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B@NCS24 SOFTWARE SOLUTION

An Industrial Internship Report


Submitted by

ARIHANT
(11BCE0071)
In partial fulfillment for the award of the degree of

BACHELOR OF TECHNOLOGY
In

COMPUTER SCIENCE AND ENGINEERING

VIT
UNIVERSITY
(Estd. u/s 3 of UGC Act 1956)

Vellore - 632 014, Tamil Nadu, India

SCHOOL OF COMPUTING SCIENCE AND


ENGINEERING
NOVEMBER 2014

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DECLARATION BY THE CANDIDATE


I hereby declare that the Industrial Internship report entitled B@NCS24
SOFTWARE SOLUTION submitted by me to Vellore Institute of
Technology, Vellore in partial fulfillment of the requirement for the
award of the degree of Bachelor Of Technology in Computer Science
and Technology is a record of bonafide industrial training undertaken
by me under the supervision of Prabhat Kumar and Govinda K. I
further declare that the work reported in this report has not been
submitted and will not be submitted, either in part or in full, for the
award of any other degree or diploma in this institute or any other
institute or university.

Vellore:

Signature of the Candidate

Date: 14th November 2014

VIT
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UNIVERSITY
(Estd. u/s 3 of UGC Act 1956)

Vellore - 632 014, Tamil Nadu, India

School of Computing Science & Engineering


BONAFIDE CERTIFICATE
This is to certify that the Industrial Internship report entitled
BANCS@24

SOFTWARE

SOLUTION

STUDY

REPORT

submitted by ARIHANT (11BCE0071) to Vellore Institute of


Technology, Vellore in partial fulfillment of the requirement for the
award of the degree of Bachelor Of Technology in Computer Science
and Technology is a record of bonafide Industrial Internship undertaken
by him/her under my supervision. The training fulfills the requirements
as per the regulations of this Institute and in my opinion meets the
necessary standards for submission. The contents of this report have not
been submitted and will not be submitted either in part or in full, for the
award of any other degree or diploma in this institute or any other
institute or university.

GOVINDA K
Senior Assistant Professor
Date: 14th November 2014

Internal Examiner (s)

External Examiner (s)

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ACKNOWLEDGEMENT

The extensive endeavor, bliss and euphoria that accompany the successful
completion of the task would not be complete without the expression of gratitude
to the people who made it possible. I take this opportunity to acknowledge all
those who guided, encouraged and helped me in winding up this project.
I am very thankful to Mr. Prabhat Kumar, who gave me guidance throughout my
stint. I would also like to extend my feelings of gratitude towards my faculty
mentor Professor Govinda K, for his constant guidance, support and correcting
where I was wrong. I thank them with full zeal and enthusiasm that they gave this
big opportunity to me.

Place : Vellore
Date

(ARIHANT)

: 14th November 2014

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TABLE OF CONTENTS
CHAPTER NO.

TITLE

PAGE NO.

LIST OF TABLES

LIST OF FIGURES

LIST OF SYMBOLS

1.

ABSTRACT

2.

INTRODUCTION
2.1 ALLAHABAD BANK
2.2 CORE BANKING SOLUTION

B@NCS24 SOFTWARE
3.1
3.2
3.3
3.4

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List of Tables
Table 1:
Table 2:
Table 3:
Table 4:

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List of Figures
Figure 1:
Figure 2:
Figure 3:
Figure 4:
Figure 5:

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List of Abbreviations:

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1. ABSTRACT
Allahabad Bank is a nationalized bank with its headquarters in Kolkata, India.
It is the oldest joint stock bank in India. It is a retail bank. Retail banking is
when a bank executes transactions directly with consumers, rather than
corporations or other banks. Services offered include savings and
Transactional accounts, mortgages, personal loans, debit cards, and credit
cards. The term is generally used to distinguish these banking services
from investment banking, commercial banking or wholesale banking. It may
also be used to refer to a division of a bank dealing with retail customers and
can also be termed as Personal Banking services.
Allahabad Bank uses BaNCS@24 software to deliver banking services to its
customers throughout the country. It is a core banking software (CBS) suite
developed by Tata Consultancy Services for use by retail banks.
It includes functions for universal banking, core banking, payments,
compliance, financial inclusion, Islamic banking and treasury operations.
There are also modules that deal with capital markets and the insurance
business. Allahabad Bank, among many others is using BaNCS@24 software
to meet their retail banking services. The Software was developed in
COBOL.
The BaNCS product suite for banking, capital markets and insurance enables
business transformation in financial services. Increasing operational
efficiency and helping financial institutions stay agile; it delivers a
competitive edge with unmatched certainty. It has performed better than
established benchmarks.

The core banking solution from TCS BaNCS on HP Integrity servers


delivered outstanding benchmark results for one of the worlds largest
retail banks, with online throughput at 10,716 transactions per
Second (TPS) and end-of-month interest capitalization process
conducted in 58 minutes and 47 seconds.

This core banking solution displayed high scalability using target


volumes on the IBM mainframe. For Online Transaction Processing
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(OLTP), the highest average TPS achieved (using full configuration)


was 9,445 TPS with an average CPU utilization of 88.6%.

The plug and play, component-based product suite consistently turns in


impressive benchmark results, with a fine-tuned, highly scalable technology
architecture that supports financial institutions with the highest capacities for
transaction volumes, peak transactions per second, and transaction history
size. With such a track record, it is only natural that the retail banks like
Allahabad Bank are using this highly efficient software in delivering banking
services to their customers.
This software is used by the bank executives and employees to search, add,
edit the details of any customer who has an account. They can directly open a
new account, request to delete the already existing ones, ask bank employees
to check balance and much more. The aim of this report is to write in detail
the activities of the software which is an online tool and also discuss in detail
the type of physical forms used by bank for offline filling for various
purposes and keeping physical proof of the same.

2. INTRODUCTION
2.1 ALLAHABAD BANK:

Allahabad Bank was founded by group of Europeans on April 24 1865.


The Allahabad Bank has a history of 3 centuries. The Allahabad Bank is
the oldest joint stock Bank in India. Due to business considerations the
head office of Allahabad Bank was shifted to Calcutta (now Kolkatta) in
1923. In March 2007 the business of Allahabad bank reached to a mark
of 150000 crores. The Chairman and Managing Director of Allahabad
Bank is Sri K.R. Kamath. Sri K.K. Agarwal and Sri J.P. Dua are the
executive directors of Allahabad Bank.
The Allahabad bank offers its services to self-employed persons,
Professionals, salaries employees, businessman.

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The Allahabad bank offers three kinds of products Deposit products,


Retail Credit Products and Other Credit Products. The Flexi-fix Deposit,
Rs 5 Banking, Tax Benefit Term Deposit are some of the famous
Deposit Products of the Allahabad Bank.
The Allahabad Bank also offers its services to NRI customers. It offers
International Banking facility for its NRI customers. The deposit
schemes, tax benefits schemes, remittance facility, forex services are
offered by the Allahabad Bank. The NRI services are available in 312
branches of the Allahabad Bank all over the country.

Philosophy of the Bank


The highest standards of ethical conduct and honest. accurate, fair, full,
sensible and timely disclosures in reports. Compliance with laws,
regulations and rules.

Vision
To put the Bank on a higher growth path by building a Strong Customerbase through Talent Management, induction of State-of-the-art
Technology and through Structural Re-organization.

Mission
To ensure anywhere and anytime banking for the customer with latest
state-of-the-art technology and by developing effective customer centric
relationship and to emerge as a world-class service provider through
efficient utilization of Human Resources and product innovation.

2.2 CORE BANKING SOLUTION (CBS):

CBS stands for Core Banking Solution, in which all the products,
processes, channels, customer relationship management are integrated
and administered at the central database connecting all the branches and
head office through communication links to provide a single view of the
bank.

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The concept behind CBS is to provide:

Centralised Resource Management, Security Management

Better Management Control And Monitoring

Interface to all the Delivery channels/services to enhance customer


satisfaction

Operational efficiency

Improve profitability

Develop Robust MIS, EIS And Regulatory Compliance

3. ONLINE
SOFTWARE)

FUNCTIONALITIES

(BaNCS@24

The BaNCS, is a Core banking Solution (CBS) from TCS. It manages


end to end operations across all the entities. It is truly browser based
layered security management at application, database and user levels
with inbuilt checks and role-based access management. It provides
solutions that help to deliver personalised services over multiple delivery
channels, while maintaining a collaborative one-to-one relationship with
their customers.

3.1 THE SOFTWARE:


Salient Features:

Operational ease at low bandwidth consumption

Reduced turnaround time for transactions

Allows more time for developing business

Ability to integrate with the payment system network

Enables anywhere banking

It is a browser based solution.

It is suited for operation on thin clients.

The solution permits certain basic operations during periods when


the network connectivity is out of commission. On resumption, the
data of the intervening period is uploaded and synchronized.

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Solution Offerings:

Entire range of banking products including savings, checking,


overdraft and deposit accounts and lending products.

Complement of transactional services including remittance,


foreign exchange, cards and trade finance.

360degree view between banking and customer.

Accessibility through multiple channels, including mobile


banking and internet.

Robust MIS and Compliance capability

Monitoring and reporting of non-performing assets

Managing Agricultural credit and subsidies

Standard product delivery and administration across all branches

3.2 OVERVIEW:

The software has been designed by keeping in mind the increased


convergence of financial services, and offers a 360 view of
customers to the bank and vice versa. There is a definite trend
towards adopting modern technologies, best-in-class components,
and their seamless integration in an SOA-enabled infrastructure.
Sales and service orientation, product configuration, bundling and
differential pricing are gaining importance, with banks focusing on
growth, after a period in which the business thrust was on
operational excellence and cost management. Banks understand
the need to integrate enterprise wide information and move away
from silos to improve risk management, reduce credit risk, and
measure performance. As a result, there is an increased need for a
comprehensive, cost-effective, integrated banking solution that can
provide evolving technology choices, with minimal disruption to
processing and services, while also offering risk management and
compliance tools and capabilities. BaNCS automates every aspect
of a bank's operation by integrating front-, middle-, and back-office
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processes in real-time. It supports multi-entity, multi-lingual, and


multi-currency operations, at scalable transaction volumes, with
flexible configuration features. The solution offers unparalleled
value with a low Total Cost of Ownership (TCO), as it can be
installed as a complete package, or deployed in extensible modules
completely integrated with existing legacy systems, as per the
footprint and needs of the financial institution. It is a highly
adaptive and scalable platform that supports institutions of every
operational size and complexity, including banks with the largest
customer base in the world.

Figure 1: Overview of the BaNCS Software

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3.3 BENEFITS:

BaNCS is designed around a business model and is specifically


enabled to service the business objectives of customers, products,
and accounts. The strategy adopted for the solution helps create and
use business processes packaged as services, and facilitates the
application to exchange information and participate in business
processes. It enables a more flexible and standardized solution,
which is designed, developed and deployed covering all the
business functionality scattered across IT systems.

BaNCS offers:

Complete coverage of lines-of-business: Covers deposits,


loan

origination

and

servicing,

payments,

treasury

management, trade finance, and cards, with functional depth


and market-tested reliability

Multi-channel integration: Provides a consistent customer


experience across multiple channels with total visibility to
the banks servicing agents, enabling banking anywhere
anytime

Single view of the customer and the bank: Provides a


comprehensive view of customer activities across lines of
business and access channels, as well as a single view of the
banks products and services to the customer

Ease of Integration: Provides built-in service integrator


layer to easily integrate with external systems. This can be
done using Web Service, MQ, JMS, http, ftp or any other
industry standard protocol

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Figure 2: BaNCS Expertise

3.4 TECHNOLOGY USED:

BaNCS is based on a flexible multi-tiered architecture consisting of the


presentation layer, business layer, and data layer. The architecture is
message based and compatible with .NET or J2EE channel applications.
Both the presentation logic and the data logic are separated from the
business logic through a component wrapper, allowing for business rules
to be developed independent of the technology. TCS BaNCS runs on a
number of environments such as IBM zSeries, Unix (IBM, HP, SUN),
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and Windows. The solution is SOA-enabled and optimized for SOA


implementations via an ESB.

Figure 3: BaNCS Software Information

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3.5 CBS NAVIGATION MODULES:

3.5.1 CIF CREATION:

1.1 CREATION OF CUSTOMER:PERSONAL


Customer Management' Create Create Personal Customer
1.2 CREATION OF CUSTOMER: NON-PERSONAL
Customer Management' Create Create Non-Personal
Customer
1.3 CUSTOMER MODIFICATIONS OR AMENDMENT IN
CUSTOMERS DETAILS
Customer Management Amend Customer Details.
The next field is Option. The drop down here offers the following
options for modification are available:
1: Customer details
2: Temporary Customer Address details
3: Foreign address details.
4: Identification details
5: Personal details
6: Business details
7: Marketing details
8: Financial details
9: Miscellaneous details
1.4 CUSTOMER ENQUIRIES
Customer Management Enquiries Search by CIF Number

1.5 SEARCH CAN BE MADE USING OTHER INFORMATION ALSO:


Customer Management Enquiries Search by ID Number
Customer Management Enquiries Search by Name

3.5.2 DEPOSIT ACCOUNTS:

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2.1 Opening of a Saving/Current Account:


Deposit Accounts & Services Create New Deposit A/c
2.2 Opening of a TDR/STDR/RD/MODS/Saving Plus Account:
Deposit/CC/OD Accounts & Services Create New
Deposit A/c
2.3 Deposit Account Modification:
Deposit/CC/OD Accounts & Services Amend Amend
Deposit Tabbed Screen
2.4 Closure/ Premature Closure of Deposit Accounts:
Transaction Posting Deposit/ CC/OD Account Closures
Closures (Credit Balance) Transfer
2.5 Printing Statement of Account for a Deposit or CC/ OD
Deposit CC/ OD Accounts & Services Enquiry
Statement Print
2.6 Print Balance Slip:
Deposit CC/ OD Accounts & Services Enquiry Print
Balance Slip
2.7 TRANSACTION ENQUIRY:
Deposit CC/OD/ Account and Services Enquiries Transaction
Select transaction of this Type as per the requirement.

Transaction Transaction Name

Purpose

Type
99

All Financial

For display of Financial transaction only

98

All Cash Transaction

For display of cash transactions only.

25

Repayment details of

For display of repayment transaction in

CC/OD

CC/OD A/Cs

Stop Transaction

For display of Stop applied/removal

30

transaction on an account .
31

Hold transaction

For display of Hold(Lien) applied/removal


transaction on an A/C.

33

Message Details

For display of Message Setting/Removal

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transaction on an A/C.
34

Dishonoured Cheque

For details of dishonoured cheque in an

Details

account

40

Term Maturity Details

To be used for Term Deposit Accounts.

62

Closure Interest

To be used to enquire about closure

Adjustment

transactions.

Fee exemptions

For details of Fee exemptions given on an

82

account.
90

Dormant account

For details regarding Dormancy of an

Narrative

account.

Table 1: Brief Description of Mostly Used Transaction types:

2.8 Print New Pass Book:


Deposits CC/OD accounts Passbook Updates Print New
Passbook
2.9 Update Deposit Passbook:
Deposits CC/OD accounts Passbook Updates Update

3.5.3 TRANSACTION POSTING:

3.1 Cash Payment from DEPOSIT Account by Voucher:


Transactions posting Deposit/CC/OD Accounts
Payments Cash
3.2 Cash Receipts into Deposits Account:
Transactions Processing Deposits/CC/OD Accounts
Receipts Cash
3.3 Cash Payment by Cheque from Deposit Account:
Transactions Posting Deposits/CC/OD Accounts
Payments Cheque

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3.4 TRANSFER by Cheque from Deposit Account:


Transactions posting Deposit/CC/OD Accounts
Transfers By Cheque to Deposit
3.5 Transfer Transaction in Deposit Account by Vouche:
Transactions Processing Deposit/CC/OD Accounts
Transfers By Voucher to Deposit/Loan

3.5.4 CLEARING MODULE:

4.1 OUTWARD CLEARING:


Stage I: Session Opening::Clearing Outward
Clearing Session Maintenance (Action = Open
session)
Stage II: Cheque Deposit::Clearing Outward
Clearing Cheque Deposit
Stage III: Close Session::Clearing Outward
Clearing Session Maintenance (Action = Closes
session)
Stage IV: Extraction::Clearing Outward Clearing
Session Maintenance (Action = Extract)
Stage V: Mark Return::Clearing Outward Clearing
Mark Return
Stage VI: Clear Batch :: Clearing Outward Clearing
Session Maintenance (Action = Clear Batch)

4.2 INWARD CLEARING:


Field Function Inward Clearing Batch
CAS: Manual Cheque Presentation for the customers
accounts or select SCR:020071: Remittances
(DD/BC/GC/TC) for remittance payment.

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3.5.5 NPA FUNCTIONALITIES:

Non-Performing Assets in B@ncs24 have been classified into


7 categories, which are called as RISK GRADES:

RISK
GRADE
00
01
02
04
05
06
07
08

DESCRIPTION
Standard Asset
Standard But Temporarily Irregular Asset
Standard But Irregular for Over 60 Days
Sub-Standard Asset
Doubtful Asset Less than 1 Year
Doubtful Asset = > 1 Year but < 3 Years
Doubtful Asset = > 3 Years
Loss Asset

TABLE 2: RISK GRADES (NPA)

In

New

Arre

Risk

NPA

ar

Grad

Cond

ition

TL/D

Num

ber

accou

of

Number
Days

Description

of Status of
/ that

Percentage of account
erosion

nt
101

00

Excess Drawings / Irregularity

30 Days

01

102

01

Excess Drawings / Irregularity

30 Days

02

103

02

Excess Drawings / Irregularity

30 Days

04

104

00

Erosion in Security Value

90.10%

08

105

01

Erosion in Security Value

90.10%

08

106

02

Erosion in Security Value

90.10%

08

107

04

Erosion in Security Value

90.10%

08

108

05

Erosion in Security Value

90.10%

08

109

06

Erosion in Security Value

90.10%

08

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110

07

Erosion in Security Value

90.10%

08

111

04

Erosion in Security Value

50.10%

05

112

01

Auto Upgrade

--

00

113

02

Auto Upgrade

--

00

TABLE 3: ARREAR CONDITIONS FOR DL/TL ACCOUNTS

Grade

Description

No. of Days

Status

201

00

Excess Drawings / Irregularity

30 Days

01

202

01

Excess Drawings / Irregularity

30 Days

02

203

02

Excess Drawings / Irregularity

30 Days

04

204

00

Interest not Serviced

30 Days

01

205

01

Interest not Serviced

30 Days

02

206

02

Interest not Serviced

30 Days

04

207

00

Non submission of Stock Statement

90 Days

04

208

01

Non submission of Stock Statement

90 Days

04

209

02

Non submission of Stock Statement

90 Days

04

210

00

Non submission of Renewal Data

180 Days

04

211

01

Non submission of Renewal Data

180 Days

04

212

02

Non submission of Renewal Data

180 Days

04

213

00

Erosion in Security Value

90.10%

08

214

01

Erosion in Security Value

90.10%

08

215

02

Erosion in Security Value

90.10%

08

216

04

Erosion in Security Value

90.10%

08

217

05

Erosion in Security Value

90.10%

08

218

06

Erosion in Security Value

90.10%

08

219

07

Erosion in Security Value

90.10%

08

220

04

Erosion in Security Value

50.10%

05

221

01

Auto Upgrade

--

00

222

02

Auto Upgrade

--

00

No.

TABLE 4: ARREAR CONDITIONS OF CC/OD ACCOUNTS

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4. OFFLINE FUNCTIONALITIES (PHYSICAL FORMS)


4.1 FORMS USED:
First step for the bank is to make customers. For this and for later when
the customer is using the banks services, there are different forms used
in the bank for different purposes.

CIF (Customer Information File):


To open an account from the scratch. Only those who have references
(i.e. people already having an account in the bank) can open an account.
CIF number which is unique for every customer is generated. This
number can be used to open multiple accounts in the same bank, or
different branches of the same bank. This CIF number is permanent and
is not deleted even after the account is closed by customer.
FORM 60:
Its a form of declaration filled by a person who does not have either a
PAN or general index register and who makes payment in cash in
respect of any transactions.
FORM 61:
Form of declaration to be filed by a person who has agricultural income
and is not in receipt of any other income chargeable to income-tax in
respect of specified transactions. This form is usually filled out by
farmers.
FUNDS TRANSFER FORM:
This form is used to transfer money under Real Time Gross Settlement
or RTGS scheme. Applicant can request bank to remit through RTGS a
specified sum against cheque/debit to his/her account with banks
branch. Applicant is called remitter.

Apart from these, there are deposit/withdrawal order forms. There is


separate form for demand draft, cheque deposit etc. There are forms for
issuing of cheque book and ATM-cum debit card or debit-cum ATM
card. There is also a form in case bank has to return cheque/draft/pay
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order to the customer in case of some failure on part of the applicant


specifying the reason for which it is returned back.
There is personalized card for farmers community called the Kisan
Credit Card (KCC) under which Allahabad bank is bound to provide
crop loans to farmers at subsidized rates for viable agricultural purposes.
At Allahabad bank, term loan limit is set at 10 lacks on interest rate of
4%.
Most of the work done is not simple borrowing or lending but that of
monitoring the transactions. The whole days transactions are compiled
next day (all forms of DD/cheque/Cash payments) and then crossed off
so that if there is some error in debting/crediting, it can be sorted out
without any delay.

4.2 OTHER COMPONENTS:

Clearing House:
Various banks enter an agreement to exchange financial flows between
their customers. Clearing house acts as a participant which takes risk of
defaults and ensures payment in spite of that. Clearing is necessary to
turn promise of payment into actual movement of money. Now, under
new rules, instead of banks, Reserve Bank of India sets up clearing
houses wherever there are banks. These days, banks have separate
service branches to deal with clearing houses.

IFSC (Indian Financial System Code):


IFSC code is used to uniquely identifying a bank branch participating in
electronic funds settlement system. Two main systems exist. One is Real
Time Gross Settlement (RTGS) and other one is National Electronic
Funds Transfer (NEFT). The IFSC code is used by these systems to
route the messages to the destination bank/branches. Branch wise list of
IFSC is available with all the bank branches participating in inter-bank
electronic funds transfer.

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5. CONCLUSION
First step is making a customer. Then comes delivering the service part.
There is an online module used by Allahabad Bank, called B@NCS24
developed by TCS, which is used to deliver all the retail banking services to
the customers. Various modules from making a customer, to printing reports,
calculating NPAs, etc are all well corporated in the software. Also, there are
many physical forms used in the bank for various propose that needs to be
filled. This is used as physical evidence in case online functionalities face
some technical problems.
Most of the work done in the bank is not simple borrowing or lending as most
of us understand, but that of monitoring the transactions. Clearing houses are
set up by the central bank with pre-determined mutual consent between the
banks to turn promise of payment into actual movement of money. The whole
days transactions are compiled and then next day (all forms of
DD/cheque/Cash payments) they are cross checked and then crossed off so
that if there is some error in debting or crediting, it can be sorted out without
any delay.

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6. REFERENCES

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