BSFI Domain Knowledge

What is mean by BFSI domain for Tester?

Banking Domain Knowledge for Testers

1. What is Banking – Do manage the customer finance under Authorized center

agency guideline.
2. Types of Banks- Retail bank , Governments /Nationalize, Agriculture ,
Cooperative , Corporate.
3. Types of Bank Accounts
4. Types of Banking Products
5. Banking Terms.

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 Types of Banks
1. Saving Banks
2. Commercial Banks
3. Industrial Banks
4. Agricultural Banks
5. Central / Federal / National Bank
6. Co-operative Banks
7. Exchange Banks

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 Types of Bank (7 Types)
1)Saving Banks
A savings bank is a financial institution whose primary purpose is accepting
savings deposits and paying interest on those deposits.
e..g SBI, Union bank of India, etc

2) Commercial Bank
A commercial bank is a financial institution which accepts deposits from the
public and gives loans for the purposes of consumption and investment to make profit.
e..g ICICI Bank, HDFC Bank, Axis Bank, Yes Bank, and Kotak Mahindra Bank.

3) Industrial Banks
A bank is a financial institution that accepts deposits from the public and creates a
demand deposit while simultaneously making loans. Lending activities can be directly
performed by the bank or indirectly through capital markets
e…g IDBI, Industrial Finance Corporation (IFC)
State Financial Corporations (SFCs)

Continue….
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4) Agricultural Banks
To finance the agricultural sector. They also help in land development.
A type of bank that lends money to farmers for longer periods of time and charges them less
interest than other types of banks
e..g

5) Central / Federal / National Bank

e..g RBI

6) Co-operative Banks
Co-Operative Banks are small financial institutions that offer lending facilities to small
businesses in both urban and non-urban regions. These are monitored and regulated by the
Reserve Bank of India (RBI)

7) Exchange Banks
Exchange Banks are also called as foreign exchange banks and they are incorporated outside
the country but carry out business in India.

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 Types of Bank Accounts

 Savings accounts

 Current Accounts

 Recurring Deposit Account

 Fixed Deposit Account

 Certificates of deposit

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1. Saving Account:

 They are for people who want to keep their money in a safe place and
earn interest at the same time. We don’t need a lot of money to open
a savings account.
 Features of the Savings account:
 There is no limit to the number of times the account holder can
deposit money in this account but there is a restriction on the
number of times money can be withdrawn from this account.
 The rate of interest that an account holder get varies from 4% to
6% per annum
 There is no minimum that needs to be maintained for this type of
an account balance
 The savings bank account is mostly eligible for students, pensioners
and working professionals
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2. Current Account

 The second type of bank account is the current bank account. These accounts are
not used for the purpose of savings. Its main function is to satisfy the daily
transaction.
 Features of the Current account:
 This type of bank account is mostly opened by businessmen. Associations,
Institutions, Companies, Religious Institutions and other business-related
works, the current account can be opened
 There is no fixed number of times that money can either be deposited or
withdrawn from such accounts
 Overdraft facility is available for current bank accounts
 There is no interest that is paid on such accounts

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3.Recurring Deposit Account

 Recurring Deposit account or RD account is a form of account wherein the

account holder needs to deposit a fixed amount every month until it reaches the
fixed maturity date.

 The features of the Recurring deposit account

 Any individual or an Institution can open a recurring deposit account
either separately or jointly
 Periodic or monthly instalments that need to be added can be as low as
Rs.500/- or may vary from bank to bank
 The range of months for which an RD account can be opened varies from
6 months to 120 months
 The interest rate varies depending upon the bank you choose to open an
account with
 Premature withdrawal of the amount is permitted, provided a sum of
amount is deducted as penalty
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4.Fixed Deposit Account
• FD or a fixed deposit account is type of account, the account holder needs to
deposit a fixed amount of sum (as per their wish) for a fixed time period
• Features:
– this type of account, the account holder needs to deposit a fixed amount of
sum (as per their wish) for a fixed time period
– Banks pay interest on the fixed deposit account
– Full repayment of the amount is not available before the maturity date.

5.Certificates of deposit
– Before you invest in a certificate of deposit, it is necessary that you are entirely
aware of what this money market instrument is all about
– type of savings account usually issued by commercial banks, which restricts
your access to the money you invest but offers much higher interest rates than
those associated with regular savings accounts.
– Mostly min limit is 1 lack… depend on bank..
– Duration is also less as compared to fixed deposit account.

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 Banking Product- Loans
1. Personal Loan
2. Home Loans
3. Bank Loans against Property
4. Business Loans:
5. Vehicle Loans:
6. Education Loans
7. Gold loan

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 Banking Terms

 Business Day:
Any day on which offices of a bank are open to the public for carrying on
substantially all the bank’s business.

 Cheque (future dated transaction and BVT)

A written order instructing a financial institution to pay immediately on demand
a specified amount of money from the check writer’s account to the person
named on the check or, if a specific person is not named, to whoever bears the
check to the institution for payment.

 Cheque Truncation:
The conversion of data on a Cheque into an electronic image after a cheque
enters the processing system. Cheque truncation eliminates the need to return
canceled checks to customers.

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 Internet Banking
What is mean by Internet Banking?
It is web-based application in which transaction are conducted electronically

• Core internet banking:

 Core banking is a banking service provided by Group of network bank branches
where customer may access their bank account and perform basic transactions
from any of the member branch office.
 It is backend system that process the banking transaction across the various
branches of the bank.

Internet banking has two parts.

1) Retail Banking
2) Corporate banking

Difference Retail Banking and Corporate Internet between Banking

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 Different types of modes of payment Transfer
• Electronic Payment Transfer Products
– NEFT (24/7) 1 to unlimited
– RTGS ( 2 LAKH AND ABOVE)
– IMPS ( 1 TO 5 LAKH )
– IFT (1 TO UNLIMITED)
• Paper Products
– Cheque
– DD
– Cash

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What is mean by Internet Banking
• Internet banking makes use of electronic payment method that enables both the
customers and financial institutions to pursue money transactions through the
website or Web application.

Internet Banking project flow

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 What is mean by Corporate internet Banking?

Corporate Internet Banking or "CIB" means one of the electronic systems of the i-

Banking Services provided by the Bank specifically designed for corporate customers or

firms or companies with full range of services, including without limitation, cash

management functions, transfer MPF and payroll files for real time update, processing

of applications for trade finance and money transfer for the Customer.

 How it is different than Retail internet Banking?

 In Corporate banking there are two application

1. Bank Side Application
2. Customer side Application (BIB) 15
Corporate Internet banking payment transfer divided into three parts.

1. Onscreen Individual Payments transfer

2. Onscreen bulk payment transfer

3. Bulk File upload

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In bank side application we perform below task
1. Registered the customer CIF
2. Mapping the payment product with the customer
3. Create file format for bulk file upload
4. Template design
5. Payment Advice
We must perform all above task to registered customer for Internet banking.

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Other task to be perform in bank side application

• Payment Enquiry
• API related work ( Message Failure que)
• To check payment failure
• To modify the customer
• We can also perform the transaction by using
bank side application

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 In Customer side application we perform
below task
• Registered the corporate company
• Set the parameter to customer
• role
• Create Customer user
• Set Authorization Matrix

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• How we set Authorization Matrix

User Role Limit Sequence

RAHUL Checker 1 to 5 lakhs
Sharad sir Checker 5.1 to 10 lakhs
Shubham sir Checker 10 lakh onward

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 Customer side application :
1. Account Information
2. Payment transfer
Onscreen Individual Payments transfer
Onscreen bulk payment transfer
3. Bulk File upload
a. To upload
b. Check file status field
c. Processed file
4. Transaction Inquiry:
all payments transaction detail
5. Report Module:
daily transaction report : PDF, EXCLE, TEXT
Instrument printing report: PDF, EXCLE, TEXT
Instrument status repot: : PDF, EXCLE, TEXT

6. Notification maintenance
MOBILE , email
7. Manage Payee

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End to End flow of payment Transaction.

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• Different Types Of Testing In Internet Banking Applications:
• Usability testing – Internet banking application would be used by many
users- some would be technically sound and others may lack technical skills.
Application should be simple so that even people who are not so much into
technical side should be able to handle the application well. Website need to
be tested for simple and efficient design so that any user would be able to
navigate through internet banking application without assistance.
• Security testing – Banking applications are the key targets of hackers and
groups that commit fraudulent activities. Vulnerability scanning and
penetration testing can reveal proliferation of defects and further system
susceptibilities.
• Functional testing – functional testing encompasses checking for all the
requirements and specifications
• Performance testing – Some days may have spike in banking activities –
especially in festivals or period during which there is an offer. Performance
failures can affect the reputation of the financial institution badly.
• Database testing – This needs to be done to make sure that ensure that data
integrity, data migration, validation and rules testing is fine.

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Sample Test Cases For Net Banking Application:

• Verify that user is able to login with valid username and password
• Verify that user is able to perform basic financial transactions
• Verify that user can add a beneficiary with valid name and account details
• Verify that user is able to make financial transactions to added beneficiary
• Verify that user is able to add decimal number into amount ( limited by 2 numbers)
• Verify that user is not able to add negative number into amount field.
• Verify that user is allowed to transfer money only if there is proper account balance.
• Verify that there is a confirmation check for financial transactions
• Verify that user is given an acknowledgment receipt upon successful financial transaction.
• Verify that user is able to send money to multiple people
• Verify that user is allowed to change password
• Verify that account details reflect financial transactions also.
• Verify that user with invalid password is not allowed to login.
• Verify that after repeated attempts to login with incorrect password( as per the limits), user
should be blocked.
• Verify that time-out feature is implemented
• Verify that if either of the username or password is blank, user is not allowed to login. User
should be given an alert also. 24
Questions &Answer

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 Interview Questions
1. What is your project?
2. What is mean by RTGS and NEFT? What is the difference between them
3. What are the Modules you work on?
4. What is mean by Authorization Matrix? Why it needs and what are its type?
5. What is mean by maker and checker
6. What is the transaction flow?
7. Tell me any five scenarios on Fund transfer?
8. Explain the NEFT flow?
9. What is the difference between corporate banking and retail banking?
10. What is the difference between current account and saving account
11. What are the payment types?

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