1. 1. Banking operations Day-2 session-3
2. 2. Override messages Unauthorized Overdraft (Criticality Depend on Debit Account) 1. This type of message appears on Funds Transfer, Teller and Data Capture applications. 2. This message indicate that balance of the account have gone into overdraft. 3. Drawing Accounts 4. Assignment 5. Railways account 6. Banks account
3. 3. Override messages..... 3 Cheque Number Not In Register (Critical) 1. This type of message appears on Funds Transfer, Teller and Data Capture applications 2. This message indicates that particular cheque has not been issued on the Debit Account Cheque Presented (Critical) Cheque Stopped (Critical)
4. 4. Payment system; Is the infrastructure (consisting of institutions, instruments, rules, procedures, standards and technical means) established to effect the transfer of monetary value between parties discharging mutual obligations Payment system provides; funds to be transferred and settled in efficient, secure and controlled environments with minimum risk factors.
5. 5. Payment system-Clearing The process of transmitting, reconciling and in some cases confirming transactions prior to settlement, potentially including the netting of transactions and the establishment of final positions for settlement Payment systems-settlement An act that discharges obligations in respect of transfers of funds or financial instruments between two or more parties.
6. 6. RTGS The continuous (real time) settlement of funds individually on an order basis(without netting)
7. 7. High value and retail payment system High value Urgent payments High values Require timely settlement Interbank payments System risk could cause problems to financial stability Retail payments Low urgency Relatively low value Customers payments Everyday payments Limited risk
8. 8. National Institutional Facilitation Technologies (NIFT) NIFT is a joint venture between a consortium of six major banks and private sector. Responsible for the establishment and management of automated clearinghouse facilities in Pakistan Cheque clearing activities are executed at NIFT centres Automation of clearing operations were started from first centre at Karachi in 1996 Now services are available in 27 cities Coverage to 318 towns 8584 branches
9. 9. Clearing Services offered Overnight clearing Including Return Cheque Processing (24 hour Clearing Cycle) Same Day / High Value Clearing (3 hour Clearing Cycle) Inter City clearing (48 hour Clearing Cycle) Countrywide Local US Dollar Clearing (5 day Clearing Cycle
10. 10. Clearing services Procedure for membership After opening current account banks can apply for membership of clearing house Bank will submit application duly proposed by two members Rs200,000/ will be a membership fee Sub membership Rs.50,000/ Rs.20,000/ will be recovered as a service charges in case of new scheduling of a bank as a result of amalgamation/merger
11. 11. Banks will submit following documents: Copy of licence Original Certificate of Incorporation Original certificate of commencement of business. Certificate about paid up capital
12. 12. Volume of cheques handled by NIFT Clearing cycle instruments Normal clearing 67,200,508 Same Day Clearing 854,875 Inter City clearing 3,557,236 Dollar clearing 18,960 Total 71,631,579