You can use this process to monitor and control term agreements throughout the term duration.
You have created term agreements for fixed term deposit accounts.
Collection Cycle
The system collects any amounts that must be collected by using the
Collect Deposit Amount for Fixed-Term Deposit
function.
If you change the term agreement amount after the term agreement is fixed, you must execute the collection process again.
Fixing Cycle
The system finalizes the term agreement details by using the
Fix Fixed-Term Deposit Accounts
function.
If you change the term agreement values after the term agreement is fixed, you must execute the fixing process again.
The fixing process also fixes conditions for fixed-term deposit accounts. For more information, see Condition Fixing for Fixed-Term Deposit Accounts
Calling Cycle
The system calls the term agreements on the term end date by using the
Call Fixed-Term Deposit Accounts
function.
Note
You can also include these functions in the end-of-day processing and restrict the selection of accounts by specifying a bank area and product.
Fixing Errors
You can use the
Postprocessing Fixed-Term Deposit Accounts
report to generate a list of term agreements that have any of the following statuses and then manually process such accounts:
In Postprocessing During Collection
In Postprocessing During Fixing
In Postprocessing During Calling
You can use the
Restart Fixed-Term Deposit Accounts
report to reprocess all the term agreements that have any postprocessing status
.
For an overview of the possible statuses at each stage in the process flow see Postprocessing and Error Handling .
For more information, see the documentation for the respective function in the system.
The following example is based on the proposed process flow for end-of-day processing .
You create a term agreement with the following data for account 101234:
Term start date: April 01, 2003
Term end date: September 30, 2003
Term duration: Six months
Contract amount: EUR10,000
Minimum deposit: EUR1,000
Maximum deposit: EUR100,000
Term end action: One identical rollover
Additional data:
You do not define a balancing reference account
Account balance on April 01, 2003 is EUR8,000
You also enabled the following product features:
Term agreements
Fix on term start date
Minimum and maximum deposit adaptation while fixing time deposits
Call on working days only
Fixing
During the end-of-day processing on the payment transaction date March 31, 2003 , the fixing report checks whether the account balance is the same as the contract amount. Since the account balance is different, but is still between the minimum and maximum deposit, the system adjusts the contract amount to EUR8,000, and fixes the term agreement.
Calling
During the end-of-day processing on September 29, 2003 :
The calling report selects the account for calling.
The system balances the term agreement on the term end date and computes the interest.
The system changes the current term agreement status to
Called
and the future term agreement status to
Created
.
Rollover
Fixing
The rollover term agreement is fixed during the end-of-day processing on September 30, 2003 .
Calling
The system selects the term agreement for calling during the end-of-day processing on March 31, 2004 .
Concluding Steps
Once the account is balanced successfully, the system pays the contract amount and interest into the capital disbursement reference account since there are no further rollovers.