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TPH Training - Day 4

 Learning Objectives 3

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Objectives

Understand the Clearing Framework

Inward Framework
Outward Framework
Credit Transfer
Direct Debit
Single Transfer
Bulk Transfer
Clearing Tables
PP.CLEARING

PP.CLEARING.SETTING

PP.CLEARING.NATURECODE

 Process SEPA Credit Transfer Payments

Clearing Framework 4

Generic local
Outward
Inward Framework clearing payment
Framework
processing
Inward Framemwork 5

 Enables receiving
 XML file using IIB (ESB from IBM)
 XML files using an ESB other than IIB
 XML files without ESB
 Non XML files
Inward Framework – XML files - High Level Overview
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Checksum Process based on

Receive XML file /Controlsum BatchBooking
validation Indicator

XSD Validation Debulk File Payment processing

Transform to generic Parse and store file, Raise settlement Entry

format bulk and transaction
details Generate outgoing file
(XSLT)

Inward Framework

Outward Framework
File Acceptance
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 An XML file received could result in
 XSD validation failure and/or
 XSLT transformation failure and/or
 Checksum validation failure
 File Duplicate

 Send ACK/NACK based on configuration

File Validations – File Duplicate
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 Enable or disable based on PP.MSG.ACCEPTANCE.PARAM

 If file level duplicate check is enabled, system will verify based on

 Internal file that holds the message IDs to check for duplicates –
PRF.DUPLICATEFILECHECK
File Validations
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 Total number of transactions

 The total number of transactions specified in the message should be
equal to the number of transactions received in the message
 Total number of transactions in the Group Header = Sum of (‘Total number
of transactions’ per bulk.)

 Total amount
 Total amount specified in the message should be equal to the sum of
the individual payments in the file
 Control Sum of the GroupHeader = Sum of (Control Sum per bulk)
Bulk Validation
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 Batch Booking Indicator (In pain.001)
 “True” - Total amount for all payments within the segment is mentioned.

 Currency check
 Currencies of all transactions within a bulk should be the same.

 Total number of transactions within a bulk

 Total number of transactions specified at the bulk level should be equal to
the number of transactions received within the bulk.
 Value of tag NoOfTxs (in PmtInf) = Count of individual payments within the bulk

 Total amount of the bulk

 Total bulk amount specified in the message should be equal to the sum of
individual transaction amounts in the batch.
 ControlSum in PmtInf = Sum of amounts of all individual transactions within a
bulk
Viewing status of files received
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 User Menu > Received Files
Batch Processing – Flow Diagram
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Batch Processing – Flow Diagram
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Process Flow – Message Acceptance
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Message
Received
in Queue

Message
Acceptance
Service
View accepted and de-bulked messages
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Debulked as ‘P’arent and ‘C’hild messages
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De-bulked ‘C’hild payments
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Parent Processed till Fee Determination
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Parent mapped in POR.TRANSACTION
Start payment processing for ‘C’hild
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Mapping
Service
(Children)

Mapping
Service
(Children)
Start payment processing for ‘C’hild
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Start payment processing for ‘C’hild-Child Payment Scenarios
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Scenario 1-First Child is reversed due to some failure and reach 993 status
View processed details for First ‘C’hild
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Start payment processing for ‘C’hild-Child Payment Scenarios
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Second Child Payment is successful
View processed details for Second ‘C’hild
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View processed details for Second ‘C’hild
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Start payment processing for ‘C’hild-Child Payment Scenarios
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Third Child Payment is successful
View processed details for Third ‘C’hild
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Start payment processing for ‘C’hild-Child Payment Scenarios
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Scenario 2- Child payment is captured with reversal reason in statement text also.
Start payment processing for ‘C’hild-Child Payment Scenarios
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Payment processing for ‘C’hild
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Payment Completion
1. Payment Reversed (993)
2. Payment Generation Successful (687)
3. Payment Generation Successful (687)
Resume ‘P’arent processing
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Resume Parent Processing – Check if all children have calculated fee

View status of parent
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Batch Processing – Parent held due to insufficient funds
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 Payment is Accepted
 Payment is parked due to insufficient funds-Whole Batch Parked
 It goes to Status 49 (Waiting-Balance check DDA Approval)

Approve release of funds for parent transaction

Approve release of funds for parent transaction
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Authorise request for funds
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• Payment gets released to move to the next stage

• Child transactions are released and processed
Payment Processing
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Checksum Process based on

Receive XML file /Controlsum BatchBooking
validation Indicator

XSD Validation Debulk File Payment processing

Transform to generic Parse and store file, Raise settlement Entry

format bulk and transaction
details Generate outgoing file
(XSLT)

Inward Framework

Outward Framework
 Understanding the key words 37

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Credit Settlement
Direct Debit Cheque Clearing Type
Transfer Type

File Clearing
Clearing Debit
/Transaction Transaction Mandates
Nature Code Authority
Based Type

Channel Queries and

Reachability Cancellation Investigation
Validations Answers
Main Configuration Tables 38

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• Define the clearing

PP.CL
EARI
NG

PP.CL • Define the attributes of the clearing

EARI
NGSE
TTIN
G

PP.CL • Define the variations in clearing messages

EARI
NGNA
TURE
CODE
PP.CLEARING 39

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Admin Menu > Payment Hub >Local Clearing GUI > Clearing
PP.CLEARING.SETTING 40

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Admin Menu > Payment Hub >Local Clearing GUI > Clearing Setting
PP.CLEARING.SETTING - Contd 41

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PP.CLEARING.NATURECODE 42

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Admin Menu > Payment Hub >Local Clearing GUI > Clearing
Nature Code

Company ID It is the company code for which the clearing nature record is created.
This field defines the code identifying the nature of clearing payment (sub
Clearing product type).
NatureCodeDescription
It is updated in the payment order during mapping.
This field indicates the cheque type that is known in T24, relating to the given
clearing nature code.
Cheque Type
It is used for cheque debits products during validation of the cheque status.
PP.CLEARING.DIRECTORY 43

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Admin Menu > Payment Hub >Clearing Directory GUI > Clearing
Directory
PP.SOURCE.SETTING 44

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Indicates the Transaction Type for which the record is created.

Transaction Type
Example : CT,DD
Message payment type Indicates the message type of the Payment.
Indicates Whether the payment has to be automatically cancelled by
AutomatedCancel Indicator
STP flow or not
Create Customer Status Message for which the record is created – Indicates
Createcustomerstatusmsg whether Customer Status Report to be generated for the payment
This field is to decide if the parent is to be held at fee or if children should be
Batchfeeholdindiactor released after payment finalization is specified. Set to ‘Y’ to hold parent at
fee.
The number of the maximum allowed days to process the payment
Maxalloweddays
Outward Framework
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Outward Clearing Framework is responsible for generating payment

messages/files to be sent to the Clearing and settlement entries for
successfully processed files.
Outward Clearing Framework - Bulking Criteria API
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 Define in PP.CLEARING
 Takes as input
 ClearingTransactionType
 BankOperationCode
 OutgoingMessageType
 ClearingCurrency

 Output (Values that form the bulking criteria. To be set to ‘Y’ if the field is
a deciding factor to form a bulk)
 ClearingCurrency
 ClearingNatureCode
 OutgoingMessageType
 ClearingTransactionType
 CreditValueDate
 DebitValueDate
 BulkSendersReference
Outward Clearing Framework - Bulking Criteria API
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 Other values to be returned
 File Format
 Example for SEPA RPSSCL :
 Valid file formats for RPSSCL : ICF, IDFC, IDFB
 File format is decided based on ClearingTransactionType and
BankOperationCode
 When PP.CLEARING.FileGenerationRequires is ‘N’, FileFormat would
be set to NOFILE by the system
Clearing Transaction Type Bank Operation Code File Format

CT or RT or RV Not Applicable (NA) ICF

DD or RD or RJ or RF or RV or CORE IDFC
CR-DD
DD or RD or RJ or RF or RV or B2B IDFB
CR-DD

 Payment TypeIndicator
 Specifies if the payment is a credit transfer or a direct debit
Clearing Transaction Type Bank Operation Code
CT or RT or RV C

DD or RF or RD D
Outward Clearing Framework - Bulking Criteria API
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 Exception Handling
 Causes
 Bulking Criteria API not defined
 Bulking Criteria API defined but API does not exist

 Result
 System will log an ‘INF’ormational error in POR.HISTORYLOG
 System will exit processing
 Credit Transfers 49

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 Accept Customer to Bank (C2B) Payment Orders

 Clear Customer to Bank (C2B) Payment Orders [Inter-bank leg]

 Settle Customer to Bank (C2B) Payment Orders

 Exceptions and Investigations relating to C2B Payment Orders

 Provide Customer Status Reports on C2B Payment Orders

Customer
Payment
Status
Initiation
Report
Pain.001
Pain.002
Credit Transfer (pacs.008) – Incoming/Outgoing $
$
Cancellation Requests (camt.056) – Incoming/Outgoing
Resolution of Investigation (camt.029) – Incoming/Outgoing
Payment Return (pacs.004) – Incoming/Outgoing
Bank Clearing House
Clearing Transaction Types – Credit Transfer 50

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Business Event Transaction Type ISO Message Version

Credit Transfer Initiation CI pain.001 05

Credit Transfer CT pacs.008 02

Credit Transfer Return RT pacs.004 02

Credit Transfer Cancellation Request CR camt.056 01

Resolution of Investigation RI camt.029 03

Clearing Status Report pacs.002 03S2

Rejections RJ

Customer Status Report pain.002 05

Credit Transfer Initiation 51

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Credit Transfer Initiation - Booking 52

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Single Payments – Sent immediately to Clearing (example RTGS payment)

Debit Customer/Debtor Account - For Principal Credit Clearing Nostro Account - For Principal
Debit Customer/Debtor Account - For Charges Credit PL - For Charges
Credit Tax Account - For Taxes

Single Payments – Sent in a Clearing Batch (ACH Payments)

Debit Customer/Debtor Account - For Credit Clearing Suspense Account -For Principal
Principal Credit PL - For Charges
Debit Customer/Debtor Account - For Charges Credit Tax Account - For Taxes
Debit Customer/Debtor Account - For Tax
(example VAT)

Batch Payment – Parent Transaction – Book

Debit Customer/Debtor Account - For Credit Batch Suspense Account - For Principal
Principal Credit PL - For Charges
Debit Customer/Debtor Account - For Charges Credit Tax Account - For Taxes
[Can be netted into a Single Debit entry]
Debit Customer/Debtor Account - For Tax
(example VAT)
 Credit Transfer Initiation – Booking (Cont.) 53

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Batch Payment – Child Transaction - Sent immediately to Clearing (example RTGS payment)
Debit Batch Suspense Account - For Credit Clearing Nostro Account - For
Principal Principal

Batch Payment – Child Transaction - Sent in a Clearing Batch (ACH Payments)

Debit Batch Suspense Account - For Credit Clearing Suspense Account- For
Principal Principal

Settlement Entry with Clearing House (In case of ACH Payments)

Debit Clearing Suspense Account - Credit Clearing Nostro Account- For Bulk Total
For Bulk Total

Suspense and Nostro accounts to be used can be configured –

PP.CLEARINGSETTING
Credit Transfer – Receive and Execute 54

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Credit Transfer - Booking 55

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Settlement Entry (For Batch/Bulk payments)

Debit Clearing Nostro Account Credit Clearing Suspense Account

Individual Transactions (which belong to batch/bulk) – Incoming

Debit Clearing Suspense Account Credit Beneficiary

Individual Transactions (which belong to batch/bulk) – Redirect

Debit Clearing Suspense Account Credit Vostro Account of correspondent bank (Net
of charges)
Credit PL (if charges are applied)
 Credit Transfer Initiation – Booking (Cont.) 56

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Individual Transactions – Single – Incoming

Debit Clearing Nostro Account Credit Beneficiary
Credit PL (For charges if any)

Individual Transactions – Single – Redirect

Debit Clearing Nostro Account Credit Vostro of correspondent
Credit PL (For charges if any)

Settlement Entry with Clearing House (In case of ACH Payments)

Debit Clearing Nostro Account - For Bulk Total Credit Clearing Suspense Account - For Bulk Total

Suspense and Nostro accounts to be used can be configured –

PP.CLEARINGSETTING
Credit Transfer – Returning an incoming credit transfer 57

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Credit Transfer Return – Booking 58

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Returning an incoming credit transfer

Debit Return Suspense Account Credit Clearing Suspense Account

Settlement Entry with Clearing House (In case of ACH Payments)

Debit Clearing Suspense Account Credit Clearing Nostro Account

Suspense and Nostro accounts to be used can be configured –

PP.CLEARINGSETTING
Workshop – Process PAIN 001
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SEPA CREDIT TRANSFER- Open the IBM Integration Toolkit
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Open the IBM integration Toolkit – 10.0.0.9 in the folder IBM
Integration BUS – 10.0.0.9
SEPA CREDIT TRANSFER – OUTGOING
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Select the XML message from the folder C:\Temenos\R19\Env\Slot01\Data\T24\
UD\PP\OriginalBackupMsgFolder
SEPA CREDIT TRANSFER
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Edit the selected message with Msg ID, Ctrl Sum(Check the individual
transaction amount and the total amount of the file is tallied)
SEPA CREDIT TRANSFER
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Paste the edited message in the folder C:\Temenos\R19\Env\Slot01\Data\T24\
UD\PP\BulkCTIInput

Note:

• After you paste in the above folder, the message should

disappear.
• If the message disappears in the folder, check the mqsibackout
folder in the same location to find out for any failure files.
SEPA CREDIT TRANSFER
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Check the status of the file in the PPT.RECEIVEDFILEDETAILS. UserMenu >
Payment Hub > Received Files > Received Message / File Details List
Run STPFLOW.MEDIUM Service
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Run BNK/PAYMENT.STPFLOW.MEDIUM service
 Run STPFLOW.MEDIUM Service 66

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Pending and Processed Payment Status moved to 706 Waiting – Clearing

PP.CLEARING.FREQUENCY
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Set the cut off time in PP.CLEARING.FREQUENCY
Run BNK/CLEARING.SETTLEMENT.SERVICE 68

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Run BNK/CLEARING.SETTLEMENT.SERVICE
View Dashboard
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Pending and Processed Payment Status changed to 999 – Payment Complete

 View Dashboard 70

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Check Sent File Details
SEPA CREDIT TRANSFER – PACS008
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Sent message to Clearing House can be viewed in the folder C:\Temenos\R19\
Env\Slot01\Data\T24\UD\PP\CTOutput
VIEW PAYMENT DETAILS – Pain 001(View Screen)
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VIEW PAYMENT DETAILS – Pain 001(View Screen)-Contd 73

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View Posting Lines – PAIN 001
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Posting Entries (PAIN 001) :

Debit Client Account

Credit Suspense Account
Credit P&L account for charges

PACS 008 (Settlement) :

Debit Suspense Account

Credit Clearing Nostro Account
Understand Audit Trial
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Workshop – Process incoming PACS 008
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SEPA CREDIT TRANSFER- Open the IBM Integration Toolkit
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Open the IBM integration Toolkit – 10.0.0.9 in the folder IBM
Integration BUS – 10.0.0.9
SEPA CREDIT TRANSFER - INCOMING PACS 008
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Select the XML message from the folder C:\Temenos\R19\Env\Slot01\Data\T24\
UD\PP\OriginalBackupMsgFolder
SEPA CREDIT TRANSFER
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Edit the selected message with Msg ID, Ctrl Sum(Check the individual
transaction amount and the total amount of the file is tallied)
SEPA CREDIT TRANSFER
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Paste the edited message in the folder C:\Temenos\R19\Env\Slot01\Data\T24\
UD\PP\STEP2Input

Note:

• After you paste in the above folder, the message should

disappear.
• If the message disappears in the folder, check the mqsibackout
folder in the same location to find out for any failure files.
SEPA DIRECT DEBIT
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Check the status of the file in the PP.INPUT.FILE
View Dashboard
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Pending and Processed Payment Status - Message Mapping
Run STPFLOW.LIGHT Service
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Run BNK/PAYMENT.STPFLOW.LIGHT service

Pending and Processed Payment Status moved to 999 - Payment

Completed
VIEW PAYMENT DETAILS – Pacs 008IS
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VIEW PAYMENT DETAILS – Pacs 008 - Contd
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View Posting Lines – PACS 008 Settlement
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PACS 008 (Settlement) :

Debit Clearing Nostro Account

Credit Suspense Account
View Posting Lines – PACS 008
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Posting Entries (PACS 008) :

Debit Suspense Account

Credit Client Account
Understand Audit Trial
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Understand Audit Trial 89

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 What Did We Learn? 90

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Conclusion

Overview of Clearing Framework

PP.CLEARING

PP.CLEARING.SETTING

PP.CLEARING.NATURECODE

PP.CLEARING.DIRECTORY

PP.SOURCE.SETTING

Process SEPA Credit Transfers

Thank You 91

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