Payment Monitoring – Savings Scheme Agreement 

Use

In the context of a savings scheme agreement, the payment monitoring function provides control over the payments deposited in the account. The basis for this are the details about the amount and time of the installment payments entered on the Savings Agreement tab page for an account contract (see Editing Savings Scheme Agreements).

Prerequisites

You have made the following settings in Customizing for Account Management:

·        Item Management ® Turnover Classes for Flexible Account Balances.

¡        In the activity Define Turnover Classes you have created an entry for the monitoring balance with turnover class assignment “Assignment via Product Configurator”.

¡        In activity Define Derivation Rules for Turnover Classes you have defined which transaction types (for debit position items and incoming payments) are to be included in the turnover class.

·        Product Management ® Payment Monitoring –- Savings Scheme Agreement

¡        In activity Define Monitoring Levels you have created an entry for every point in time at which you wish to monitor the savings scheme agreement.

¡        In activity Define Monitoring Groups, for every entry you have defined the monitoring activities you want the system to carry out in the case of an overpayment. In addition, you have assigned one or more monitoring levels to each monitoring group, and stored in the context of the assignment the monitoring activities you want the system to execute in the case of an underpayment.

¡        In activity Monitoring Procedures you have assigned the monitoring groups to a monitoring procedure defined by you.

·        Product Management ® Product Definition ® Account Products

¡        In activity Create Account Product you have stored the following details in the attributes for the savings scheme agreement:

§         The monitoring procedure

§         The transaction types with which debit position items are to be created as part of payment monitoring.

§         The maximum advance payment that is allowed

§         The maximum number of unpaid installments.

Scope of Functions

Payment monitoring of a savings scheme agreement is based on the monitoring balance. All due installments are included in this balance in the form of debit position items, and the incoming payments in the form of payment items. The debit position items are generated by the debit position run and monitored by the monitoring run (see Monitoring Installment Payments). You can schedule both runs in the end-of-day processing job chain.

If there is a negative balance (meaning an underpayment) or a positive balance (meaning an overpayment), the system can automatically trigger the following monitoring activities, that you previously created in the Customizing settings (see above):

·        In all cases:

¡        Creation of correspondence for the customer

¡        Notification to a bank employee via the SAP Business Workflow

·        In the case of underpayment:

¡        Generation of charge postings

¡        Closing due installments

·        In the case of overpayment:

¡        Offsetting posting amounting to the overpayment or the monitoring balance

Example

The debit position run recognizes a due installment and creates a debit position item amounting to the installment amount, which is included in the monitoring balance.

·        The installment amount is paid within the first monitoring level (reminder period, for example). During the monitoring run, the system recognizes a monitoring balance of zero and does not trigger any further actions.

·        The installment amount is not paid during the first monitoring level. During the monitoring run, the system recognizes a negative monitoring balance and can trigger the following actions:

¡        Creation of correspondence to the customer, reminding him/her of the unpaid installment.

¡        Notification to an employee via the SAP Business Workflow

¡        Generation of a charge posting

·        The installment amount is paid during the second monitoring level. During the monitoring run, the system recognizes a monitoring balance of zero and does not trigger any further actions.

·        The installment amount is not paid during the second monitoring level either (for example, the catch-up period) (underpayment). During the monitoring run, the system recognizes a negative monitoring balance and can trigger the following actions:

¡        Creation of correspondence to the customer, informing him/her of the unpaid installment.

¡        Notification to an employee via the SAP Business Workflow

¡        Generation of a charge posting

...

·        The system closes the installment.

·        An amount is paid that exceeds the due installment. During the monitoring run, the system recognizes a positive monitoring balance and can trigger the following actions:

¡        Creation of correspondence to the customer

¡        Notification to an employee via the SAP Business Workflow

¡        Offsetting posting amounting to the overpayment or the monitoring balance. The system generates the offsetting posting in the form of an information item, meaning it sets the monitoring balance to 0 again.