CONCEPTS OF BANKING

Banks does all following operations:

1] Retail operations :Loans and deposits
Banks provide loans for customers and deposits bank will pay interests
for their amounts

2] Payments :Moving funds from one account to other account

Includes cheque clearing

3] Private Wealth operations:Trading of online shares

Banks goes to some heavy investors and raise funds
4] Treasury Forex :Foreign exchange is included
5] Safe deposit Lockers :Credit cards,cheques
6] Reporting: banks have to report to the central bank so t24 has a reporting application

Central Bank
- India(RBI)-Reserve bank of India
- Regulates all the other banks
- Helps bank during crisis

SWIFT- Society for Worldwide Inter Bank Financial Telecommunication

It is a global language used to communicate between banks
Ex if you are transferring from hdfc to hdfc then we don’t need SWIFT but if we communicate
between HDFC and STD Chartered then we need SWIFT

Banking Terms:
Types of Banks, Types of Accounts, Loans and deposits, debitor and creditor, cheque, Interests
and charges

BANK- Accepts deposits from public and gives loans

 Types of Banks:
1. Commercial Banks - accepting deposits from the general public and giving
loans for investment with the aim of earning profit.
2. Development Bank -Provides large loans for large industries and services
3. Investment banks - involve purchase and sales of bonds, stocks, and other
investments, involved in making initial public offerings (IPOs)
4. Private Banks -Help to manage personal funds

 Types of account:
 1. Customer accounts -Current,savings
2. Internal accounts -Accounts maintained by bank for its own purpose

 Loans and Deposits: Bank receives interests on Loans and Pays Interests on deposits
 Cheque: Includes the name of payee and drawer,can be issued from any bank
 Debtor and creditor: Debtor is one who borrowes money and owes
something(borrower) ,Creditor is a person who deposits some amount (depositor)
 Interests and charges: Interests can be fixed or floating depending on offer rate and
Charges are collected by banks for various reasons like minimum balancenot
maintained, account closing charges etc

RETAIL BANKING  
The AA module provides a flexible framework that allows a number of new T24 modules to be
created. The application provides a business component based architecture for the
management of products.  Arrangements are the part of the Retail Banking suite of products
T24 overview- applications, versions, enquiries, services, template, cob

Application -something which stores data and information about customer

eg: CUSTOMER, ACCOUNT
Static information-something which remains same ex: language

Non static: name/id of customer

customer static tables-

CUSTOMER.STATUS,INDUSTRY,SECTOR,COUNTRY,TARGET,DEPT.ACCT.OFFICER

INDUSTRY-occupation related information

SECTOR-to define entity status of customer,mostlty useful for grouping of customer

Mandatory details for CUSTOMER:

ID,MNEMONIC,Language,Address,sector

PERSON.ENTITY
someone that is in relation with customer but not directly related to bank

T24 ACCOUNTS
STATIC TABLES
1. RELATION
JOINT.RELATION.CODE  field  is  used  to  indicate  the  relation  between  the  account 
holder  and  the  joint  account holder.
2. CUSTOMER ID
unique customer identification
3. CURRENCY
Currency code
4. CATEGORY
Codes for account types-customer accounts range from 1000 to 9999
Internal accounts range from 10000 to 19999

JOINT.HOLDER.I
This field  records details of another customer as a joint holder of the account. It is possible to
multi value the field and to add more joint account holders.
Edited

EB.ROLE.RELATION -Relationship details-relation static

RANGES
ACCOUNT ID-6-16 numeric characters
CUSTOMER ID-6-10 numeric accounts

Nostro account is a way of keeping track of how much of bank's money is being held by other
bank

Nostro acc--foreign currency used

TO close account-CLOSE.ONLINE

ACCOUNT.PRE.CLOSURE--provide info (open/close)