Documentary Credit

ADMINISTRATOR TRAINING MANUAL
Documentary credits
www.Infosys.com/finacle
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Document number: VersionRev: 1.00

Authorized by: R N NAGARAJ Signature/Date:
Document revision list
Ver.Rev Date Author Description

1.0 13-Mar-2006 Raghavacharyul Original version – Finacle 9.1
1.0.1 27-Feb-2007 Amit Chakrabarti Updated version – Finacle 9.1
1.0.2 Updated Version – Finacle 9.2
1.0.3 22 Oct 2007 Bikash Kumar Updated Version – Finacle 10.0
1.0.4 29 Jan 2008 Raghavacharyulu Updated version 10.1
1.0.5 08 Sept 2008 Bikash Kumar Updated and Reviewed version 10.1
1.0.6 29 Apr 2009 Kamlendra Updated version 10.2
1.0.7 15 Mar 2009 Bikash Kumar Reviewed for Version 10.2
1.0.8 29 June 2010 Jagannath J N Reviewed and incorporated changes
© 2008 Infosys Technologies Limited, Bangalore, India
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This Training manual has been written and produced by the FINACLE -PSUSER EDUCATION TEAM of Infosys
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Infosys believes that the information in this publication is accurate as of

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Infosys FINACLE-PSUET Administrator Training Manual
TABLE OF CONTENTS
1 OVERVIEW ........................................................................................................... 1
2 SECTION OBJECTIVE ....................................................................................... 3
3 PROCESSES INVOLVED.................................................................................... 3
3.1.1 FLOW CHART – FLOW OF DC: ...................................................................................... 3
3.1.2 FLOW OF DC EXPLAINED: ............................................................................................ 4
4 DBA RELATED ACTIVITIES ............................................................................ 6
4.1 INITIAL SET UP – OPERATING SYSTEM LEVEL ........................................... 6
4.1.1 VALUES SET IN ‘CUST-OPTION’ FILE ......................................................................... 6
4.2 INITIAL SET UP – APPLICATION LEVEL ......................................................... 6
4.2.1 REFERENCE CODES ........................................................................................................ 7
4.2.2 EXCEPTIONS .................................................................................................................... 8
4.2.3 ACCOUNT PLACEHOLDERS .......................................................................................... 8
P&L ACCOUNT PLACE HOLDER: ACCOUNT ATTACHED TO THIS PLACE
HOLDER IS USED TO CREDIT THE COMMISSION INCOME ON
AMORTISATION. THIS IS SPECIFIED IN HPTTM OPTION. (THIS IS
REQUIRED TO BE CREATED IF THE BANK IS GOING TO AMORTISE THE
CHARGES). ......................................................................................................................... 9
4.2.4 BANK / SOL LEVEL PARAMETERS .............................................................................. 9
4.2.5 SOL/SCHEME/REGISTER/CURRENCY LEVEL PARAMETERS................................. 9
4.2.6 DC CHARGES SET UP ..................................................................................................... 9
4.2.7 CURRENCY CALANDER............................................................................................... 11
THE CHECKS ARE VALIDATED IF ‘CURRENCY CALENDAR’ IMPLEMENTED FLAG IS
SET AT HSCFM LEVEL AND THE PARTICIPATING CURRENCY IS NOT HOME
CURRENCY. .................................................................................................................................. 12
4.2.8 CURRENCY CALENDAR TABLE MAINTENANCE ................................................... 12
4.2.9 MAINTAIN TEXT – MTT ............................................................................................... 12
SCREEN SHOT OF THE MENU MTT ......................................................................................... 13
THE CRITERIA SCREEN CONSISTS OF THE FOLLOWING FIELDS ; .................................. 13
4.2.10 MAINTAIN INSTRUCTION CODES ......................................................................... 14
. ........................................................................................................................................................ 15
4.2.11 MAINTAIN COMMODITY ......................................................................................... 15
4.2.12 D C TYPE PARAMETER MAINTENANCE (DCTPM) ........................................... 16
5 GENERAL USER ACTIVITIES ....................................................................... 21
5.1 OUTWARD DOCUMENTARY CREDIT ............................................................. 21
5.1.1 MAINTENANCE:( ODCM) ............................................................................................. 21
CREATE CIF ID ............................................................................................................................. 21
ISSUANCE OF DC (S) : ................................................................................................................. 23
GENERAL DETAILS TAB ............................................................................................................ 23
DC DETAILS TAB: ........................................................................................................................ 28
Documentary Credit Ver 10.2 Page 1

INSTRUCTIONS DETAILS TAB.................................................................................................. 30

CHARGE DETAILS TAB : ............................................................................................................ 33
VALIDATIONS .............................................................................................................................. 35
SPLIT CHARGES ........................................................................................................................... 35
DEFERRED WORKOUT FROM CHARGES SCREEN ............................................................... 37
MODIFICATION OF CHARGE DETAILS: ................................................................. 40
VERIFICATION OF CHARGE DETAILS: ................................................................... 40
MESSAGE DETAILS TAB: ........................................................................................................... 40
TEXT DETAILS TAB : .................................................................................................................. 43
LIMIT DETAILS TAB : ................................................................................................................ 46
MARGIN DETAILS TAB: ............................................................................................................. 48
5.1.2 MODIFICATION OF ISSUED DC .................................................................................. 49
5.1.3 VERIFICATION OF ISSUED DC: .................................................................................. 50
5.1.4 COPY A DOCUMENTARY CREDIT ............................................................................. 50
5.1.5 AMENDMENT OF DC: ................................................................................................... 50
AMENDMENT DETAILS ............................................................................................................. 51
VERIFICATION OF AMENDED DC:........................................................................................... 52
5.1.6 AMENDMENT STATUS MAINTENANCE OF DC ...................................................... 52
5.1.7 REINSTATEMENT OF DC: ............................................................................................ 52
MODIFICATION OF REINSTATED DC:..................................................................................... 53
VERIFICATION OF REINSTATED DC: ...................................................................................... 53
5.1.8 UTILIZATION DETAILS: ............................................................................................... 53
5.1.9 UTILISATION WITHOUT BILLS (U) ........................................................................... 54
5.1.10 NON BILL UTILIZATION DETAILS TAB: ............................................................... 54
5.1.11 INQUIRE MODE: ......................................................................................................... 55
CHARGE HISTORY POPUP SCREEN: ........................................................................ 56
5.1.12 CANCEL MODE: ......................................................................................................... 58
5.1.13 CLOSE A DOCUMENTARY CREDIT ....................................................................... 58
5.1.14 UNCLOSE THE DOCUMENTARY CREDIT : ........................................................... 58
5.2 INWARD DOCUMENTARY CREDITS ............................................................... 59
5.2.1 MAINTENANCE (IDCM) ............................................................................................... 59
5.2.2 ADVISE OF A DC (E) : ................................................................................................... 59
GENERAL DETAILS ..................................................................................................................... 60
RELATED PARTY DETAILS: ...................................................................................................... 62
DC DETAILS:................................................................................................................................. 65
LIMIT DETAILS ............................................................................................................................ 67
CHARGE DETAILS: ...................................................................................................................... 68
MESSAGE DETAILS: .................................................................................................................... 70
TEXT DETAILS TAB .................................................................................................................... 73
HISTORY DETAILS: ..................................................................................................................... 74
INSTRUCTION DETAILS: ............................................................................................................ 74
5.2.3 ASSIGNMENT OF PROCEEDS...................................................................................... 76
5.2.4 MODIFICATION OF ADVISED DC: ............................................................................. 78

5.2.5 VERIFICATION OF ADVISED DC: ............................................................................... 78

5.2.6 NON BILL UTILIZATION OF DC: ................................................................................ 78
5.2.7 REINSTATEMENT OF DC: ............................................................................................ 78
PREREQUISITE: 1)ONLY REVOLVING DC’S CAN HAVE REINSTATEMENT. ................. 78
REINSTATEMENT – DC DETAILS PAGE ................................................................................. 79
MODIFICATION OF REINSTATED DC: IN CASE OF MODIFY MODE THE
DETAILS ENTERED DURING THE REINSTATEMENT OF THE
DOCUMENTARY CREDIT WILL BE SHOWN TO THE USER AND THESE
DETAILS ARE IN MODIFIABLE FORM. THE BUTTONS ENABLED FOR
MODIFY MODE IS THE SAME AS THAT FOR REINSTATEMENT MODE. ...... 79
VERIFICATION OF REINSTATED DC: IN CASE OF VERIFY MODE THE
DETAILS ENTERED DURING THE REINSTATEMENT OF THE
DOCUMENTARY CREDIT WILL BE SHOWN TO THE USER FOR
VERIFICATION AND APPEAR IN NON MODIFIABLE FORM. ONLY SUBMIT
AND CANCEL BUTTONS ARE ENABLED IN VERIFY MODE. ............................. 79
5.2.8 AMENDMENT OF DC: ................................................................................................... 79
VERIFICATION OF AMENDED DC: ........................................................................... 81
5.2.9 AMENDMENT STATUS MAINTENANCE OF DC ...................................................... 81
AMENDMENT DETAILS ............................................................................................................. 81
VERIFICATION OF AMENDED STATUS CHANGE: ............................................... 81
5.2.10 INQUIRE MODE: ......................................................................................................... 81
5.2.11 CANCEL MODE: ......................................................................................................... 82
5.2.12 TRANSFER MODE: ..................................................................................................... 82
5.2.13 RETRANSFER.............................................................................................................. 84
5.2.14 PROCESS MESSAGE MODE: .................................................................................... 85
5.2.15 PC A/CS LINKED TO DC (P): ..................................................................................... 85
5.3 RECOVERY OF CHARGES : APCHCOLL ...................................................... 85
5.4 AMORTIZATION OF CHARGES ........................................................................ 88
6 RELATED MENU OPTIONS ............................................................................ 92
7 RELATED TABLES (TO BE CHECKED) ...................................................... 93
8 BATCH JOBS ...................................................................................................... 94
9 UPLOAD OPTIONS ............................................................................................ 94
10 MRTS / MRRS / SAMPLE REPORTS .......................................................... 94
10.1.1 DC REPORTS AND ADVISES (DCRPTS): ................................................................ 94
10.1.2 COVERING LETTER TO DC OPENER (DCRPTS):.................................................. 95
10.1.3 COVERING LETTER TO CORR BANK ON DC OPENING (DCRPTS): ................. 96
10.1.4 ADVISE TO BENEFICIARY ON AMENDMENT TO DC (DCRPTS) .................. 97
10.1.5 ADVISE TO CORRESPONDENT BANK ON AMENDMENT (DCRPTS): .............. 98
10.1.6 REPORT ON TRANSFERRED D.C. ........................................................................... 99
10.1.7 ONLINE QUERY OF DC ............................................................................................. 99

10.1.8 BATCH CLOSURE OF DC ........................................................................................ 100

10.1.9 GENERAL PURPOSE REPORT FOR DC................................................................. 100
10.1.10 REPORT FOR DC REGISTER .................................................................................. 101
10.1.11 DC LIABILITY REGISTER ....................................................................................... 102
10.1.12 DC STATEMENT GENERATION ............................................................................ 102
10.1.13 DC EXPIRY REPORT ................................................................................................ 102
10.1.14 TRANSACTION ADVICE FOR DC .......................................................................... 103
10.1.15 DOCUMENTARY CREDIT QUERY ........................................................................ 103
10.1.16 INQUIRY ON EXPORT DC EXPIRING ................................................................... 104
10.1.17 INQUIRY ON INLAND INWARD DC...................................................................... 105
10.1.18 INQUIRY OF INLAND OUTWARD DC .................................................................. 105
10.1.19 DEFAULT MRTS AVAILABLE................................................................................ 106
11 FLASHBACK .................................................................................................. 107

1 OVERVIEW
Documentary Credits (DC) is an important part of the Trade Finance Module. This section
covers the entire life cycle of DC, starting from the parameter set up, issuance,
modification, amendments etc. The banking concepts related to Documentary Credits are
also discussed as part of this section. Finally there is a section dealing with reports.
DOCUMENTARY CREDIT
A Documentary Credit (also called as Letter of Credit in some Countries) is an undertaking
by a bank to the Beneficiary (Exporter/ seller) that it would make payment to him against
presentation of documents drawn in terms of the credit. The Documentary Credit (DC)
would be issued at the request of the customer (Importer /buyer) of the bank.
DC is a widely prevalent mechanism for settlement of trade in international trade. It

assures the exporter of payment. Also, he is assured that the importer is bona fide and
that the formalities in the importer‟s country regarding the import have been complied
with. As far as the importer is concerned, he will pay for the import only on receipt of the
documents conforming to the terms and conditions of the credit.
PARTIES TO A DOCUMENTARY CREDIT

The parties to a Documentary credit are defined as follows:
 Beneficiary The seller of goods or services to whom the Documentary credit is

addressed. The party entitled to its benefits.
 Applicant or Account Party The buyer of goods or services who requested the
Documentary credit to be issued.
 Issuing Bank The primary financial institution that initiates and writes the
Documentary credit extending their guarantee and liability to pay if the terms
and conditions are fulfilled.
 Advising Bank The bank, usually in the beneficiary's country, whose primary
job is to pass on the Documentary credit to the beneficiary. The advising bank is
principally a correspondent bank of the issuing bank which means that the two
parties have exchanged authenticating procedures, and may have also
established accounts with each other. An important part of passing on a
Documentary credit to a beneficiary is verifying its authenticity. When the
advising bank authenticates the credit, they are saying it is a genuine instrument

from the named issuing bank. They are not commenting on the creditworthiness
of the bank or its country. This procedure gives the seller some protection
against fraudulent instruments. That is why it is common practice to have letters
of credit advised to a seller through a correspondent bank. The advising bank
may receive the Documentary credit by mail, telex, cable, or S.W.I.F.T.
 Confirming Bank A separate financial institution requested by the issuing bank

to add their guarantee of payment or acceptance to the credit instrument. It is
necessary for this bank to establish a credit line or facility for the issuing bank in
order to agree with this request. The confirming bank is usually but not
necessarily the advising or drawee bank. The beneficiary cannot request on its
own for a bank to confirm a Documentary credit. The request must come through
the issuing bank. Therefore, a seller should ask the buyer to authorize the issuing
bank to request confirmation.
 Reimbursing Bank Sometimes the issuing bank names a bank where it keeps
funds in the currency of the Documentary credit to pay drawee or negotiating
banks on its behalf. This bank is known as a reimbursing bank, and is usually
named under the special instructions portion of the Documentary credit.
 Negotiating Bank A bank either nominated by the beneficiary under a freely

negotiable Documentary credit or designated as a restricted negotiating bank by
the issuing bank. Allows more flexibility in making payment, and enables
beneficiaries to present documents for payment to their local international bank.
FEATURES OF DOCUMENTARY CREDIT MODULE:
The following features are supported in Finacle:
 Issuance of DC
 Maintenance of liability of the Bank / Parties
 Creation of contingent transactions
 Advising of a DC
 Amendment of a DC (Value / Validity / General amendment)
 Reinstatement of DC
 Transferring of the DC to a third party
 Calculation of charges for various activities either in Home currency or in

DC currency
 Amortization of charges.

 Maintenance of Margins by way of cash and lien as security
 DC History maintenance
 Maintain Bank/country limits
 Linking with the Bills module
 Linking with BG module
 Linking with Forward Contract module
 Maintenance DC / Amendment Texts
 Generation of DC / Amendments texts in Mail / Telex / Swift formats.
 Maintenance of messages of Drawee / Drawer / Negotiating Bank
 Opening/Modifying/Amending/Advising/utilising DC across SOLS
 Sharing of Bank charges across SOLs
2 SECTION OBJECTIVE
By the end of this section you should be able to
 Set up different types of registers for Documentary Credits
 Perform various functions like issue, amendment, utilization etc.
 Create set of text templates to be used in the DC.
 Inquiry on Documentary Credits
 Generate different types of reports
3 PROCESSES INVOLVED
3.1.1 FLOW CHART – FLOW OF DC:

1 Purchase/Sale Agreement between Buyer & Seller

SELLER /
9 BUYER /
BENEFICIARY
APPLICANT
Buyer
exchanges
documents for
goods.
5
The seller produces and
ships the goods to the 3
buyer and presents the Buyer's Bank
documents to the Issues the LC
NEGOTIATING BANK (may and transmits
be his/her bank) a copy to the
8 sellers bank
Buyer's bank via SWIFT
debits buyer's
account and 2
NEGOTIATING RE-IMBURSING
BANK BANK releases DC The Buyer
documents Applies
for a Letter of
Credit to his/her
bank
6
The Seller's Bank
or the Negotiating 7
Bank examines the The buyer's
documents, pays bank (or the
the seller and RE-IMBURSING
sends the BANK) examines BUYER's BANK /
documents to the documents ISSUING BANK
Issuing/buyer's and re-imburses
bank the seller's or
NEGOTIATING
bank
4
Seller's Bank
Confirms the
advised LC and
sends it to Seller
3
BUYER's BANK / THE LC can also
CORRESPONDENT / reach the Seller's
ISSUING BANK /
ADVISING BANK
CONFIRMING BANK Bank via a
CORRESPONDENT/
ADVISING BANK
3.1.2 FLOW OF DC EXPLAINED:

(Following is a simple cycle of a DC)
1. The buyer fills out a Documentary credit application which satisfies the terms of the
purchase agreement plus the requirements of customs law, shipment, and document
coordination.

2. The bank issuing the Documentary credit (usually the buyer's bank), rechecks the
application to ensure that it is complete and workable. The Documentary credit is then
issued after the buyer's credit facilities are verified.
3. The issuing bank transmits the Documentary credit to a correspondent bank by telex,
S.W.I.F.T., or airmail and asks them to advice or confirm/the/instrument.
4. The correspondent bank receives the Documentary credit, checks authenticity, records,
and transmits the instrument to the seller or beneficiary, and adds their confirmation if
requested. Upon receipt of the Documentary credit, the seller should carefully review it to
determine whether he or she can comply with its performance requirements and whether it
is acceptable from a credit standpoint.
5. Upon determination that the Documentary credit is acceptable, the seller should ship
the goods precisely pursuant to its terms and conditions. The seller must prepare
documents exactly as required and then present them to the proper paying bank. The
proper paying bank may be any bank specified in the Documentary credit to accept, pay,
or negotiate. This may be the advising bank, confirming bank, issuing bank, or (on a freely
negotiable credit) any bank that is willing to negotiate.
6. When the paying bank receives the documents, it will examine them to determine if
they are in order pursuant to the Documentary credit's terms and conditions. The bank
may pay, accept, or negotiate if documents are in order as required by the Documentary
credit. The paying bank will transmit the documents to the issuing bank and request
reimbursement. Reimbursement may come direct from the issuing bank or the issuing
bank may have instructions added to the Documentary credit to reimburse on another
bank or to simply charge its account.
7. Upon receiving the documents, the issuing bank will examine them to ensure that they
are in order as specified and then reimburse the negotiating bank. For time drafts,
reimbursement is made at maturity of the Banker's Acceptance.
8. The issuing bank debits the buyer's account and releases the documents.
9. The buyer exchanges the shipping documents for the goods.

4 DBA RELATED ACTIVITIES
4.1 INITIAL SET UP – OPERATING SYSTEM LEVEL

4.1.1 VALUES SET IN „CUST-OPTION‟ FILE
Nil
4.2 INITIAL SET UP – APPLICATION LEVEL

4.2.1 REFERENCE CODES

At the time of DC Type Parameter Maintenance opening, following reference codes should
be in place
Reference type Where / How useful?
Mode of Refers to the mode through which the goods specified to be

Shipment shipped under the DC (Air, Sea, Land, etc).
Mode of Despatch The transmission mode of the full text DC following the
Establish Follower issuance of short text DC ((Mail / Telex / Swift).
Miscellaneous Terms on shipment,Commodity code,Licence code,paysys

codes code etc

4.2.2 EXCEPTIONS
EXCEPTION EVENT DURING WHICH THE EXCEPTION IS RAISED
DESCRIPTION
Limit Node Expired When the limit node attached to the DC has expired
DC Sanction if the Sanction period for the DC is completed. (bod_date >
Expired “DC sanctions expiry date” specified
Party's Limit if the party‟s liability limit is exceeded by the DC. Available
Exceeded amount of DC > (Sanctioned Limit of DC – Utilised limit)
System Charges if the charges are modified during a particular event of the
Modified DC.
Max. Validity The maximum validity period for the DC has exceeded ie.
Exceeded (Expiry-date – open-date) > Max. Valid. allowed(days) set in
DCTPM
Action after DC Some action is being taken on a DC after it has expired.

expiry dt
Cryst. liability If crystallized liability (Fructified DC amount under bills +
exists Fructified DC amount without bills )> 0 exists for a particular
DC.
Agnst House If the field “House Air Bill” = YES in ODCM at the time of
airways bill issue
Margin not yet if (Cash Margin percentage + Lien Margin percentage) at time
recovered of issue < the value set in the field “DC margin percentage” in
FPCM
Usance maximum If the usance period has exceeded the max usance period set
exceeded in the DCTPM option.
Max. negot.days If the negotiation period has exceeded the max negotiation
exceeded period set in the DCTPM option
No documents/ If there are no documents (no text for text type neither „C‟ nor
conditions „D‟) attached with a DC this is raised.
Acct.Bal. not Bal. Of the party_acct < total charges collected.

sufficient
Back Dated Bod_date > dc_open_date.
Transaction
Party Cautioned If the party to whom the DC is being is a cautioned party then
Exception this exception is raised.
Inward DC Max Validates whether the effective maximum advance value of the
Advn exceeded Inward DC is exceeded while doing amendment or transfer
event of the DC
Outward DC Validates whether the current value of the outward DC
exceeds export exceeds the effective maximum advance value of the export
advn order linked to the DC
4.2.3 ACCOUNT PLACEHOLDERS

Liab. Dr. A/c Pl.holder: This account is used for maintaining customer liability as a
contra to the Bank‟s liability. The account attached to this place holder should be a
partitioned account by type „DOCCR‟.

Liab. Cr. A/c Pl.holder: This is the account indicates the total amount of DC‟s issued by
the Bank on behalf of various customers. This also should be partitioned by type „DOCCR‟
Margin Cr A/c Pl.holder: Wherever margin money is collected for issue of DC, it will be
credited to this account This can be partitioned by type „DOCCR‟
P&L Account Place Holder: Account attached to this place holder is used to credit the
Commission income on amortisation. This is specified in HPTTM option. (This is required to
be created if the bank is going to amortise the charges).
4.2.4 BANK / SOL LEVEL PARAMETERS

Nil
4.2.5 SOL/SCHEME/REGISTER/CURRENCY LEVEL

PARAMETERS
Nil
4.2.6 DC CHARGES SET UP

Banks‟ levy charges for various DC activities. In Finacle, they are created using the option
„HPTTM‟. Amortization of charges is also supported for the various DC related events.
Five types of charge calculation methods are available –
Charge Code (Slab based – Created using HASTM option),
Fixed Amount,
Variable amount (Percentage Based),

MRT (Formula based),
SCRPT (Script based).
HASTM option is used to set up differential charge percentage based on the amount
involved. The charges are basically „event based‟ – i.e., charges are calculated on
occurrence of an event.

The events for the DC related charges are
EVENTTYPE - Purpose
 DCISS - DC Issue
 DCADV - DC Advice
 DCAMD - DC amend
 DCNBL - DC No Bill utilisation
 DCREN - DC Reinstatement
 DCTRN - DC Transfer
 DCCLS - DC Close.
 DCMIS - Misc Charges
 DCUNC - DC Unclose
We can create Event ids for the above event types .The ID can be a single event id for all the
event types or different ID‟s for different Events.
Note: For more details on HPTTM, please refer the document on “Charges”.
Amortize (√/null): Whether the charges for a particular DC related Event type/event_id
combination is to be amortised over the period of the DC or not is decided by this field.
This field is default populated as „null‟ (amortisation not required). If „checked‟, the P&L
Account Placeholder‟ field becomes mandatory.
P&L Account Place Holder: This is the Income account credited during amortisation
process. This field is a co-mandatory field. It is mandatory only if field „Amortize‟ field is
„checked‟. Only OAB Scheme type accounts are to be entered.
Minimum Amount for Amortization: Banks may follow a policy of amortizing

commission only if the amount is large. The threshold value will be captured in this field.
When the commission amount derived is less than the amount mentioned in this field,
though credited to the Advance income account, will be transferred to P&L Account on
running of amortisation process (explained later). This has to be in charge collection
currency.
4.2.7 CURRENCY CALANDER

Currency Calendar – This field is a check box. Only if this field is selected, the concept of
Currency calendar would be implemented at the bank level

Currency Calendar Treatment – This field is an option button field. It has three options -
Next, Previous, and Current. Based on the option selected, the transaction would go on.
If Next is selected and if any transaction occurs on a holiday, it would be carried out on the
next working day. The same applies for the other options also.
The Currency Holiday Exception is displayed for following events if there is an exception
set for that currency:
Add – Expiry date / Claim Expiry date.
Invoke - Invocation Value Date
The checks are validated if „Currency Calendar‟ implemented flag is set at HSCFM level and
the participating currency is not home currency.
4.2.8 CURRENCY CALENDAR TABLE MAINTENANCE

The HCALM menu is the Calendar Table Maintenance Menu. This menu is for
marking a specific day as holiday for a specific currency in the HOLT table. The
HOLT table stores all the holidays which have been marked for the year.
4.2.9 MAINTAIN TEXT – MTT

The menu option MTT - Maintain Text is used to add, inquire, modify, cancel or copy
details of text messages required for a Documentary Credit and other modules in Trade
Finance. Using the MTT menu option, user can also maintain different messages,
instructions, lists of documents and conditions related to a Bank Guarantee.

Screen shot of the menu MTT
The criteria screen consists of the following fields ;
Function : It is a mandatory Alpha-numeric field and the various options are
A - Add
C - Copy
D - Del
I - Inquire
L - List
M - Modify
V - Verify
X – Cancel
Module Id : Select the module for which the text is to be maintained

Eg : Documentary credit or Bank guarantee.
Text Type : Select the code for the type of text to be maintained form the list.
Valid Values:
A - Amendment
C - Conditions
D - Documents
I - Instructions
F - Free
T - Template
N - Insurance
R - Freight
S – SWIFT
G – Goods description
Text ID : The Id assigned ot the text being created is keyed here.
The fields new module Id , Next text Id and next text type are valid for copying an existing
text.

Text description :
You can type data up to 26000 characters in this field but cannot type blank lines. You
can use the script hook TextData.scr to control the number of lines and the number of
characters / line.
4.2.10 MAINTAIN INSTRUCTION CODES

The menu option MIC is used to create and maintain instruction codes for the modules
given below. The same can be used in the respective entity menus.
 Documentary Credits
 Bank Guarantee
 Forward Contract
 Packing Credits
 Bills
 Remittances
 Others
The various operations of Maintain Instruction Codes are achieved through the following
set screens.
The functions that can be performed are:
 A - Add
 M - Modify
 C - Copy
 L - List
 I - Inquire
 D - Delete
 U - Undelete
You can indicate the code to be used for the message and its description as well
MIC criteria screen

MIC details screen
.
4.2.11 MAINTAIN COMMODITY
Use the MCY menu option to capture the commodity details. Commodity code is a
HRRCDM code. The menu option captures two limit IDs namely the Export Limit ID and the
Import Limit ID. A commodity can be marked as a restricted commodity by setting the
restricted flag as „YES‟. If a commodity is restricted, then no updates will be allowed for
any entity linked to the commodity.
A commodity can be deleted with the „DELETE‟ function.
A list option is provided to list all the commodity codes maintained through the menu
option in addition to the list, which lists all the commodity codes, maintained through the
HRRCDM menu option. All commodity codes maintained in HRRCDM and MCY will be listed
only in Add Mode and in all the rest of the modes, only listing of those maintained through
MCY will be done.
The Exception Commodity Limit Exceeded Exception is raised when limit specified is
exceeded. This exception is set at HSCFM.
MCY Criteria screen
MCY detail screen

4.2.12 D C TYPE PARAMETER MAINTENANCE (DCTPM)
The basic parameters relating to the features of Documentary Credits are set in a
“Register” through this option. The default data values for Documentary Credits (DC)
(which are issued/ advised) are set-up here. The parameters defined at DCTPM will be
auto populated at DC level and certain parameters can be modified at DC level as
well.(The menu option of DCTPM in the earlier versions is replaced with DCTPM)
The system broadly classifies the DC as Inland / Foreign - Outward / Inward. Further
classification of Registers according to Banks' own requirement is possible. The DCs can be
classified according to Usance period, currency, etc. The Registers' code and their default
values are defined through DCTPM option.
For ex.
Outward DC Inward DC
Sight Usance Sight Usance
Menu Option: DCTPM

The criteria screen consists of the following:
Function Code: Mandatory field. It allows the user to select a specific operation.
The functionality of different modes is as follows:
Add Mode : In Add mode a new DC Type can be added.
Modify Mode : In modify mode an already existing DC Type can be altered. For further
modification record needs to be verified before modification.
Verify Mode : In Verify mode a different user is allowed to verify a newly added or
modified record.
Cancel Mode : In Cancel mode User can cancel the previous modifications to the record
which is unverified.
Inquire Mode : In Inquire mode the user can inquire for a particular DC Type record
which is verified.
Delete Mode : In delete mode User can delete the verified record.
Undelete Mode : In undelete mode user is able to undelete a deleted record which is
unverified.
Screen shot for details screen of DCTPM.( GENERAL TAB )

In the of DCTPM screen
DC Type Desc: This is Register description. This is a mandatory field.
DC sub Type: Flag to indicate DC Sub Type. This can have values as
revolving/standby/back to back.This is a non-mandatory field.
Inward/Outward Indicator: This is to identify the Purpose of DC. (I - Inward DC OR O

- Outward DC). Once the value is set, it is NOT modifiable
Inland/Foreign Ind : This is to identify the DC as I - Inland DC or F - Foreign DC. This

field is also not modifiable once set.
DC Id Generation: Field to check for DC ID generated type. (S - DC No. is System

Generated OR U - DC No. is User Given.) This is a non mandatory field. If not checked its
value by default will be taken as U i.e. user given.
Sequence: The sequence number needs to be mentioned when DC Id is System

generated.
Related Limits : This can be either B–Bank Limits or C-country Limits or A-All.
This is non mandatory field.
Charge Event Id: This is the charge code, created through HPTTM option. The details of
charges to be collected are specified here. The different DC event types for which charges
set up can be done are DCISS (for DC issue), DCAMD (amendment of DCs issued), DCREN
(reinstatement of a revolving DC), DCADV (DC advising), DCCLS (DC closure charges),

DCTFR (charges during DC transfer), DCNBL (charges during DC Utilisation without bills).
The set up for amortisation is also done through HPTTM.
Transferable: DC transferable flag. Valid values are Y, N and S-Stand by. ( Non-
Mandatory)
Transfer DC No. Code: This is the number code for transfer DC number generation. (
Non-Mandatory)
Tolerance pcnt: The amount in percentage above/below the current value of the DC up to
which the beneficiary can withdraw. The value can be either negative or positive. This is
defaulted at the time of issue/advise of the DC. Example: DC open value = USD1000
Negative Tolerance = 10%
DC open value = USD 1000

DC Current value = USD 1000
DC avail Value = USD 1000
DC utilised amount = 0
When the available value is less than or equal to USD100 (i.e. 10% of the DC value), DC
closure will be permitted.
C) If '+ and -' Tolerance fields are entered, then the available value will be increased with
the positive tolerance amount over and above the documentary credit issued amount.
Contingent liability amount will be inclusive of additional tolerance amount. But closure of
LC will be permitted, when the LC available value is less than or equal to the negative
tolerance percentage.
Max DC Validity: Max validity period of the DC.
Max Usance Allowed: Maximum usance period of the DC.
Max Negotiation Allowed: Maximum no. of negotiation days for the DC. This is a
mandatory field. Its value can be zero.
Max Reinstatements: Maximum number of times DC can be reinstated. This field is

enabled & value needs to be non-zero when DC Sub Type is Revolving.
Manual Upload : This field is used at the time of migrating from an existing system or an
un-computerised system to Finacle. This field will have value „Y‟, until all the un-
computerised/(existing sytem) data is uploaded. When the value is „Y‟, it allows the user
to input a DC which has expired. Once all the DCs are uploaded, this field should be made
as „N‟, so that user will not be able to input the DCs whose expiry date is less than BOD
date.
CONTINGENCY ACCOUNTING DETAILS

Create Contingent Liability Tran.: Liability transaction flag to indicate if contingent

liability transactions to be created. This can be either Y-Yes or N- No . This is a mandatory
field.
User has the option of maintaining liability accounts either in Home Currency or in DC
currency. If contingent liability entries are to be passed in respective DC currencies, then
user will have to open as many office accounts. The contingent accounts can be
partitioned by type „DOCCR or ASSET‟, so that DC-wise break up of liability will be vailable,
in the contingent accounts. The following fields are related to contingent liability creation.
Gen. Liab.Transactions : Banks which do not have the policy of creating contingent
accounting for DC activities, should set the value of this flag as „N‟. If this flag is set as „Y‟
,then in case of outward DCs , liability transactions will be created, at the time of issue of
the DC. (In case of Inward DCs (advice), if „Add Confirmation‟ flag in IDCM is set as „Y‟,
only then the contingent accounting entries will be generated.)
Contingent Accounting In: This can be in home Currency or DC currency. Disabled

initially & enabled & mandatory when Liability transaction flag is Y i.e. it‟s a conditional
mandatory field.
Contingent Rate Code: This is a mandatory field. It gives the rate at which the
contingent entries have to be applied.This rate code should be a valid one.
Contingent Dr Placeholder: This is a placeholder field with scheme type OAA or OAB.
This is disabled initially & is enabled and mandatory when Liability transaction flag is Y.
Contingent Cr Placeholder: This is a placeholder field with scheme type OAA or OAB.
This is disabled initially & is enabled & mandatory when Liability transaction flag is Y.
Margin A/c. Indicator: This field decides whether the margin is to be collected in the
home currency (H) or the DC currency (D).
Margin Cr A/c Pl.holder: Once the above field is specified, this place holder has to be
specified. Margin money collected for the DC, be credited to the accounts attached to this
placeholder. The accounts can be partitioned by type „DOCCR‟. User has to ensure to open
margin accounts in different currencies if the bank decides to collect the margin in the DC
currency.
EXCEPTIONS DETAILS TAB

The above exceptions have already been explained.
5 GENERAL USER ACTIVITIES

5.1 OUTWARD DOCUMENTARY CREDIT
5.1.1 MAINTENANCE:( ODCM)
BUSINESS PROCESS
CREATE CIF ID
Before issue of DCs through the ODCM menu option, the user must first visit CRM - RETAIL
CIF or CORPORATE CIF for CIF ID creation for the customer of the bank and to incorporate
Trade Finance details like DC Sanctioning Authority, DC Margin Percentage, DC Sanctioning

Expiry date, DC Next No Code and Caution Status wherever required. These details are
defaulted at the time of DC issue through the ODCM menu option.
The following exceptions are also raised by the Core Banking Solution based on above
input:
 DC Sanction Expired
 Margin not yet recovered
 Party cautioned Exception
You must then visit CRM - RETAIL CIF or CORPORATE CIF for CIF ID creation for the
customer‟s overseas buyer or seller.
The Menu option ODCM is used to issue and maintain Documentary credits established .
The function block has the following options:
 S- Issue
 M- Modify
 C- Copy
 A - Ammendment
 T Ammendment Status Maintenance

 R Reinstatement
 U Non-Bill Utilization
 X- Cancel
 V Verify
 I Inquire
 Z Close
 Y- Unclose
The screen is as under:

ISSUANCE OF DC (S) :
The ODCM menu option is used to issue and maintain an outward Documentary Credit. By
invoking the ODCM menu option, you are taken to ODCM criteria screen showing the
fields:
You can specify the details:
 Function
 SOL ID
 DC Type
 CCY
 CIF ID
 DC No.
 New DC No.
In order to issue a Documentary Credit in ODCM menu option the General details tab
,Related party tab and the DC details tab need to be visited mandatorily –
GENERAL DETAILS TAB

Applicant Details: It captures the CIF ID, name and address of the applicant and the ID
of the customer's operative account. The operative account can be used to debit charges,
recover margin amount and also for payment to be made to the bank under import letter
of credit .
Amount Details: This captures the initial value of the documentary credit (DC), date of
issue of DC, the amount of pre shipment advance extended against red clause letter of
credit and the percentage of tolerance permitted in the value of the documentary credit.
You can specify either positive or negative value in the Tolerance pcnt field. It also
captures the details of percentage of interest payable and any additional interest payable
under the letter of credit.
Note :1) DC Curr. Value represents „DC open value‟ “+ or –“ „DC Amendment Amt‟
2) DC Avail value represents : {(DC Current_Value – DC Carved Amt) * [1 + (Tolerance

Percent/100)]} – (No_bill_Utilised amount) – (No_bill_Fructified amount) – (Advance
amount) + (reinstated amount) + (Int_add_amount) – (Bills lodged)
Purchase order details: This captures the details of the purchase order which forms the
basis for issuing a documentary credit. The date of issue, purchase order number, the
number of amendments issued and the last amendment date are captured here.

Pre advice flag: You can indicate if pre advice of documentary credit is required to be
done by selecting the appropriate option. The valid values are Yes and No.
Other details : This captures the miscellaneous details like correspondent bank‟s
reference number , payment system through which Documentary Credits are transmitted,
the amount of unverified Documentary Credit in home currency, DC Carved Amt(amount of
Documentary Credit pending verification) etc.
RELATED PARTY DETAILS TAB:
The related Party Details screen provides:
Beneficiary Details: This captures the name, address and CIF ID of the beneficiary of a
letter of credit. It also captures the ID of the operative account to be used for debiting
letter of credit related charges and for making payment under the letter of credit.
Applicant Bank: This captures the name, address, bank, branch code and BIC address of
the applicant bank.
Issuing Bank: This captures the name, address, bank, branch code and BIC address of
the issuing bank.
Advising Bank: This captures the name, address, bank, branch code and BIC address of
the advising bank.
Drawee Details: This captures the name, address, bank, branch code and BIC address of
the drawee bank. The drawee bank is the one which is mentioned as the drawee of the
draft or bill of exchange to be submitted under the letter of credit. The bank confirming the
import letter of credit is the drawee bank.
Available with Bank: This captures the name, address, bank, branch code and BIC
address of the bank with whom the letter of credit is available for negotiation.
Reimbursing Bank: This captures the name, address, bank, branch code and BIC address
of the reimbursing bank.
Advise through Bank: This captures the name, address, bank, branch code and BIC
address of the advise through bank.

Screen shot of Related party details TAB

Related party (page 2 contd)
SWIFT Address Details Popup Screen:
The basic idea of this popup is to facilitate the user to enter the address in SWIFT format.
Data entered here only will be considered for swift messages.

The address details popup screen is brought up on clicking of the icon provided in the
dynamic screen of Related Party Details .It allows the user to view address details.
Screen shot of Address Details Viewer
Fields
The address details popup screen contains four fields namely Name, Address Line1,
Address Line 2 and Address Line 3 of size 35 characters each (in sync with SWIFT
standard)
DC DETAILS TAB:
Form of Documentary Credit : Indicates the type of DC.
Revolving DC Details : Gives the following details Reinstatement Type,Max

Reinstatements , Day, Reinstatement by Amt , Reinstatement date
Back to Back Details : Gives the Back to back DC No
Rules : The rules and subrules are keyed here.
Tenor Details : The duration details are keyed here and the fields are ,Tenor ,Usance
Period,Tenor Details,Period for presentation .
Expiry Details : The expiry details of the DC are keyed in these fields.
Shipment Details : The mode and the last date of shipment of the goods are keyed in
this fields . This captures Partial Shipment ,Trans shipment ,Latest date of shipment,
Negotiation Period , Shipment Period, Shipment Mode, Shipment terms,Desc, Place of
taking charge, Port of Loading/ Airport of departure ,Port of discharge/ Airport of
destination , House Airway Bill , Consolidated/ shipping agents ,
Commodity Details : This captures the origin of goods, code of the commodity,
description of goods and the details of the license which covers import of goods specified
in the documentary credit
Insurance Details :This captures the details of insurance such as the name of the
insurance company, insurance policy number/date, insured amount/ percentage of the
value of the goods insured, premium amount and the place of payment of claim under the
policy
Reimbursement message details: This captures the details of the reimbursement

message if any and the date and rules of the message.

Other Details : This captures the details of the documents required to be submitted under
the letter of credit and the details of additional conditions to be incorporated in the DC.
This also indicates if the letter of credit is to be confirmed and the details of the bank
which confirms the letter of credit. The other details such as instructions to paying/
negotiating bank, sender to receiver information, percentage of commission payable to the
agent, capital adequacy code and the person who will bear the charges related to the
documentary credit are also captured here.

click on Page 2 of DC Details following screen will be displayed:
INSTRUCTIONS DETAILS TAB

It captures the date of instruction, the person who has given the instructions (applicant,
beneficiary, collecting bank, self and others) and the text of the instruction. You can view

the existing instructions given by the applicant, beneficiary, collecting bank, self and all
instructions by selecting the appropriate selection criteria.
During Issue, Instruction Details tab is available in enterable mode and user can enter the
necessary details.
Using this tab user can perform the following :-
1) Adding Instructions 2) Deleting Instructions 3) Modify Instructions 4)
Inquiry/View Instructions 5) Filtering Instructions
ADD AN INSTRUCTION : To add an instruction user must enter 3 field details i.e.
Instruction Date, Instruction By and Instruction displayed on the lower panel of the screen.
( The instruction length should be less than or equal to 80.)
Following is the screen shot of Instruction Screen on clicking ADD NEW button
Following is the screen shot of Instruction Screen after record gets added into the Multi-
Rec
DELETE AN INSTRUCTION
User can delete an instruction by selecting DEL FLG check box provided on the instruction
screen and clicking on Submit button. It is important to note that only LOGICAL DELETION
of the record takes place.
Following is the screen shot of Instruction Screen for performing DELETION operation

Following is the screen shot of Instruction Screen after performing DELETION operation
MODIFY AN INSTRUCTION :
User can modify any of the three fields displayed on lower panel of the Instruction Screen.
For example, for a particular record user can change Instruction By field from A-Applicant
/Drawee to B – Beneficiary/Drawee.
INQUIRY/VIEW AN INSTRUCTION
User can inquire/view an instruction either by CLICKING on a particular record in the Multi-
Rec or by entering the RECORD NUMBER. Various details of the record will be visible in the
panel below the Multi-Rec. However all the enterable details and the add new button is
disabled.
FILTER AN INSTRUCTION
Instruction Details tab also provides a feature whereby user can sort/filter the records
based on

A – Applicant/Drawee Message
B – Beneficiary/Drawee Message
N – Collecting Bank Message
O – Other Messages
S – Self Messages
L – All Messages
Following is the screen shot of Instruction Screen for performing FILTER operation
CHARGE DETAILS TAB :

In ODCM menu charges screen is used to display the calculated charges and to collect the
same.
This menu captures details such as the Event ID (used for calculation of the charge), the
ID of the charge account, the ID of the operative account to which charges are to be
debited and the person who has to bear the charges (applicant, beneficiary and both).
There is a facility to split the charges if it is payable by both applicant and the beneficiary.
There is a facility to collect the charges either immediately or on a later date. You can
specify a deferment schedule for recovery of charges. It also captures the amount of
charge to be waived and remarks related to charge waiver.
During DC event for example Issue charges can be collected by visiting the charges tab.
On visiting the charges tab for the first time data will be fetched from the PTTM set up for
the corresponding charge event id.
HPTTM set up: For a particular event, charges should first be set up in HPTTM menu.
Charge event id can be mentioned at the register level(DCTPM). On visiting the charges
tab, based on the event id set at the register level default charges will be displayed .If
there is no charge event id set for the register a message will be shown to the user that
“Charge Event Id is not set for this DC Type”.

On click on Charge Details following screen will be displayed:
It is important to note that during charge collection, User can either collect full amount as
immediate or part as waiver and part as later. Also during each individual event like
Issue, Amend etc default charges will be displayed.
There are seven columns namely Dr./Cr., A/c Id, Charge Desc, Ccy, Calculated
Amt./Collected Amt., Operative A/c Id , and Rate Code/Rate.
It is important to note that the records cannot be added and existing record cannot be
deleted but only be modified. Hence a recalculate button has been provided.
Charges will be auto calculated as per the event ID specified. If user modifies the event Id,
he has to press Recalculate button, to trigger the calculation of charges. Further, in the
same event, if user visits already visited tabs and change some numeric value, which may
affect charge calculation, then he has to visit the Charge Tab and press Recalculate button
to trigger the charge calculation again.
The section above the multi-rec contains data static to a particular record viz, Charge
Event Id and Event Amount.
For each of the record in the multirec that is highlighted, its details are also displayed in
the fields below the multirec.
Charge A/c. ID :. It allows the user to enter operative a/c id.

Charges Borne By: Mandatory Field. Valid values for this field are A-Applicant, B-
beneficiary & T-Both.

Calculated Amt.: Display Label Field. It allows the user to pay part of the system calc
amount as immediate, part later and part can be waived off or whole of the system calc
amt can be collected as immediate, whole of it can be collected as later or whole can even
be waived off. Therefore,
Calculated Amt = Immediate Amt + Later Amt + Waiver Amt + Split Amt
Example:
System Calculated Amt 1000 USD
Immediate Amt 500 USD
Later Collection Amt 500 USD
Waiver Amt 0
Split Amt 0
I.e System Calculated Amt. of 1000 USD can be paid by the user as part Immediate (500
USD) and part as Later (500 USD).
However if in HPTTM modify flag for a particular record is ‘No’ then the full charge amount
is to be collected as Immediate. If the user tries to modify the amount and tries to collect
it as later/waiver then the system will throw corresponding error message - ‘Charge
collection amount is not modifiable according to the charge set up’.
VALIDATIONS
1.) If the collection amt is greater than the balance available error message
„Charge Amt to be collected exceeds the balance available in the
A/c‟ is displayed on the screen.
2.) Ensure that the cif id entered is similar to the operative a/c cif id and if not
warning message „The CIF ID [%s] of the operative account does not
match with that of CIF ID entered‟ is displayed on the screen.
3.) Ensure that the sum of amounts i.e. Immediate, Later and Waiver equals
the System Calculated Amt. and if not error message „Sum of
Immediate, Later and waiver amount should be equal to the system
calculated charge amount‟ is displayed on the screen.
4.) Ensure that the charge A/c Id is a partitioned a/c, and the a/c is
partitioned only by the entity type and if not error message „A/c[%s] can
only be partitioned by entity type [%s] ‟ is displayed on the screen.
For e.g. if the entity type is DOCCR, then charge a/c id can be partitioned
by DOCCR only.
5.) Ensure that the Operative a/c id entered should be of scheme type
SBA/CCA/CAA/ODA and if not appropriate error message is displayed on
the screen.
SPLIT CHARGES
There is an option of splitting the charges and collecting the same from both the parties
(i.e., Applicant and Beneficiary) .

For ODCM menu, the “Charges Borne By” field will be populated by Applicant by
default from whom the charges need to be collected. The other option available for
the user in this field is “Both” as shown below in the screen shot.
When the charges are to be split between the parties, the user needs to select charges
borne by as “Both”. Once it is selected the fields Split Pcnt and Split Amt will be enabled
and the explode icon for entering the Split details will be shown to the user.
It is mandatory for the user to enter either Split Pcnt or the Split Amt field if charges borne
by are selected as Both. If none of the two fields is entered, the user will be prompted to
enter the Split Amt field. The Immediate Collection Amt is derived by deducting the split
Amount from the System calculated amount.
The explode icon next to the Split Amt field ,opens the split screen with the “Party To
charge” field populated as Beneficiary by default. The amount calculated to be collected
from the beneficiary is populated in the later collection Amt by default. The user can
collect the same as immediate collection Amt also. But the A/c id needs to be entered for
the same. Charges can also be waived off.

Party To charge field can be changed to Others incase the charge is to be collected from an
A/c of other party.
On Accept the control will come back to the charge details screen
During modification of charges, it is possible to modify the split charge details if entered
before. It is possible to cancel the same if entered before. It is also possible to split the
charges now in case it was not done previously.
During verification, split charge screen can be viewed. On submit of the charges screen,
transaction will be created based on whether any amount has been collected immediately
either from the Applicant (charge screen) or the Beneficiary (Split screen).
The same functionality of splitting of charges is applicable in IDCM also. But the difference
being in the charges borne by field. In IDCM, the charge screen will have Beneficiary as
the charges borne by, by default. The user can select “Both” for splitting of charges.
On visiting the split screen, the Party to charge will be default populated as Applicant,
while the user has an option of changing it to other party. Other functionality remains the
same as that for ODCM.
DEFERRED WORKOUT FROM CHARGES SCREEN

In the charge screen (Fig.1) below, the 1st Record will be addressed as ECRec1 and the
second record will be addressed as ECRec2.
For ECRec1, Calculated Amount is USD 500.00 and Immediate Collection Amount is USD
500.00.
For ECRec2, Calculated Amount is USD 10,000.00 and Immediate Collection Amount is
USD 10,000.00.

Fig.1
In Issue, Modify or Verify Mode, whenever Deferred Schedule Applicable? = Yes,

the user will not be prompted to explode to the Deferred Screen.
The user may or may not explode to the deferred screen in the following cases:
1. Case I – User does not explode the deferred Charge Screen with Deferred
Schedule Applicable? = Yes
As Shown in charge screen (Fig.2), for ECRec1, the Calculated Amount is USD 500.00 and
Immediate Collection Amount by default populated as USD 500.00. This Immediate
Collection Amount can be changed to USD 100.00 and the Later Collection Amount can be
given as USD 400.00, so the waiver amount is calculated and shown as USD 0.00.
If the user selects the Deferred Schedule Applicable? as Yes and he does not explode to
the deferred screen, and , if the user enters later collection date, then a single deferred
record is created on Submit consisting of Later Collection Amount as USD 400 and Later
Collection Date as entered for ECRec1.
If the user does not enter later collection date, then there will be no deferred record
created for ECRec1.
Similarly for the ECRec2, the user may repeat the same process as that for ECRec1
mentioned above.

2. Case II – User explodes to the deferred Charge Screen and with Deferred
Schedule Applicable? = Yes
If the Immediate Collection Amount can be changed to USD 100.00 and the Later
Collection Amount can be given as USD 400.00 .
If the user selects the Deferred Schedule Applicable? as Yes and he explodes to the
deferred screen, then the deferred screen will come up as shown .
Start Date and End Date are MANDATORY fields which will be default populated as the
following cases:
Sl.No. In Case Of Start Date (default End Date (default populated by)
populated by)
1 DC BOD DC Expiry Date (in DC details page)
2 DC Amend BOD DC Amend Date
1.Total Charge Calculated on the deferred screen is populated from the Calculated Amount
in charge screen for ECRec1( USD 500.00)
2.Total Charge to be Collected on the deferred screen is populated from the Later
Collection Amount in charge screen for ECRec1. ( USD 400.00)

A. User can manually enter the deferred schedule by entering for every record in the
deferred schedule the due date, the tran amount and tran remarks.
2. User can generate the deferred schedule by keying in the the Charge frequency , Start
date ,End date , No. Of instalments, and instalment amount
Note – During Modify and Verify Mode the data in the Header Section of the Deferred
Screen will not be available, only the Deferred Schedule can be seen by the user.
MODIFICATION OF CHARGE DETAILS:

In case of Modify mode the details entered during the ISSUE event for charges tab will be
shown to the user and these details are in modifiable form. If the charges tab has not been
visited during Issue then in modify mode the default charges from pttm set up will be
shown. That means if the user has not collected charges previously, he can do the same in
Modify mode.
VERIFICATION OF CHARGE DETAILS:

During verify mode on Submit, the charge transactions will be created only for immediate
collection amt .Transaction Posting is to be done by the caller of this tab. It is important to
note that modification of charges after verification is not possible and once verified charges
cannot be viewed again in charges tab. Charges can only be inquired in History screen.
MESSAGE DETAILS TAB:

Select the Message Details tab in the General Details screen of ODCM menu option to
capture message details and generate appropriate SWIFT Messages. The screen shows the
type of message, the details of the receiver of the message, mode of transmission and the
message option. The Message Type field is auto populated with values like issuance,
amendment, reimbursement instructions and so on. The S - Swift mode is shown as the

default value under the Mode of transmission field. The Receiver field shows the name
of the receiving bank or branch. The Message option field indicates if the related
message is to be generated by the system. The message option field cannot be changed
for mandatory messages. You can un-check the message option box, if you do not want to
send a non mandatory message. Click on the explode icon appearing under the view field
to see the generated Swift message. This does not support other transmission modes like
telex and mail. The Print button provided in the swift message screen can be used to take
a print of the concerned swift message
Message details can be visited only if a valid Paysys Id is entered e.g. SWIFT in general
details page
In ODCM (Outward Documentary Credits Maintenance) following messages can be
generated during different events:
MT700: During issue mode, mandatory message.
MT740: During issue mode, non-mandatory message, will be generated only if
reimbursing message is required.
MT707: During Amendment mode, mandatory message.
MT747: During amendment mode, generated only if an MT740 is already sent to the
reimbursing bank-branch.
MT700 (Issue of a Documentary Credit):

Criteria to be satisfied for MT700 generation:
Advising bank-branch details should be entered as this is the receiver of MT700.
DC should be either revocable or irrevocable. Both the flags cannot be null at a time.
Revoc flag, standby flag and transferrable flag cannot be Yes simultaneously.
Tolerance Percentage has to be a 2 digit value if Paysys id is SWIFT
Date and place of expiry are mandatory fields.
Available With…By details are mandatory, i.e. Available By is always mandatory. Available
with bank-branch code or bic code or swift name/address should be entered.
Beneficiary party details are mandatory i.e. either beneficiary a/c (prefixed with „/‟, max 35
chars) or beneficiary name-address in swift details should be entered. (Mandatory tag 59)

DC applicable rule is mandatory; if value is „OTHR‟, sub rule field is also mandatory
(Tag40E)
DC applicant party details are mandatory. Applicant party name-address in swift details
should be entered. (Tag 50a)
Below is the screenshot of MT700 message details screen:
MT740 (Authorization to reimburse):

Criteria: This message will be generated only when reimbursement message flag is set to
Y in dc details. However, this is not a mandatory message. User can either accept it during
issuance of a DC or it can be generated during modification of issuance.
Reimbursing bank-branch details should be entered as this is the receiver of MT740.
Available With…By details are mandatory, i.e. Available By is always mandatory. Available
with bank-branch code or bic code or swift name/address should be entered.
MT707 (Amendment to a Documentary Credit):

Criteria: Advising bank-branch details should be entered as this is the receiver of the
message . Amendment tolerance percentage has to be a 2 digit value. Beneficiary Party

Details should be entered i.e. either beneficiary account or beneficiary name-address

details in swift icon should be entered.
MT747 (Amendment to an Authorization to Reimburse):

Criteria: This message will be generated only during amendment if reimbursement
message flag is set to Y in dc details, reimbursing bank-branch details are entered and
one MT740 is already sent to the same reimbursing bank-branch.
As this is a non-mandatory message, it will be generated only if user accepts message
details during amendment.
VERIFICATION AND CANCELLATION of swift messages:

Swift messages generated during issue, advise, modify, amend, transfer events should be
accepted during verification or cancellation for their processing.
SWIFT MESSAGE HISTORY:

In the history details tab of IDCM/ODCM menus message history is available as an
explode. On click of this explode system will open up a listing of all the verified messages
available for that entity. This listing can have multiple generated messages. Each record is
provided with another explode to message details screen. User can view the generated
message through history after verification only.
Screenshot for message history Screen :
TEXT DETAILS TAB :

Text Details Tab can be used across various menu options of Trade Finance Module in
Finacle. The Text Details related to documentary credit are captured here. Using this tab
user can perform
1) Adding Text 2) Deleting Text 3) Modify Text 4) Inquiry/View Text
Following is the screen shot of Text Details Screen :

Text Details is a Multi-Rec format screen. There are four columns namely Text Type,
Template Id, Text Desc and Del Flg. To add a text user must enter Text Type and Text
Description displayed on the lower panel of the screen. The field Module id in the lower
panel gets auto populated with the module id for which text data is being maintained, i.e.
DOCCR in case of documentary credit related menus or BNKGR in case of guarantee menu
options. Template Id is not a mandatory field, however if user enters any value for
template id, it will be validated for exiting b2k ids for the module. Delete flag is provided
in case user has to delete any particular text record.
Text Type: Mandatory Field, user must select a value in order to add a text record.
Template Id: It is an optional field, basically provided to select an existing text template
from the database
Text Description: It‟s a mandatory Field. It can be entered only if text type is given. It
can be entered using a text editor and the text length is restricted as per the Text Type
entered. Text description will be fetched by system, if user selects an existing template
from searcher. This text description further can be modified for current record. If text data
is entered in any other tab for any of the text type provided in this tab, same will be auto-
populated in this tab and vice-versa. Screen-shot for the text editor is as follows:
Del Flg: Del Flag is a checkbox. If delete flag is checked during addition, the record will
not be considered for insertion into the database. If delete flag is checked during
modification, the record will be logically deleted from database.

ADD A TEXT
A Text can be added in one of the two ways listed below.

• „Add New‟ button
• Down Arrow
Following is the screen shot of Text Screen after record gets added into the Multi-Rec on
clicking ADD NEW button. In the footer part, screen will contain Submit, Validate and
Cancel buttons.
DELETE A TEXT
User can delete a text by selecting DEL FLG check box provided on the text screen. On
submitting this record, system will logically delete it from database and same will be
available for undelete operation.
Following is the screen shot of Text Screen for performing DELETION operation. Value for
delete flag column is YES for the deleted record.
MODIFY A TEXT

User can modify any of the 4 fields displayed on lower panel of the Text Details Screen.
For example, for a particular record user can change Text Type. Also, a new record for the
entity can be added through multirec during modification using Add new button or down
arrow.
INQUIRY/VIEW A TEXT
Only Non Deleted records will be listed in the multirec.
User can inquire/view a text either by clicking on a particular record in the Multi-Rec.
Details of the record will be visible in the panel below the Multirec. However all the
enterable details and the „add new‟ button is disabled. OK button is provided on the screen
to go back to criteria screen after viewing the records.
LIMIT DETAILS TAB :
Limit Details of DC is maintained using Limit Details Tab. This screen captures details such
as the limit ID,limit margin percentage and the related limits (bank limits, country limits).
This displays the approved limit and the amount available under the limit for further
utilization. You are taken to HLNI screen on clicking on the explode button provided
against the Limit ID field. This provides additional information about the limit under
consideration.
Following is the screen shot of Limit Details tab
On click of Submit or Validate button following validations take place -
Validation check to ensure whether user has correctly entered the limit Id field which
includes limit prefix and limit suffix, and if not respective error message is displayed on the
screen.
Validation check of date for limit expiry for respective limit node entered. If the date less
than BOD then error message „Limit node has expired„ is displayed on screen.
Limit Node field : It is an enterable filed which has a searcher for value selection. The
screen shot below show the web page dialog when clicked on limit node searcher.

An explode is present which when clicked opens HLNM for inquiry of Limit Node
Maintenance Details. The screen shot below shows the HLNM screen.
Limit Margin % : Limit Margin % is the other enterable field in limit details tab where
value entered should be in percentage format for Limit Margin.
Related Limits : Related Limits can be checked as the value required

MARGIN DETAILS TAB:

System is capable of collecting/maintaining margins either as Cash Margin or as Lien
margin. Margins held can be modified during the life of DC, by using the margin tab option.
User can select the valid values Collect, Release or Transfer. The user can specify the
amount (based on the percentage to be collected ) at the time of collecting the margin.
Type of Margin: Valid values are Cash and Lien
MarginAccount Id- This is the margin credit account (office account) in case of cash margin
which is default populated from the register level or the customer operative account in
case of Lien margin. Lien can also be marked for more than one Term Deposit account.
Operative account - This is applicable only for cash margin . This is the customer operative
account which will be debited. It can be in any currency.
Transfer a/c id: Suppose the user wants to transfer margin from Documentary Credits to
Bank Guarantee, transfer option in margin would be used. All the earlier verified
collections of the Documentary Credits will be displayed. The transfer account id will be
the account into which the transferred margin would be collected.
Margin amount - Amount to be collected will be accepted here. This amount is to be given
in the Margin office account currency.

Released amount - This will be protected in case of margin collection while during release
user has to enter the amount to be released.
Rate Code - This will be meaningful when the margin account and operative account are in
different currencies.
The margin transactions are created using MTT script B2K_Margin TransactionScrpt.scr.
The transaction is created on verification of the entity.
5.1.2 MODIFICATION OF ISSUED DC
You can modify some of the details of a DC after issue. This is done by invoking the
Function - M of the ODCM menu option. The buttons enabled for Modify mode is the same
as that for Issue Mode.
The following fields can be modified.
Applicant A/c
Drawee name
Address
Place of Expiry
Party Limit ID
FWC SOL./ Contract No.
Available with
Avail. by details
Beneficiary address
Part ship
Trans shipmnt.
Back to back
House Air way Bill
Other Bank Reference
Back to back DC No.
Drawee details
Purchase Order No.
Licence code & Licence description
Port of Origin
Port of Destination

Available with Bank
Charge Event ID
Mode of Transmission of Messages
5.1.3 VERIFICATION OF ISSUED DC:
In case of Verify mode the details entered during the issue of the documentary credit will
be shown to the user for verification and appear in non modifiable form. Only Submit and
Cancel buttons are enabled in Verify Mode.
5.1.4 COPY A DOCUMENTARY CREDIT

The Copy function of ODCM Criteria screen is used, when some of the details of a
Documentary Credit to be issued are similar to the details contained in a documentary
credit already issued.Even an unverified DC can be copied.
Select Copy function to copy the details of an existing Documentary Credit. Select or type
the number of the Documentary Credit which must be copied and also specify details in the
other fields appearing in ODCM Criteria screen.
The New DC No. must be specified in ODCM criteria screen, if the DC ID Generation
field in the General Details screen of DCTPM menu option is not enabled for generation of
ID by the system You can change the value of the various fields based on your
requirement.
5.1.5 AMENDMENT OF DC:

Amendments to the DCs‟ established can be made effected through ODCM menu, Sub-
Option - A. Combination of three types of amendments is possible. Viz., Change in value,
validity and general. An amendment can involve (a) Enhancement/Reduction of the value,
(b) Extension of the validity and (c) General amendment:
Following is the screen shot of ODCM for Amendment:

AMENDMENT DETAILS
Amendment Details tab contains the required field for a DC amendment. There are no
mandatory fields in Amendment Details tab, but there are some fields which are
mandatory while issuing the DC and so are entered and they get auto populated with
respect to the issued DC which is being amended.
Following is the screen shot of Amendment Details Screen:
This captures details such as the amount by which the value of the DC must be enhanced
or reduced, changes in tolerance percentage, change in tenor (sight, usance, mixed and so
on), usance period, tenor details, the person who has to bear charges, last date of
shipment, expiry date of DC, shipment period, negotiation period and the port of loading
and port of discharge. The details related to confirmation of letter of credit can also be
amended here.
The values of the fields DC Current Value and DC Available Value get updated by the
Core Banking Solution on verification of the amendment involving change in DC value. In
Amendment Details three fields have a text area popup; these fields are Shipment Period,
Narrative and Sender to Receiver Information.

VERIFICATION OF AMENDED DC:

As is the case of Verify mode the details entered during the amendment of the
documentary credit will be shown to the user for verification and appear in non modifiable
form. Only Submit and Cancel buttons are enabled in Verify Mode.
5.1.6 AMENDMENT STATUS MAINTENANCE OF DC

After a DC is amended, the user is required to update the „Status of the Amendment‟ by
using this sub-option to one of the values viz: „ A - Accepted‟, „R - Reject‟ or „ W - Waiting
for Acceptance‟. By default the value will be „ ”A-Accepted”‟. The user can change the
status as per the need. If the amendment takes place with the status as “W – Waiting for
acceptance” then the status has to be changed to either Accepted or Rejected. Till then the
amount (if amended) will be reflected as a carved amount in the general details screen is
effected.
5.1.7 REINSTATEMENT OF DC:

Reinstatement is the process of reinstating the utilized amount of a revolving Documentary
Credit. You cannot reinstate more than the utilized amount.
The screen interface is the same as that of utilization without bills, except that you can
type only reinstatement details and not the Utilization details.
You can also visit the charge details screen by clicking on Charge Details tab in ODCM
General Details screen. Specify the appropriate charge event ID for calculation of charges
The following fields in the Revolving DC Details Section in DC details tab should be entered
during Issuance of DC for Performing Reinstatement operation on a DC.
Form of Documentary Credit :Mandatory for Reinstatement to perform on a DC.

Revolving Flag should be checked.
Reinstatement Type :Mandatory Field. It allows the user to select a specific

Reinstatement type.(Either A - Advice Based or B- Bill
Based).
Max. Reinstatements :Mandatory Field. Max no of times Reinstatement can be

done for a DC. (It is a numeric field.).
2) Non Bill Utilization :Before reinstatement Non Bill Utilization Operation should
be performed on the DC. (Only the utilised portion of the
DC will be reinstated.

MODIFICATION OF REINSTATED DC:

In case of Modify mode the details entered during the reinstatement of the documentary
credit will be shown to the user and these details are in modifiable form. The buttons
enabled for Modify mode is the same as that for Reinstatement Mode.
VERIFICATION OF REINSTATED DC:
In case of Verify mode the details entered during the Reinstatement of the documentary
credit will be shown to the user for verification and appear in non modifiable form. Only
Submit and Cancel buttons are enabled in Verify Mode.
5.1.8 UTILIZATION DETAILS:

This shows the total amount of DC adjusted by submission of bills, the amount of fructified
bill liability, the shipping guarantee amount and the amount of non bill utilization made
under the letter of credit under consideration. Click on the explode icon appearing against
Total shipping guarantee amount field. You are taken to shipping guarantee details
screen which shows details such as SOL ID, Guarantee No, Currency, Guarantee amount,
Issue date, Bill of lading no and the status of the guarantee (Issued, invoked , closed and
so on . Click on the Explode icon appearing against Total bill utilization Amt field. You
are taken to bill utilization details screen which shows details such as SOL ID, Bill ID,
Currency, Bill amount, DC linked Amt, Currency Bill Liability, Lodge date and status of the
Bill ..

5.1.9 UTILISATION WITHOUT BILLS (U)

It is possible that some of the DCs are not utilized at all for some trade reasons (Bills not
drawn / DC not linked to the related bill during purchase event in MEOB / any residual
balance in the DC). In that case the user can use this option and specify in the particulars
field, that utilization by bills has not taken place & mark the value as reversed without
utilization. This will ensure that System will pass appropriate Liability entries and the DC
value is reduced.
This shows the total amount of DC adjusted by submission of bills, the amount of fructified
bill liability, the shipping guarantee amount and the amount of non bill utilization made
under the letter of credit under consideration. Click on the explode icon appearing against
Total shipping guarantee amount field. You are taken to shipping guarantee details
screen which shows details such as SOL ID, Guarantee No, Currency, Guarantee amount,
Issue date, Bill of lading no and the status of the guarantee (Issued, invoked , closed and
so on . Click on the Explode icon appearing against Total bill utilization Amt field. You
are taken to bill utilization details screen which shows details such as SOL ID, Bill ID,
Currency, Bill amount, DC linked Amt, Currency Bill Liability, Lodge date and status of Bill
5.1.10 NON BILL UTILIZATION DETAILS TAB:
The Non bill utilization details of the DC are manadatory for reinstatement of aa revolving
DC as only the Utilized portion of the bill can be reinstated.
Non Bill Utilization data of DC is maintained using this Tab. Non Bill Utilization Tab is
used in ODCM and IDCM menu options. The following five operations can be performed
with Non Bill Utilization Tab –Addition 2) Modification 3) Inquiry 4) Cancel 5) Verify

Preconditions for performing addition operation are:

No DC Event and No DC data should be pending for verification.
Precondition for performing modification operation is:
NBU event is pending for verification
Following is the screen shot of Non Bill Utilization Screen:
5.1.11 INQUIRE MODE:
In Inquire Mode all the fields are disabled & Only Ok button is displayed in all the tabs
which takes back control to criteria page. All the data which was entered can be seen using
Inquire mode. Inquiry can be done only for verified records.
The details of the General Details Tab , Related Party Details Tab , DC Details ,
Limit Details are mentioned earlier in the document .
HISTORY DETAILS TAB
History Details screen can be viewed during Amendment, Reinstatement, on Bill Utilization,
Amendment Status Maintenance and Inquire Mode. The history of events that a user has
performed on a particular Documentary Credit is available on History Details Screen.
Following is the screen shot of History Details Screen:

For e.g. from the above screen shot it can be inferred that the events performed on the DC
are Issue, Amendment, NBU, Amendment and Amendment Status Change.
History Details:
In the History Details tab user will be able to see all the events performed on that
particular DC.
CHARGE HISTORY POPUP SCREEN:

The Charge History Details popup screen is brought up on click of the icon provided in the
dynamic screen of History Details. It is present for each event and displays the details of
the charges collected.
Screen shot of History Details in ODCM menu:

For each event Charge Details has been provided. Charge explode present for each row
will display charges details pertaining only to that event. In the lower panel of History
screen Charge History Details field is present. It will display all the events and charges.
Screen Shot of Charge History Details popup:
For every record shown on Charge History Details popup there is a view details explode.
The view details popup provides information on the Tran id and other transaction details if
the transaction has been created.
Screen Shot of Transaction ID Details popup:
As can be seen in the above screen for every record shown on Transaction Details popup
there is a view details explode. On click of this explode HTM menu is invoked which gives
detailed information about each transaction performed.
Screen Shot of View Details popup:

5.1.12 CANCEL MODE:

This operation is used to cancel the earlier changes performed on a DC like
Issuance/Modification/Reinstatement/Amendment/Non Bill Utilization etc. before its
verification. Cancel operation should be performed by the same user who has done earlier
modification to DC. On Click of Submit in the details page the previous changes to the DC
will be reverted back. In Cancel Mode all the fields are disabled & Only Submit and Cancel
button is displayed in all the tabs which cancels previous operation on the record & takes
back control to criteria page respectively. All the data which was entered/modified can be
seen using cancel mode. Cancellation can be done only for unverified records.
5.1.13 CLOSE A DOCUMENTARY CREDIT

A DC may be closed at any time during the tenure of the DC or on expiry. A DC can be
closed only if no amount is outstanding. The value in the DC Avail Value field must be
zero.
Note: You cannot utilize and close a DC when outstanding bills still exist under the DC. When you
click Accept from the function block, the following error message is displayed: “Cannot Delete/ close,
as Outstanding Bills exist for this DC
5.1.14 UNCLOSE THE DOCUMENTARY CREDIT :

This functionality is used to reopen a closed DC in order to apply charges and key
in details

5.2 INWARD DOCUMENTARY CREDITS

5.2.1 MAINTENANCE (IDCM)
Details of documentary credits to be advised to the beneficiary of the DC are maintained
here. The functions available are:
 E - Advise
 W- Process Message
 M - Modify
 C - Copy
 A - Ammendment
 T - Ammendment Status Maintenance
 Q – Transfer
 N - Retransfer
 R - Reinstatement
 U - Non-Bill utilization
 X - Cancel
 V – Verify
 I - Inquire
 Z - Close
 Y - Unclose
The following is the criteria screen for IDCM menu
5.2.2 ADVISE OF A DC (E) :

The Documentary Credit received from the issuing bank or from the correspondent bank is
advised to the beneficiary by the bank by using IDCM menu option. The Documentary
Credit (DC) can be advised either with confirmation or without adding confirmation based

on the instructions received and also based on the arrangement with the correspondent
bank.
You can handle various types of Documentary Credits such as Revocable DC, Irrevocable
DC, Transferable DC, Standby DC, Revolving DC, Deferred DC and Red Letter DC. The
IDCM menu option is also used to maintain documentary credits.
You must define and create a Documentary Credit type to handle inward documentary
credits using DCTPM (Documentary Credit Type Parameter Maintenance) menu option. The
parameters for each type of Documentary Credit are defined using DCTPM menu option.
The contingent liability is normally created only for inward documentary credits confirmed
by the bank. No contingent liability is created for inward documentary credits which are
advised by the bank without adding confirmation
IDCM is used to advise and maintain Documentary credits. The menu can be invoked as
an online menu option.
On entering the required criteria and on click of GO general details screen will be displayed
and on top a panel consisting of nine different tabs is displayed (pls refer appendix for the
tab matrix)
In order to advise a Documentary Credit in IDCM menu option following tabs need to be
visited mandatorily –
 General Details
 Related Party Details
 DC Details
GENERAL DETAILS
Following is the screen shot of General Details Screen:

The general details screen captures the beneficiary detail, amount of documentary credit,
purchase order detail and pre advice detail. This screen shows the following details:
Beneficiary details: It shows the CIF ID of the beneficiary and captures details like
name, address and the ID of the operative account of the beneficiary.
Amount Details: This captures the initial value of the Documentary Credit (DC), date of
advice of DC, the date of issue of DC, the percentage of tolerance permitted in the value of
the Documentary Credit. You can specify either positive or negative value in the
Tolerance Pcnt. field. It also captures amount of advance given against DC, the details of
percentage of interest and any additional interest payable under the letter of credit. This
screen shows the current value of DC and also the value available under the DC.
Purchase Order Details: This captures the details of the purchase order which forms
the basis for issue of documentary credit.
Pre Advice Details: You can indicate if the Documentary Credit received is to be pre
advised.

This screen also shows other details like the ID of the payment system through which the
messages are received, reference number of the other bank, Maximum pre shipment
advance that can be extended against Red Clause DC and the percentage of margin to be
retained on pre shipment advance granted against the DC. This captures the details of the
forward contract like forward contract number and the ID of the SOL through which the
forward contract is booked to cover payment for shipment made against the DC.
Click on Submit to up date the data base.

The fields are the same as in ODCM menu except for the following : The applicant details
are replaced by the Beneficiary details in whose favour the Dc has been issued.
The additional fields are
DATE of Advice :
Pre shipment margin % :
Pre shipment Max.Adv Amount : The second and the third fields are useful to appropriate
the proceeds of the DC towards liquidating the Preshipment finance availed by the
beneficiary .
RELATED PARTY DETAILS:

Click on RELATED Party tab in IDCM General Details screen. You are taken to Party details
screen. This screen captures details of the applicant, issuing bank, advising bank, drawee,
available with bank, reimbursing bank and advice through bank.
The details in this tab are similar to the ODCM menu except that the related
party shall be the applicant on whose behalf the DC was issued.
On click on Related Party Details following screen will be displayed:

Page 1:


Related Party Details(Pg 2):
Address Details Popup Screen:

The address details popup screen is brought up on clicking of the icon provided in the
dynamic screen of Related Party Details .It allows the user to view address details.
Screen shot of Address Details Viewer
DC DETAILS:
Click on DC Details tab in IDCM General Details screen. You are taken to DC details
screen. This captures the details:
Form of Credit: This field indicates if the documentary credit under consideration is
revocable, irrevocable, transferable, standby, revolving, deferred and red clause letter of
credit. It captures the details of revolving letter of credit such as reinstatement type, Day
of the month when it is to be reinstated, Max number of reinstatements allowed,
reinstatement amount and reinstatement date
It captures rules, sub rules applicable to the documentary credit, tenor details (sight,
usance, mixed payment and deferred payment), usance details, period for presentation,
date and place of expiry of the Documentary Credit. It captures the shipment details such
as the mode of shipment (sea, air, railway, post and so on), port of loading, port of
discharge, last date of shipment negotiation period and shipment period.It also captures
the details of the commodity such as commodity code, description of goods or services
covered by the Documentary Credit.
On click on DC Details following screen will be displayed (Screen1):

Tenor Details Text area Popup Screen:

The text area popup screen is brought up on clicking of the icon provided in the dynamic
screen of DC Details .It can contain message text.
Screen shot of Message Text Editor
Fields
The message text editor is a text area field wherein the user can enter the message text.
The text area field is case insensitive. The number of rows, columns that can be entered in
the editor is displayed on lower panel of the popup screen.
Note:
Message text editor is provided on many fields in general details tab. For each field the
text dimensions may differ and will be pre-populated based on the type of the field.
Wherever there is a text area pop up icon once more searcher is provided to get the text
already maintained for a similar field. This is equivalent to copying a template for a
particular field. On selecting a text from this searcher the data will be populated in the text
area but only after there is change in the tab.

On click on Page 2 of DC Details following screen will be displayed:
LIMIT DETAILS
This screen captures details of the limit such as ID of the limit under which the DC must be
issued or confirmed and the percentage of margin to be maintained. It also displays the
amount of the approved limit and the amount available under the limit. You can also
indicate if bank limits and country wise limits are to be updated on issue/ confirmation of
the documentary credit .
This screen captures details such as the limit ID,limit margin percentage and the related
limits (bank limits, country limits). This displays the approved limit and the amount
available under the limit for further utilization. You are taken to HLNI screen on clicking on
the explode button provided against the Limit ID field. This provides additional
information about the limit under consideration.

CHARGE DETAILS:
The charge calculation and collection is triggered, on clicking the Charge tab. The Charge
Details screen captures information such as the ID of the charge event, ID of the operative
account to which charges are debited, the ID of the charge account, the person who must
bear the charges (applicant, beneficiary and both), the split percentage and the split
amount (applicable to cases where charge is payable by both the applicant and the
beneficiary). The Charge Code is auto populated based on the set up made at the
parameter level. It is modifiable.
The system calculates charges as per the specified Charge Event ID which is displayed in
the System Calculated Amount field. You can specify if the charges are to be collected
immediately or can be collected later on. There is a provision to specify the charges to be
waived.

You can also indicate if charges are to be collected as per the specified deferred payment
schedule. An Explode button is made active, in case the value of Defer Schedule
Applicable field is set as Yes. A Deferred Payment Details screen is shown on clicking on
the Explode button where schedule for payment of charges can be specified. You are not
prompted to specify the data in the deferred payment details screen even if you set the
value of Defer Schedule Applicable field as Yes. There is an option to specify value in
the Later collection date field which appears in the main screen, if you do not specify
any data in the Deferred Payment Details screen. A single deferred record is created in the
system on entering the value in the Later collection date field. No record is created in
the system if you do not specify any value in the Later Collection Date field in cases
where value of the Defer Schedule Applicable field is set as Yes and no details are
specified in the deferred payment details screen.
Select Both in the Charges Borne by field, if charges must be collected from both the
parties. The Split percentage and split amount fields are enabled on selection of Both
option in the charges borne by field. The user can specify either the Split Pcnt or the
Split Amt field in the main charges screen. It is mandatory for the user to enter any one
of these fields, if the charges must be paid by both the parties. The user is prompted to
enter the Split Amt. field if none of the two fields are specified in the system. A screen for
capturing split details is invoked on clicking on the Explode button. You may specify the

amount to be immediately collected from the applicant, amount to be collected later on

from the beneficiary, the later collection date and so on.
For example:
Consider a case where the system calculated charges is USD 500. You can apportion the
charges between the applicant and the beneficiary in case the charges are to be shared
between them. You can specify the value either in the split amount field or in the split
percentage field. For example enter USD 200 in the split amount field or 40 in the split
percentage field. Click on explode button and capture the details of the split amount in the
invoked screen. Enter an amount of USD 300 (USD 500 – USD 200) in the immediately
collect field and enter USD 200 in the later on collect field and also specify the later
collection date.
MESSAGE DETAILS:
In Documentary credits module, through IDCM (Inward Documentary Credits
Maintenance) following messages can be generated during different events:
MT710: During advise mode, non-mandatory message.
MT730: During advise/amend mode, non-mandatory message.
MT720: During transfer mode, one message each for every transfer record, mandatory
message
MT710 (Advise of a Third Bank‟s Documentary Credit):

Advising Through bank-branch details should be entered as this is the receiver of MT710.
Advising bank-branch should be entered and should not be equal to advising through
bank-branch details for MT710 generation
DC should be either revocable or irrevocable. Both the flags cannot be null at a time.
Revoc flag, standby flag and transferrable flag cannot be Yes simultaneously.
Date and place of expiry are mandatory for swift messages.

Other bank reference number is mandatory and also should be limited to 16 chars.
Available By code is mandatory.
Available with bic or name-address in swift should be entered.
Applicant details should be entered in swift name-address details.
DC issue date should be entered.
Applicable rule is mandatory and if it is „OTHR‟ sub rule is also mandatory.
Following is the screenshot for MT710 message details screen.
MT730 (Acknowledgement):
This message is sent as an acknowledgement. It can be generated during advise or during
amendment event in IDCM menu option.
Issuing bank-branch details should be entered as they are the receiver of the message
MT730.
Date and place of expiry are mandatory.
Other bank reference number is mandatory and should be limited to 16 chars.
Available by is mandatory for swift.
If advise through bank-branch code are same as home bank-branch code, MT730 cannot
be generated.
If advise through bank-branch code are not entered, MT730 cannot be generated.
Acknowledgement date is mandatory.

Following is the screenshot for MT730 message details screen.
MT720 (Transfer of a Documentary Credit):

Advising bank-branch details for transfer sub details for each transfer record should be
entered for MT720 generation as they are the receiver of the message.
Date and place of expiry are mandatory for swift message generation.
Applicable rule is mandatory, if applicable rule is „OTHR‟, sub rule is mandatory.
Beneficiary name-address details in swift icon should be entered.
Allocation party name-address details in the swift icon should be entered as they are the
second beneficiary for the message.
Available with…By details should be entered, i.e. available by is mandatory and available
with bic or bank-branch code or name-address details in swift icon should be entered.
Following is the screenshot for MT720 message details screen

TEXT DETAILS TAB
For maintaining text details in Trade Finance Module, a common module

has been developed .Using this tab user can perform following four
operations:-
1) Adding Text
2) Deleting Text
3) Modify Text
Following is the screen shot of Text Details Screen

HISTORY DETAILS:
History Details screen can be viewed during Amendment, Reinstatement, Non Bill
Utilization, Amendment Status Maintenance and Inquire Mode. The history of events that a
user performs on a particular Documentary Credit is available on History Details Screen.
Following is the screen shot of History Details Screen:
INSTRUCTION DETAILS:
During Advise, Instruction Details tab is available in enterable mode and user can
enter the necessary details.
Instructions in Trade Finance Module are maintained using Instruction Details
Tab. Instruction Details Tab can be used across various menu options of Trade
Finance Module in Finacle.
Using this tab user can perform the following five operations:-
1) Adding Instructions
2) Deleting Instructions
3) Modify Instructions
4) Filtering Instructions
ADD AN INSTRUCTION
An instruction can be added in one of the three ways listed below.
 Add New button
 Down Arrow
 Hot Key

Instruction Details is a Multi-Rec format screen in which we can see multiple

records. There are four columns namely Date, Instruction By, Instruction and Del
Flag. To add an instruction user must enter 3 field details i.e. Instruction Date,
Instruction By and Instruction displayed on the lower panel of the screen.
It is important to note that for this tab; system will not add a new instruction
unless the instruction length is less than or equal to 80.
Following is the screen shot of Instruction Details Screen
DELETE AN INSTRUCTION
User can delete an instruction by selecting DEL FLG check box provided on the instruction
screen and clicking on Submit button. It is important to note that only LOGICAL DELETION
of the record takes place and the instruction is available for undulation.
MODIFY AN INSTRUCTION
User can modify any of the three fields displayed on lower panel of the Instruction Screen.
For example, for a particular record user can change Instruction By field from A-Applicant
/Drawee to B – Beneficiary/Drawee.
FILTER AN INSTRUCTION
Instruction Details tab also provides a feature whereby user can sort/filter the
records based on
A – Applicant/Drawee Message
B – Beneficiary/Drawee Message
N – Collecting Bank Message
O – Other Messages
S – Self Messages
L – All Messages

5.2.3 ASSIGNMENT OF PROCEEDS

It is possible to assign the proceeds of Inward Documentary Credit to multiple
beneficiaries at the time of advising the DC or later during modification of the DC by using
IDCM menu option. You may assign the entire proceeds available under a documentary
credit or a part of the proceeds to one or more parties who may or may not be a customer
of the bank. You may increase or decrease the assigned amount and also change the
settlement account. The assignment can not be done on an expired DC. No other events
like amendment, transfer, no bill utilization, reinstatement and so on are allowed till the
assignment process is verified. You can make fresh assignments as well as modify the
existing records.
When you invoke IDCM, you are taken to the criteria screen. Select the Advise or Modify
function as per requirement. Specify valid data in the other fields. Click Go. You are taken
to IDCM General Details screen. Click on Assignment tab in IDCM General Details screen.
You are taken to Assignment Details screen. This is a multi record screen. This shows the
details of assignment such as the date of assignment, settlement amount, mode of
settlement (Swift, DD and so on), CIF ID of the assignee, ID of the account related to the
assignment and the person who has to bear the charges related to assignment (Applicant,
Beneficiary and others). This screen also displays the current value available under the
documentary credit. You may use Add New to add details of assignment to more than one
assignee. Click on „submit‟ option to up date the data base.
Screen shot of the Assignment details tab:
When you click Validation, the validations that happen are:

 The CIF ID of the assignee is not the same as that of the CIF ID of the main/
original beneficiary of the documentary credit.
 The CIF ID is a valid customer or party ID.
 The assignment currency is either the DC currency or the Home currency.
 The assignment amount cannot be for less than the total allocated bill amount.
 The total of the assigned amount cannot be greater than the DC available value
minus the assigned amount yet to be allocated through bills).
 If the settlement account is partitioned then it must be partitioned by ASSET,

BILLS or FBILL.
Records can be deleted only if the total bill allocated amount is zero.
The modification of assignment details is possible and you are allowed to change all the
fields except the party code and the currency. Unlike other event, DC event history does
not show assignment of proceeds as an event on the DC.
You have to procedurally modify the assignment details before accepting the amendment if
it results in decrease in the avail able value of the documentary credit below the value of
the DC allocation amount.
The system allows you to commit the data with a warning message even though the
available value of the DC is below the DC allocation amount when the Amendment
Status is W - Waiting for Acceptance. The assigned amount or transfer amount can be
reduced later in modify mode such that DC avail value is more than or equal to the
allocated amount.
If the Amendment Status is changed to A - Accepted, and if there are any transfer
records (Q details),then the transfer details screen is displayed where you can update the
transfer amounts and the DC avail value will be more than or equal to DC allocated
amount yet to be allocated through bills.
In case of no bill utilization, if the allocation is done at the DC level, then the no bill
utilization can be done to the extent of unallocated portion of the DC available value.
Unlike other event, DC event history will not show „assignment of proceeds‟ as an event on
the DC.
In case an amendment to the DC value results in decrease in the Avail Value of the DC
below the value of the DC allocation amount, the user will have to procedurally modify the
„Assignment details before accepting the amendment.

5.2.4 MODIFICATION OF ADVISED DC:

In case of Modify mode the details entered during the advise of the documentary
credit will be shown to the user and these details are in modifiable form. The
buttons enabled for Modify mode is the same as that for Advise Mode.
5.2.5 VERIFICATION OF ADVISED DC:

In case of Verify mode the details entered during the advise of the documentary
credit will be shown to the user for verification and appear in non modifiable form.
Only Submit and Cancel buttons are enabled in Verify Mode.
5.2.6 NON BILL UTILIZATION OF DC:
Non Bill Utilization data of DC is maintained using Non Bill Utilization Tab. Non Bill
Utilization Tab is used in ODCM and IDCM menu options of Trade Finance Module in
Finacle. The following five operations can be performed with Non Bill Utilization Tab –
1) Addition
2) Modification
3) Inquiry
4) Cancel
5) Verify
Screen shot of Non-Bill utilisation screen
5.2.7 REINSTATEMENT OF DC:
PREREQUISITE: 1)ONLY REVOLVING DC‟S CAN HAVE REINSTATEMENT.
During Advise of a DC, it should be classified as a Revolving DC for Reinstatement to be

performed on it.
Following fields in the Revolving DC Details Section in DC details tab should be entered
during Advise of DC for performing Reinstatement operation on a DC.
Form of Documentary Credit: Mandatory Field. Revolving Flag should be checked.
Reinstatement Type: . It allows the user to select a specific Reinstatement type.

(Either A - Advice Based or B- Bill Based).
Max. Reinstatements: Mandatory Field. Max no. of times Reinstatement can be
done for a DC.
2) Non Bill Utilisation:Before reinstatement Non Bill Utilisation operation should be

performed on the DC.

REINSTATEMENT – DC DETAILS PAGE
MODIFICATION OF REINSTATED DC: in case of modify mode the details

entered during the reinstatement of the documentary credit will be shown to the
user and these details are in modifiable form. the buttons enabled for modify mode
is the same as that for reinstatement mode.
VERIFICATION OF REINSTATED DC: in case of verify mode the details
entered during the reinstatement of the documentary credit will be shown to the
user for verification and appear in non modifiable form. only submit and cancel
buttons are enabled in verify mode.
5.2.8 AMENDMENT OF DC:

In order to perform amendment of DC , user should select ‟A‟ –Amendment as the
Function code on the criteria screen. On giving the required criteria and on pressing GO,
Amendment Details screen will be displayed. Amendment Details tab contains the required
field for a DC amendment. Fields get auto populated as per the advised DC.
Following is the screen shot of Amendment Details Screen:

There are no mandatory fields in Amendment Details tab, but there are some fields which
are mandatory while advising the DC and they get auto populated with respect to the
advised DC which is being amended.
Date of Amendment: Date on which amendment is being done i.e. BOD.

Indicator: Based on this selection the DC amount is increased or decreased.(default
value)
Tolerance %: Default populated value is 100.
Rate Code/Rate: Amendments in rate code can be done here.
Charges Borne By:Charges Borne By refers to and is populated from the other details
section of DC details tab.
Latest Shipment Date: Latest Shipment Date refers to and is populated from the
Shipment details section of DC details tab.
Expiry Date: Expiry Date refers to and is populated from the Expiry details section of DC
details tab.
Negotiation Period: Negotiation Period refers to and is populated from the Shipment
details section of DC details tab.
Confirmation Instructions: Confirmation Instructions refers to and is populated from the
Confirmation details section of DC details tab.

Text area Popup Screens:

The text area popup screen is brought up on clicking of the icon provided in the dynamic
screen of DC Details .It can contain message text.
Screen shot of Message Text Editor
In Amendment Details three fields have a text area popup; these fields are Shipment
Period, Narrative and Sender to Receiver Information.
VERIFICATION OF AMENDED DC:

In case of Verify mode the details entered during the amendment of the documentary
credit will be shown to the user for verification and appear in non modifiable form. Only
Submit and Cancel buttons are enabled in Verify Mode.
5.2.9 AMENDMENT STATUS MAINTENANCE OF DC

In order to perform amendment of DC user should select ‟T‟ –Amendment Status
Maintenance as the Function code on the criteria screen. In order to change the
amendment status of a Documentary Credit in IDCM menu option only amendment tab
need to be visited mandatorily.
AMENDMENT DETAILS
Amendment Details tab in Amendment Status Maintenance mode has only one modifiable
field which is Amendment Status. Rests all other fields are auto populated like
Amendment but are disabled and cannot be modified.
Amendment Status : This is a drop down which can be set to three values: Accepted,
Waiting For Acceptance and Rejected. Based on the status of Amendment, value is set
here. A DC can be opened in Amendment Status Maintenance mode only if the Amendment
Status is Waiting for Acceptance. It is mandatory to change the status to either
Accepted or Rejected during Amendment Status Change.
VERIFICATION OF AMENDED STATUS CHANGE:

In case of Verify mode the amendment status changed during the amendment status
maintenance of the documentary credit will be shown to the user for verification and
appear in non modifiable form. Only Submit and Cancel buttons are enabled in Verify
Mode.
5.2.10 INQUIRE MODE:
The Following are the criteria fields for Inquire:

Function Code( „I‟) , Sol Id , DC Number
(The DC Should be Verified DC).
Other Fields on the criteria screen will be disabled during Inquire. The Inquire mode allows
the user to visit all the tabs namely

In Inquire Mode all the fields are disabled & Only Ok button is displayed in all the tabs
which takes control back to criteria page. All the data which was entered can be seen using
Inquire mode. Inquiry can be done only for verified records.
5.2.11 CANCEL MODE:

This operation is used to cancel the earlier changes performed on a DC like
Advise/Modification/Reinstatement/Amendment/Non Bill Utilization etc. before its
verification. Cancel operation should be performed by the same User who has done earlier
modification to DC. On Click of Submit in the details page the previous changes to the dc
will be reverted back. In Cancel Mode all the fields are disabled & Only Submit and Cancel
button is displayed in all the tabs which cancels previous operation on the record & takes
back control to criteria page respectively. All the data which was entered/modified can be
seen using cancel mode. Cancellation can be done only for unverified records.
5.2.12 TRANSFER MODE:

The beneficiary of a transferable documentary credit can transfer full or part amount of a
documentary credit to one or more parties. The IDCM menu option is used to transfer the
benefits of a letter of credit to one or more parties.
When you invoke the IDCM menu option, you are taken to the criteria screen. Select the
Transfer function in IDCM criteria screen. Specify valid data in the other fields. Click Go.
You are taken to IDCM Transfer Details screen.
This is a multi record screen. This shows the details such as the date of transfer, reference
number, transfer amount, mode of settlement (Swift, DD and so on), CIF ID of the
transferee, name and address of the transferee, ID of the transferee‟s account, the person
who has to bear the charges related to transfer (Applicant, Beneficiary, both) and the
transfer details field. You are taken to transfer details page if you click Explode in the
Transfer Details field.
The Transfer Details page shows or captures details such as the number of the transferred
DC, last date of shipment, negotiation period, date of expiry, unit price of the goods to be
shipped, the number of units of goods to be shipped, the percentage of the value of the
goods for which insurance is to be taken and the insured amount. This shows that, if the
amendment to the original DC must be advised to the transferee, then it must be advised
directly or through an advising bank. This captures the code of the advising bank, advising
branch, the type of address of the advising bank which is to be captured (BIC, address and
name and so on) and the BIC (Bank Identifier Code) of the advising bank. The screen also
shows the name and address of the advising bank. This indicates the documents submitted
under transferred documentary credit that are to be substituted. Click Accept to accept
the details related to transfer of DC.

The validations that occur on clicking on Accept are:
The expiry Date, last date of shipment, the number of days allowed for negotiation of
the transferred letter of credit are not later than the values mentioned for the
original credit
The amount of transfer is not more than the DC available value minus the allocated
amount
The date of expiry minus last date of shipment is less than or equal to the negotiation
period
You may use Add New to transfer the documentary credit to more than one transferee.
You must enter details in all the mandatory fields. The validations that occur when you
click on Submit are:
 The transfer currency is the same as the DC currency
 The CIF ID of the transferee is not the same as the CIF ID of the beneficiary
authorized to transfer the DC
 The transfer can be done only once for the same party
 The transfer amount cannot be zero
 The settlement accounts must be of the type SBA or CAA or CCA or ODA or OAB
or DDA
 The settlement account if required can be partitioned by Assets or Bills or FBILL
The charges are calculated based on the details of the charge event ID specified in the
Charge Details screen. The Event ID is defined using HPTTM menu option for the event
type DCTRM.
See Define Event ID in the Administrator module for HPTTM menu option details.
MT720 (Swift message for Transfer of DC) is generated for each transfer if the message is
to be transferred by SWIFT. The SWIFT message (MT 720) is displayed in the Message
details block and is modifiable.
Screen shot of Transfer screen

Screen Shot of Transfer Sub Details Screen
Modifying a transfer record(s) during Transfer Event Modification.

In this operation one or more records can be modified. System displays all
existing verified/unverified transfer records. User has to select the record by one
of following ways to initiate modification. (as same as STD MultiRec Display
construct of FINACLE )
1. Entering record number.
2. Navigating to a record.
All validations are applicable as mentioned in previous section. In addition to
that, User is not allowed to modify verified records.
Modifying a transfer record(s) during Amendment, Amendment Stat Change

Event, Modification of Amendment & Amendment Stat Change Event.
In this operation, System displays all existing verified transfer records. User has to select
the record by one of following ways to initiate modification.
All validations are applicable as mentioned in previous section.
In addition to that,
 User is not allowed to modify CIF ID.
 User is not allowed to delete the record.
 User is allowed to modify the amount to ZERO.
During this operation, if Amendment Status is accepted then all validations will happen as
per amended DC data.
5.2.13 RETRANSFER
The Beneficiary of the DC can transfer the proceeds of the DC to a third party . However
this third party cannot further transfer the DC to another beneficiary. In case the third

party is not in a position to utilise the proceeds on account of nonexecution of the contract
or other reasons he can retransfer the proceeds of the DC to the original beneficiary
through this option.
5.2.14 PROCESS MESSAGE MODE:

In IDCM, user is provided with a function code „Process Message (W)‟ which is used to
select an incoming swift message from the database and process the same for advising a
DC. In IDCM, as of now only MT700 is supported for processing.
In order to perform transfer of DC user should select ‟W‟ –Process Message as the
Function code on the criteria screen.
5.2.15 PC A/CS LINKED TO DC (P):

The IDCM menu option is used to view the various packing credit accounts linked to the
documentary credit under consideration.
When you invoke the IDCM menu option, you are taken to IDCM criteria screen. Specify
the values on this screen and click Go option. You are taken to IDCM General Details
screen. Click on the History tab in IDCM General Details screen. You are taken to IDCM
History Details screen. Click on the Explode icon in the Linked Preshipments field. This
shows details of pre shipment credits linked to the documentary credit such as SOL ID, ID
of the pre shipment account, disbursement ID, disbursement date, currency of pre
shipment credit, total disbursed amount and the amount outstanding against the pre
shipment account. You may click on Explode icon under View Details field to see further
details.
You may also get details of pre shipment credits linked to documentary credits by
specifying the relevant DC Number in HACS menu option.
Disbursement List (E):
Through this sub option, you can view the disbursements made to RPCs to which this DC is
attached.
5.3 RECOVERY OF CHARGES : APCHCOLL

Finacle provides for recovery of charges related to DC either at the time of execution of
the transaction related to the DC or at a later date. Further the charges may be recovered
either from beneficiary or applicant. The charges are calculated at the time of executing
the transaction while the same can be recovered / collected later.
(Apart from subject menu option the pending charges can also be recovered while doing
transactions in the bills through MEOB/MIIB menu option.)

Partial recovery of pending charges is also possible, However, the users must ensure that
charges have been either collected or waived before closure of the entity.
Important Points in recovery of charges in IDCM/ODCM menu option:
Either the applicant or the beneficiary can pay the charge/commission amount. This value
will be captured in field with literal Payable By. Valid values to this filed are: A (Applicant),
B (Beneficiary).
In IDCM/ODCM during issue event Payable flag will be defaulted as A (Applicant) and
during advising the default value will be B (Beneficiary). This is only for information
purpose, no validation has been provided against the flag value to check whether Account
belongs to beneficiary or applicant.
Whether Charge will be collected Upfront / Later, will be decided by field value of Coll
Later?. These values will be captured for all charge part trans.
In charge details of IDCM/ODCM operative account is mandatory. While issuance/advising

of the DC in case the user wants to collect the charge later as the user doesn‟t know the
account to be debited, then the user can retain default populated operative account or

office account can be entered in the „operative account‟ field in charge details. This account
can be changed during collection through menu option (APCHCOLL)
In the Charge History screen, all history of a particular charge will be displayed in a group.
User can also know whether charge has been collected upfront or later.
Important points in recovery of charges in APCHCOLL menu option:
1. Pending as well as new miscellaneous charges can be collected though this menu
option.
2. Function code, Entity type and Sol Id are mandatory in function block. User either
can give party code or entity id (DC reference number or BG serial number) during
pending charge collection, whereas entity id is mandatory for Misc Charge
collection.
3. Event type will be defaulted as DCMIS during misc. charge collection for DC.
4. Event Id will be listed from parameter setup of that entity. Bank must setup the
MISC charges in Register or Parameter level, if they want to collect this type of
charges.
5. All the basic data related to that entity will be dumped in the script. Banks can
write their own logic to calculate the MISC charges in the script
6. Records will be displayed in multi record block. User will be able to modify
collection amount, debit credit account, credit account, rate code, rate, remarks.
7. User will be able to waive pending charges , in that case “Waive flag” should be
marked as Y (Yes) and reason code ( List will be provide) has to be entered.
8. Partial collection of pending charges will be possible, however new charges has to
be collected upfront for full amount.
9. In case, user changes the Charge credit account in new menu, currency of the
given Account has to be same as it was previously.
10. User needs to select the record and selected record will be processed.
11. Transaction will be created using MTT script. Substitute transaction logic hasn‟t
been provided. Only one transaction will generated for each commit.
12. In case, transaction posting fails, TM interface will be invoked so that user can post
the transaction.

13. Amortization is not supported for the charges which will be collected later.
Miscellaneous charged cannot be amortized; this feature will be available only for
upfront collected charges.
14. Bank will be able to collect new additional charge after closures of entity whereas,
pending charges have to be collected or waived before closure. Entity with
pending charges can not be closed.
5.4 AMORTIZATION OF CHARGES
MENU OPTION - HCAM
As the charges collected on a DC event for future period, banks may like to treat the
charges as “ADVANCE INCOME” at the time of collection and may like to amortise the
same over the period of the DC. Facility is available in the system to do the same. Charges
can be amortized in charge collection currency only. Charges are amortized from the
issue date of the DC. Charges are amortized up to the Expiry date of the DC.
Income account will not be credited at time of issue of DC, but will be credited only at the
end of each amortization period (depending on amortization frequency), after amortization
process is run.
An example for the above process can be:
Let us assume that a bank has earned an income of INR 1000 on issuance of a DC. The
tenor of the DC spans for 1 year and the bank recognizes all income falling due in a
quarter as income earned into its P&L account. Based on this, INR 750 / - needs to be
credited to the Income earned in Advance account and INR 250/- to be credited to P&L for
charges pertaining to the running quarter, on the last day of that quarter. At the end of
one year, the entire amount would have been transferred to the credit of the P&L account.
If the DC is extended, the previous amortized amount is not changed. The system will
amortize the charges over the extended period. If the tenor of the DC or BG is reduced,
the charges yet to be amortized, will be amortized over the remaining period. If a DC / BG
is closed before the actual expiry date, the entire un-amortized portion can be amortized
on the date of the closure as part of amortisation process.
An example for the above process can be
Let us assume that a DC with a tenor of one year opened for USD 100000. Charges
collected are INR 12000, amortized over a period of 12 months @ 1000 per month. In the
sixth month, the client through an amendment reduces the tenor of the DC by two

months. By such time, the bank has already amortized INR 6000. The balance would in
this case be amortized equally over the remaining period of 4 months.
Similarly, if the DC is extended, then the un amortized commission will be amortized over
the extended period.
Only Straight-Line Method of Amortization is applied to these charges where the

amortization will be considered proportional to the ratio of current amortization period
over total period for amortization. The period will be considered in days.
An example for the above process can be
Let us assume that a DC with a tenor of one year opened for USD 100000. Charges
collected are INR 12000, amortized over a period of 12 months.
Amortization frequency is monthly. (Tenor: 01/01/01 to 31/12/01)
Step 1
System to calculate the “Per Day” charge levied by the bank to the customer, i.e. INR
12000 / 365 = INR 32.87 / Day
Step 2
On the date of Amortization, (derived based on the frequency specified by the user) the
amount to be transferred to the P&L account, i.e. On 31st Jan in above example, amount to
be transferred to P&L would be INR 32.87 X 30days = INR 1019.178. This process should
be continued till the expiry date. On the last day of amortization, the remaining balance in
the advance account will be completely reversed, as the entire commission would have
been transferred to the P&L.
Step 3
Amendment to the Instrument where the period can be extended/new charge can be
collected during the lifetime of the DC.
In the example
Increase to the DC Tenor:
In the sixth month, the client through an amendment increased the tenor of the DC by two
months. Additional commission of INR 2000 was also collected. By such time, the bank has
already amortized INR 4964.384 (collected earlier)
The total outstanding commission now available with the bank for amortization is INR
7035.616 + INR 2000. The outstanding period is 7 months + 2 months. Hence, the system
would now need to re-calculate the per day charge for the instrument as follows
INR 9065.616 / (214 + 59)

(INR 9065.616 arrived as INR 7035.616 + INR 2000, Number of Days are the outstanding
214 from June to December 31st + the additional 2 months)
Hence, INR 33.09 / Day
The balance will be amortized equally over the remaining period. (i.e. on 30 th June INR
33.09 X 30 Days = INR 992.92)
Reduction in the DC Tenor
Assume that in the sixth month, the client through an amendment reduces the tenor of the
DC by two months.
The balance would in this case be amortized equally over the remaining period
On closure of the DC, as part of amortisation run, the entire un-amortized commission will
be transferred to the P&L account.
The amortization process can triggered manually as well as by setting up a batch job to be
run at a pre-determined frequency. The menu option to be invoked for amortizing the
charges manually/online mode is HCAM. The Screen interface is given below:
The user to specify, among other things, the following parameters in the above screen
 Collect Today flag - It is default populated as „N‟. If the HCAM is run with value set
to „Y‟, then the entire un amortised amount will be amortised immediately. User
would resort to this, when he does not want to wait till the next amortisation
frequency for amortising the charges collected. Ideally this may be the case when

a. charge un-amortised is less than the minimum amount for

amortization (set up in HPTTM); and
b. the DC is prematurely closed;
 Amortize Till Date is the date up to which amortization needs to be done.
The amortisation process can be also automated i.e., can be set as a batch job through the
BJSTM menu option.
The accounting entries which are passed as under:
1) At the time of Issue of Documentary Credit
Dr - Customer Operative A/c

Cr - Advance Income A/c
2) On running HCAM
Dr Advance Income A/c (to the extent of Amortised Amount)

Cr P & L A/c.
HCAM execution will result in generation of following reports regarding the amortisation
done:
1. Success Report
2. Failure Report
3. Summary Report
It is also possible to set the amortisation process of a batch job, to ensure that the
amortisation happens at a pre-determined frequency. However, Bank may want to
amortise the entire commission collected in some cases, without following the frequency
defined, e.g., where a BG/DC is pre-closed or when the commission amount is equal to
minimum commission. To meet both these conditions (amortise at regular frequency and
jump the frequency in select cases), two separate batch jobs are to be set up by the bank,
for amortization.
 One job for regular amortization, (with frequency set as per the bank‟s
policy).
 The other job is to be set with frequency as daily and “Collect Today
Flag” = Y. It will pick up all the records that are required to be amortized
completely, on the same day. E.g.

 charge amount is less than the minimum amount for

amortization (set up in HPTTM)
 the BG/DC is closed
6 RELATED MENU OPTIONS

Business Process Supported Menu Option(s)
Used
Issue a Documentary Credit ODCM
Amend a Documentary Credit ODCM
Modify a Documentary Credit ODCM
Reinstate a Documentary Credit ODCM
Copy a Documentary Credit ODCM
Advise Inward Documentary Credit IDCM
Link Packing Credits to Documentary Credits IDCM
Assign Proceeds IDCM
Transfer Documentary Credits IDCM
Recover Charges APCHCOLL
Amortize Charges HCAM
Close DCs in Batch HDCCLOSE
Inquire on SWIFT Messages HSMI
Inquire on Documentary Credits DCQRY
Documentary Credit Parameter Type Maintenance DCPTM

Generate General Purpose DC Report HDCGPR
Generate Documentary Credits Register HDCREG
Generate Documentary Credits Liability Register HDCLIABR
Generate Statement of Documentary Credit HDCSTMT
Print Transaction Advice DC HCHRGADV
Generate Report on Transferred DCs HDCXFRPT
Generate DC Reports and Advises DCRPTS
Generate Report on Expiring Documentary Credits HDCEXPRP
Query on Documentary Credits HBKDCI
Inquire on Export DC HEXPDCI
Inquire on Inland Inward DC HINDCI
Inquire on Inland outward DC HINODCI
Create Templates - Text Maintenance for DC MTT
7 RELATED TABLES (TO BE CHECKED)
Sl. No. Table Name Table Abbreviation
1 EDT EXP_ORD_DET_TABLE
2 EDT_MOD EXP_ORD_DET_MOD_TABLE
3 DCMM DC_MAST_MAIN_TABLE
4 DCM0 DC_MAST_MOD_TABLE
5 DCTPM DC_REGISTER_MAIN_TABLE
6 DCR0 DC_REGISTER_MOD_TABLE
7 DCXM DC_TEXT_MAIN_TABLE
8 DCX0 DC_TEXT_MOD_TABLE
9 DCEM DC_EVENTS_TABLE
10 SMH SWIFT_MSG_HISTORY_TABLE
11 CAMT CHRG_AMORT_DETAILS_TBL

8 BATCH JOBS
bafe3353 1 BG/DC Charges Amortization Process
dcfe5071 1 FORM Statement of Documentary Credit
9 UPLOAD OPTIONS
NIL
10 MRTS / MRRS / SAMPLE REPORTS
10.1.1 DC REPORTS AND ADVISES (DCRPTS):

This option is used to generate the letters and advises to be sent to the opener of the DC,
advising bank, reimbursing bank, correspondent bank, and beneficiary. Based on the
choice, the letters and advises to be generated are listed.
Enter your choice of Letter to be generated. Above are the list of letters to be generated.

Above are the list of advises to be generated. The report is generated using mrt file. The
mrt file name used for all the above letters/ advises are specified using HROTM option.
10.1.2 COVERING LETTER TO DC OPENER (DCRPTS):
---------------------------------------------+
|CANARA BANK |
|KUMTA |
|THIS IS CREATED FOR IN |
| |
|BANGALORE |
|KARNATAKA - 560076 |
+---------------------------------------------+
Date : 15-10-2005
To,
+------------------------------------------------+
| ABC TRADING CO LTD |
| DSDFSF, ASDFASDFD |
| ASDFASDFSDSSADF |
| BANGALORE ,KARNATAKA -560089 |
+-----------------------------------------------+
Dear Sirs,
Reg : Our Irrevocable Documentary Credit

No. DC1000EXP Dtd. 01-10-2005
for USD 1,000.00
As per your instructions, we have opened the Documentary credit mentioned

above. A copy of the same is enclosed for your reference.
Discrepancy if any to be brought to our notice immediately to send the

amendment. In the absence of any information from you, we assume that
the Documentary credit is established as per your instructions.
Please note that we have debited your account towards our charges.
Thanking you,
Yours faithfully,
......................
Authorised Signatories

10.1.3 COVERING LETTER TO CORR BANK ON DC OPENING

(DCRPTS):
+---------------------------------------------+
|CANARA BANK |
|KUMTA |
|BANGALORE |
+---------------------------------------------+
Date : 15-10-2005
To Advised through:
+-----------------------------------+ +-----------------------------------+
|CHASE MANHATTAN BANK | |STATE BANK OF INDIA |
|11,WALL STREET, NY | |SBI-TOKYO BRANCH |
| |1231, ASDFSDFDS ASDFSFSD | |
|ASDFSDFSFSSD SSDFSD
+-----------------------------------+ +-----------------------------------+
Dear Sirs,

No. DC1000EXP Dtd. 01-10-2005
for USD 1,000.00
Opener :ABC TRADING CO LTD
At the request of the openers, we have opened the above credit as under:
Yours faithfully
......................

10.1.4 ADVISE TO BENEFICIARY ON AMENDMENT TO DC

(DCRPTS)
+---------------------------------------------+
|CANARA BANK |
|KUMTA |
| |
|BANGALORE |
+---------------------------------------------+
Date : 15-10-2005
To Advised through:
+-----------------------------------+ +---------------------------------+
|SAMSUNG ELECTRONICS, | |STATE BANK OF INDIA |
|SAMSUNG TOWERS | |SBI-TOKYO BRANCH |
|TOKYO, JAPAN | |1231, ASDFSDFDS ASDFSFSD |
| | |ASDFSDFSFSSD SSDFSD |
+-----------------------------------+ | |
+---------------------------------+
Dear Sirs,

No. DC1000EXP Dtd. 01-10-2005
for USD 1,000.00
Opener : ABC TRADING CO LTD
At the request of the openers, we have amended the subject credit as under:
1. The value of the DC reduced by USD 250 to USD 1750.

All other terms remain unaltered.
All other terms and conditions remain unchanged . Please attach this amendment
to the original credit as this forms an integral part there of .
Yours faithfully
......................

10.1.5 ADVISE TO CORRESPONDENT BANK ON

AMENDMENT (DCRPTS):
+---------------------------------------------+
|CANARA BANK |
|KUMTA |
| |
|BANGALORE |
+---------------------------------------------+
Date : 15-10-2005
To Advised through:
+------------------------------------+ +---------------------------------+
|CHASE MANHATTAN BANK | |STATE BANK OF INDIA |
|11,WALL STREET, NY | |SBI-TOKYO BRANCH |
| | |1231, ASDFSDFDS ASDFSFSD |
| | |ASDFSDFSFSSD SSDFSD |
+------------------------------------+ | |
+---------------------------------+
Amendment No. 1
Dear Sirs,

No. DC1000EXP Dtd. 01-10-2005
for USD 1,000.00
Opener : ABC TRADING CO LTD
At the request of the openers, we have amended the above credit as under:
1. The value of the DC reduced by USD 250 to USD 1750.

All other terms remain unaltered.
All other terms and conditions remain unchanged. Please attach this
amendment to the original advise as this forms an integral part thereof.
Yours faithfully
......................

10.1.6 REPORT ON TRANSFERRED D.C.

A menu option HDCXFRPT is available to generate reports on the transferred DCs. It
accepts the following criteria from the user to generate the reports based on the entered
criteria:
The report format will be as under
DC Details
SEQ REFERENCE CUST CUST ADVICED CURRENCY LC ISSUING

NUMBER ID NAME DATE AMOUNT BANK
Transfer Details
SL. BENEFICIARY CURRENCY SUBST AMOUNT EXPIRY LAST DATE

NO OF FLG OF DATE OF
TRANSFER TRANSFER SHIPMENT
10.1.7 ONLINE QUERY OF DC

The DCQRY menu option allows you to inquire on the status of a DC. This option will
display details of only outward DCs linked to the export order number entered

10.1.8 BATCH CLOSURE OF DC
The HDCCLOSE menu option facilitates batch closure of DCs. Batch closure of DCs
can be done using this menu option or as a batch job setup through the HBJSTM
menu option.
10.1.9 GENERAL PURPOSE REPORT FOR DC

The HDCGPR menu option facilitates printing a report of a DC or a set of DCs that can be
used for general reference purposes. Expired and closed DCs can also be printed using this
menu option

10.1.10 REPORT FOR DC REGISTER

The HDCREG menu option allows you to print a report for a particular DC or a set of DCs. A
set of DCs may be selected based on the DC number, party code, currency, and a range of
dates between which the DCs were lodged. You can also specify whether closed DCs must
be considered and whether only history details or full details of the DCs are required in the
report

10.1.11 DC LIABILITY REGISTER

Party‟s Liability register with regard to DC‟s can be generated through the menu option
HDCLIABR
10.1.12 DC STATEMENT GENERATION

The HDCSTMT menu option is used to generate the statement of Documentary Credits
based on the criteria specified. The party code, currency or the DC Register can be
specified. You can also specify the type of DC that you require in the report. A statement
of the DC matching the selection criteria is generated
10.1.13 DC EXPIRY REPORT

Through the HDCEXPRP menu option, you can generate a list of DCs that have already
expired and DCs that are going to expire

10.1.14 TRANSACTION ADVICE FOR DC
The HCHRGADV menu option is used to generate advices for all transactions Documentary
Credits, which can be sent to the customer for reference
10.1.15 DOCUMENTARY CREDIT QUERY
Inquiry on documentary credit can be made in Finacle using HBKDCI. It‟s a CRV option.
The report generated is based on the selection criteria input such as DC type (Sight,
Usance), Set ID, Foreign/Inland, Inward/outward, Customer ID (CIF ID), DC Number, DC
Register, DC Status (issue, advised, amendment, bill utilization, closed, deleted, general
modification, reinstatement), Status change (transfer, utilization), Beneficiary ID, Bill
received under LC, advising bank code, margin account number, DC currency, amount
(from, to), Issue date (from, to), Expiry date (from, to

10.1.16 INQUIRY ON EXPORT DC EXPIRING
The user can make inquiry on Export DC using HEXPDCI menu option. The report/
inquiry is made on the selection criteria input such as customer ID, set ID, DC
number, issuing bank, issuing branch, issuing bank reference, DC type, Date issued
(from , to), Expiry date (from, to), shipment date (from, to), Applicant ID, DC
currency, amount (from , to), Bill number received under DC, DC status

10.1.17 INQUIRY ON INLAND INWARD DC

The user can make inquiry on Inland Inward DC using HINDCI menu option. The
report/ inquiry is made on the selection criteria input such as customer ID, set ID, DC
number, issuing bank, issuing branch, issuing bank reference, DC type, Date issued
(from , to), Expiry date (from, to), shipment date (from, to), Applicant ID, DC
currency, amount (from, to), Bill number received under DC and DC status.
10.1.18 INQUIRY OF INLAND OUTWARD DC
You can inquire on Inland outward DC using HINODCI menu option. The report/
inquiry is made on the selection criteria input such as customer ID, set ID, DC
number, DC type, Date issued (from , to), Expiry date (from, to), shipment date (from,
to), Beneficiary ID, DC currency, amount (from , to), Bill number received under DC,
Advising bank code, Margin account number, DC status.

10.1.19 DEFAULT MRTS AVAILABLE
SL. OPTION CODE IN When used ? / What is the

NO. ROTM MENU output
1 DCPRINTMAILMRT Mail format of a DC
2 DCPRINTTELEXMRT Telex format of a DC
3 DC_ADVB_AMENDMENT Letter to Advising Bank of
amendment
4 DC_ADVB_OPENING Letter to Advising Bank of DC
opening
5 DC_ADV_REIMB_ON_OPENIN Letter to Reimbursing Bank of DC
opening
6 DC_AMEND_ADV_ADVISINGBANK Letter to Reimbursing Bank of DC
amendment
7 DC_AMEND_ADV_BENEFICIAR DC amendment advice to the
beneficiary
8 DC_AMEND_ADV_CORRBANK DC amendment advice to the
Correspondent Bank
9 DC_AMEND_ADV_REIMBBANK DC amendment advice to the
Reimbursing Bank
10 DC_CORR_AMENDMENT DC amendment advice to the

Correspondent bank
11 DC_CORR_OPENING DC opening advice to the
correspondent
12 DC_EXPIRY_LIST_MRT Expired DC report
13 DC_LIAB_CRNCY_WISE_MRT Currency-wise DC opened report
14 DC_LIAB_PARTY_CRNCY_WISE_M Party-wise / currency-wise DC
RT opened report
15 DC_OPENER_AMENDMENT DC amendment advice to opener
16 DC_OPENER_OPENING DC issue advice to the opener
17 DC_REG_DC_WISE_MRT Register-wise report of DCs opened
18 DC_REIMB_AMENDMENT Covering Letter To Reimbursing
bank of DC Amendment
19 DC_REIMB_OPENING Covering Letter To Reimbursing
bank at the time of DC Issue
11 FLASHBACK
 Different DC Parameter types can be opened using the option DCTPM.
 System creates the liability transactions for all the DCs‟ lodged under the
Parameters for which the Gen. Liab. Transaction flag is set to „Y‟.
 It is possible to connect the limit node to the documentary credits.
 Charges/amortization of charges are calculated based on the HPTTM setup.
 ODCM is the option for the outward documentary credits. These are also called
as import documentary credits.
 IDCM is the option for the inward documentary credits. These are also called as
export documentary credits.
 It is possible to maintain the text as part of the documentary credits.
 DC text can be created/maintained by using the menu option MTT and can be
attached to the documentary credits at a later date.
 The transmission of the DC can be done by swift. Messages in the swift

approved formats, are generated by the system, automatically on happening of
relevant events

QUIZ
TOPIC : DOCUMENTARY CREDIT
Sl QUESTIONS T F
No
1 Creation of Parameters are a must for

capturing DC details
2 DC number generation can be automated
3 It is possible to maintain separate sequences

of DC numbers for different Applicants
4 Every time a DC is modified, the system
recalculates charges.
5 System calculated charges can be modified
by the user
6 Before verification of the DC, any of the

users can modify the DC details
7 It is possible to maintain customer-wise DC
contingent liability accounts
8 „DC Curr Value‟ and „DC Avail Value‟ fields in

ODCM may show different values at same
time
9 System will accept any of the values

available from the <list> function for the
field „Nostro Acct No‟ in ODCM option
10 User will be able to specify a date prior to

BOD as „Expiry Date‟ in a DC
11 „Last Date of Shipment‟ + „Negotiation

Period‟ should always be equal to „Date of
Quiz Ver Rev 10.2 Page 1

Expiry‟ in Finacle
12 System will automatically mark the lien on

the account specified, irrespective of the
nature on the account, if specified in the
margin details of the DC.
13 Generation of Swift messages are dependent
on the profile of the bank/branch to which
the message has to be sent.
14 The contra contingent accounts should be
partitioned accounts
Quiz Ver Rev 10.2 Page 2

Excercise Ver Rev 10.2 Page 1

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ADMINISTRATOR TRAINING MANUAL

Document number: VersionRev: 1.00

Document revision list

Ver.Rev Date Author Description

1.0.2 Updated Version – Finacle 9.2

1.0.3 22 Oct 2007 Bikash Kumar Updated Version – Finacle 10.0

1.0.4 29 Jan 2008 Raghavacharyulu Updated version 10.1

1.0.6 29 Apr 2009 Kamlendra Updated version 10.2

1.0.7 15 Mar 2009 Bikash Kumar Reviewed for Version 10.2

1.0.8 29 June 2010 Jagannath J N Reviewed and incorporated changes

© 2008 Infosys Technologies Limited, Bangalore, India

All rights reserved by Infosys Technologies Limited,

Infosys believes that the information in this publication is accurate as of

Documentary Credit Ver 10.2 Page 1

INSTRUCTIONS DETAILS TAB.................................................................................................. 30

Documentary Credit Ver 10.2 Page 2

5.2.5 VERIFICATION OF ADVISED DC: ............................................................................... 78

Documentary Credit Ver 10.2 Page 3

10.1.8 BATCH CLOSURE OF DC ........................................................................................ 100

Documentary Credit Ver 10.2 Page 4

DC is a widely prevalent mechanism for settlement of trade in international trade. It

PARTIES TO A DOCUMENTARY CREDIT

 Beneficiary The seller of goods or services to whom the Documentary credit is

Documentary Credit Ver 10.2 Page 1

 Confirming Bank A separate financial institution requested by the issuing bank

 Negotiating Bank A bank either nominated by the beneficiary under a freely

FEATURES OF DOCUMENTARY CREDIT MODULE:

The following features are supported in Finacle:

 Maintenance of liability of the Bank / Parties

 Creation of contingent transactions

 Amendment of a DC (Value / Validity / General amendment)

 Transferring of the DC to a third party

 Calculation of charges for various activities either in Home currency or in

Documentary Credit Ver 10.2 Page 2

 Maintenance of Margins by way of cash and lien as security

 Maintain Bank/country limits

 Linking with the Bills module

 Linking with BG module

 Linking with Forward Contract module

 Maintenance DC / Amendment Texts

 Generation of DC / Amendments texts in Mail / Telex / Swift formats.

 Maintenance of messages of Drawee / Drawer / Negotiating Bank

 Opening/Modifying/Amending/Advising/utilising DC across SOLS

 Sharing of Bank charges across SOLs

 Set up different types of registers for Documentary Credits

 Perform various functions like issue, amendment, utilization etc.

 Create set of text templates to be used in the DC.

 Inquiry on Documentary Credits

 Generate different types of reports

Documentary Credit Ver 10.2 Page 3

1 Purchase/Sale Agreement between Buyer & Seller

3.1.2 FLOW OF DC EXPLAINED:

Documentary Credit Ver 10.2 Page 4

9. The buyer exchanges the shipping documents for the goods.

Documentary Credit Ver 10.2 Page 5

4 DBA RELATED ACTIVITIES

4.1 INITIAL SET UP – OPERATING SYSTEM LEVEL

4.2 INITIAL SET UP – APPLICATION LEVEL

Documentary Credit Ver 10.2 Page 6