Bills For Collection

 Maintain Accepted Guaranteed Paid Drafts for Inward Bills of collection

 Issuance of Goods Delivery Order for Inward Bills of Collection

o Those accounting entries related to each activities of inward BC will be created

internally by the system; no external transactions are allowed on the internal

o In case there is different currency involved in inward BC transactions , the FX

position accounts are used to balance debit and credit transactions.

collection is captured on the system

to head office(IBSD) using swift system functions at branch.

inward BC documents upon their arrival to our counter

 B82IBC40-Display Inward Bills for Collection

 B82IBCJ1-Post Initial Inward Bills of Collection

 B82IBCJ5-Approve Inward Bills of Collection

 B82IBC70-Settle Inward Bills for Collection

B82IBCJ1 -Post Initial Inward Bills of Collection

purchase order previously approved by the bank.

function without any financial transactions

Reference format for inward BC :71 /YY/NNNNNN:

o 71,Represents reference type for Inward Bills for Collection

o YY,Represents reference year of the banking operation date

o NNNNNN,Represents sequence of reference number generated by the

B82IBCJ2 Modify Initial Inward Bills of Collection

B82IBCJ3 Delete Initial Inward Bills of Collection

B82IBCJ4 Display Initial Inward Bills of Collection

B82IBCJ5 Approve Inward Bills of Collection

Post Initial Inward Bills of Collection (B82IBCJ1)

 This function is also used to make the appropriate financial transactions

if there is a need to acknowledge the receiving of the inward BC documents

 MT499 -Free Format Messages

 MT999 -Free Format Message

o B48SWM50 -approve swift message (at branch)

o B48SWMEO -send swift messages on behalf of head office(at branch)

o H48SWMA0 -Send Swift Message to Swift-alliance (server)

B82IBC20-Modify Non Financial Data for Inward BC

modifying any static data of the inward BC

 MT499 -Free Format Messages

 MT999 -Free Format Message

o B48SWM50 -approve swift message (at branch)

o B48SWMEO -send swift messages on behalf of head office(at branch)

using the following function

o H48SWMA0 -Send Swift Message to Swift-alliance (server)

B82IBC30 Delete /Return Inward BC

document is added to the system

B21IBCE0 “Cancel last daily transaction for Inward BC is used

o B48SWM50 -approve swift message (at branch)

o B48SWMEO -send swift messages on behalf of head office(at branch)

using the following function

o H48SWMA0 -Send Swift Message to Swift-alliance (server

B82IBC40 Display Inward Bills for Collection

o Date the BC status changed

o Date of BC settlement in case the inputted BC was settled

o Number of tracer made on the BC

B82IBC50 Modify Financial Data for Inward BC

B82IBC70 Settle Inward Bills for Collection

settle the documents partially or totally

following swift messages to the collecting bank

 MT400 -Advice of Payment

 MT499 -Free Format Messages