1P Impl_R3(ID)_APP_AP352_Batch Processing - CASA v0.5

This documentis theproperty ofCIMB Niaga andits contents may notbe disclosed to any person, or
company,unless they are employedby CIMB Niaga directly,or in a consultantor contractor capacity.
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CIMB Niaga 1Platform R3 (Indonesia)
Functional Specification Design
Batch Processing – CASA & ISA
Workstream Deposit
Version 0.5
Release Status Draft
Release Date 3rd December 2014

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VersionControl
0.2 Document Information
Prepared By: Nelson Ng Weng Hwa
Prepared Date: 19th September 2014
Reviewed By: Chong Kok Wei
Review Date: 22nd September 2014
0.2 Version History
Version Revision Date Updated By Summary of Changes
0.1 19th September
2014
Nelson Ng Weng
Hwa
Initial Draft
0.2 20th October 2014 Nelson Ng Weng
Hwa
1. Rectify document name
2. Amendment for Section 2.3
3. Amendment for Section 8
4. Add a sentence for Section 9.1
5. Add a paragraph for Section
9.5
6. Amend Section 13.4 for clarity
7. Change definition for Elapsed
Term in Section 14.3
8. Replace SOF with ISA in Section
14.4
9. Rephrase note for Section
14.4.1.2
10. Rephrase third paragraph in
Section 15
11. Rephrase third paragraph in
Section 18
12. Remove Japanese Desk from
Section 23

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13. Correct typo error for PPWM in
Section 23.1
14. Rephrase Section 23.1.3
15. Remove paragraph on RC Code
from Section 29.7
16. Reduce number of program
penalty from 10 to 9
17. Enhance solution for
Requirement ID
1PID_DP_01074
18. Add Requirement ID
1PID_DP_00028
1PID_DP_00206 (enhanced)
1PID_DP_00291
1PID_DP_00349
0.3 31st October 2014 Nelson Ng Weng
Hwa
1. Rectify example for
Withholding Tax in Section 7
2. Replace ‘Max Sum Assured’
with ‘Max Insurance Coverage’
3. Amendment for Section 13.1.4
4. Added a sentence and remove
example for Combined
Statement in Section 23.1
0.4 16th November
2014
Nelson Ng Weng
Hwa
1. Added example for Combined
Statement in Section 23.1
0.5 3rd December 2014 Nelson Ng Weng
Hwa
1. Added a sentence for the
Multiplier in Program Penalty
in Section 14.4
2. Amended example for
Combined Statement in Section
23.1

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0.3 Distribution
Sign Off List
Name Role Date
Reviewer List
Name Role Date
0.4 Supporting Document

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Table of Contents
Contents
1 Statement of Purpose ....................................................................................................................12
2 Intended Audience.........................................................................................................................12
3 Assumptions / Scope......................................................................................................................12
4. 24-hour Mode...........................................................................................................................13
5. Cycle Code................................................................................................................................16
6. Interest / Profit Processing.........................................................................................................17
6.1 Balance.............................................................................................................................17
6.1.1 Ledger Balance...........................................................................................................17
6.1.2 Average Balance.........................................................................................................18
6.1.3 Minimum Balance.......................................................................................................19
6.1.4 Accrual Balance..........................................................................................................19
6.1.5 Reserve Percentage....................................................................................................21
6.2 Interest Rate......................................................................................................................21
6.2.1 Reference Rate...........................................................................................................22
6.2.2 Flat Rate ....................................................................................................................22
6.2.3 Split Rate ...................................................................................................................22
6.2.4 Tier Rate ....................................................................................................................23
6.2.5 Alternate Rate............................................................................................................23
6.2.6 Tier Code ...................................................................................................................23
6.2.7 Fixed Rate (for ISA).....................................................................................................24
6.3 Interest Computation Method............................................................................................25
6.3.1 Simple........................................................................................................................25
6.3.2 Compounded .............................................................................................................25
7. Withholding Tax Processing .......................................................................................................29

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8. Zakat Processing........................................................................................................................31
8.1 Income..............................................................................................................................31
8.2 Wealth (Zakat Mal) ............................................................................................................31
8.2.1 Zakat Deduction.........................................................................................................31
8.2.2 Payment Date.............................................................................................................31
9. Charges....................................................................................................................................33
9.1 Waiver..............................................................................................................................33
9.2 Product-based Charges ......................................................................................................33
9.2.1 Administrative Charge ................................................................................................33
9.2.2 Service Charge............................................................................................................33
9.2.3 Volume Charge...........................................................................................................34
9.3 Event-based Charges..........................................................................................................36
9.3.1 Dormant Charge.........................................................................................................36
9.3.2 Subsequent Dormant Charge.......................................................................................37
9.3.3 Statement Charge.......................................................................................................37
9.4 Transaction-based Charges.................................................................................................38
9.4.1 Cheque Book Request during Account Opening............................................................38
9.4.2 Cheque Book Request using eTP.................................................................................38
9.4.3 Cheque Book Request via Clicks...................................................................................38
9.5 Tiering Charge ...................................................................................................................39
10. Owing...................................................................................................................................40
10.1 Creation of Owing..............................................................................................................40
10.2 Recouping of Owing...........................................................................................................40
11. Cash Back..............................................................................................................................42
12. Amortization.........................................................................................................................45
13. Insurance..............................................................................................................................49
13.1 Insurance Premium borne by bank......................................................................................50

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13.1.1 Percentage of Regular Installment...............................................................................50
13.1.2 Percentage of Target Balance......................................................................................51
13.1.3 Percentage of Average Balance or Ledger Balance (other than ISA) ...............................52
13.1.4 Percentage of Accumulated Regular Installments.........................................................53
13.1.5 Percentage of Sum Assured(No Capping, per account).................................................54
13.2 Insurance Premium borne by customer...............................................................................54
13.2.1 Sufficient Fund for Installment Amount but Insufficient Fund for Insurance Premium.....54
13.2.2 Insufficientfund for Installment Amount but Sufficient Fund for Insurance Premium .....54
13.3 Commission.......................................................................................................................54
13.4 Tax....................................................................................................................................55
14. Penalty .................................................................................................................................58
14.1 Default..............................................................................................................................58
14.2 Delinquency ......................................................................................................................58
14.3 Product Penalty.................................................................................................................59
14.4 Program Penalty................................................................................................................61
14.4.1 Elapsed Term.............................................................................................................62
14.4.2 Proportional Elapsed Factor........................................................................................67
15. Dormancy .............................................................................................................................73
16. Auto Closure .........................................................................................................................75
17. Disposition............................................................................................................................76
18. External Account...................................................................................................................77
19. Forex Transaction Monitoring ................................................................................................80
19.1 Initialization of accumulated USD equivalent.......................................................................80
19.2 Initialization of Forex Transaction Monitoring History..........................................................80
20. Intraday Limit........................................................................................................................81
20.1 Highest Negative Balance...................................................................................................81
20.2 Total Negative Balance.......................................................................................................81

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21. Message ...............................................................................................................................87
22. Passbook Compression ..........................................................................................................88
23. Statement.............................................................................................................................90
23.1 Combined Statement.........................................................................................................91
23.1.1 Consolidated Combined Statement..............................................................................92
23.1.2 PPWMStatement.......................................................................................................92
23.1.3 Mailing Address..........................................................................................................92
23.1.4 Checksum..................................................................................................................92
23.1.5 Exchange Rate information .........................................................................................93
23.1.6 Statementinformation ...............................................................................................93
24. AFT.......................................................................................................................................96
24.1 Number of Retries .............................................................................................................96
24.2 Termination of AFT............................................................................................................96
24.3 Transfer to Third Party Charge Code ...................................................................................96
24.4 FailedAFT..........................................................................................................................96
24.5 Allow Partial Transfer.........................................................................................................96
24.6 Priority..............................................................................................................................97
24.7 Effective Date....................................................................................................................97
24.8 Next Transfer Date.............................................................................................................97
24.9 Expiry Date........................................................................................................................97
25. Sweep...................................................................................................................................98
25.1 Contract Setup Fee ............................................................................................................98
25.2 Daily Sweep Charge............................................................................................................98
25.3 Minimum and Maximum Charge per Cycle..........................................................................98
25.4 Sweep Charge....................................................................................................................98
25.5 Priority..............................................................................................................................99
25.5.1 Sequential..................................................................................................................99

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25.5.2 Highest Balance..........................................................................................................99
26. Product Conversion ............................................................................................................. 105
26.1 Product Conversion due to Age......................................................................................... 105
26.2 Product Conversion due to Customer Segment..................................................................105
26.3 Product Conversion due to Customer’s Request ................................................................ 105
27. Branch Transfer................................................................................................................... 106
27.1 Customer’s Request......................................................................................................... 106
27.2 Bulk Branch Transfer........................................................................................................ 106
27.3 Branch Merger................................................................................................................. 106
28. Housekeeping..................................................................................................................... 107
28.1 Transaction History.......................................................................................................... 107
28.2 ClosedAccount................................................................................................................ 108
29. Other Applications............................................................................................................... 110
29.1 ATM/ Debit Card............................................................................................................. 110
29.2 Bancassurance................................................................................................................. 111
29.3 CIF..................................................................................................................................111
29.4 Credit Card...................................................................................................................... 112
29.4.1 EMS......................................................................................................................... 113
29.4.2 FDS.......................................................................................................................... 114
29.4.3 Merchant Incentive ..................................................................................................116
29.5 Cross Product.................................................................................................................. 117
29.6 E-Alert............................................................................................................................. 118
29.7 GL...................................................................................................................................119
29.8 Interface ......................................................................................................................... 124
29.9 Payments........................................................................................................................ 129
29.10 Remittances................................................................................................................. 130
29.11 Loans........................................................................................................................... 131

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29.12 System Services............................................................................................................ 132
29.13 UCP ............................................................................................................................. 133
29.14 Virtual Account............................................................................................................ 134
29.15 Miscellaneous.............................................................................................................. 135

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Table 1Interest Accrual (Ledger Balance)............................................................................................18
Table 2Interest Accrual (Average Balance)..........................................................................................18
Table 3Interest Accrual (Minimum Balance).......................................................................................19
Table 4Minimum Accrual Balance......................................................................................................20
Table 5Maximum Accrual Balance .....................................................................................................20
Table 6Reserve Percentage ...............................................................................................................21
Table 7Compounded Interest............................................................................................................26
Table 8Withholding Tax ....................................................................................................................29
Table 9Intraday (Beginning Credit Balance)........................................................................................82
Table 10Intraday(Beginning Zero Balance).........................................................................................83
Table 11Intraday(Beginning with Negative Balance without Deposit)..................................................84
Table 12Intraday(Beginning with Negative Balance with Deposit).......................................................85
Table 13Intraday(Beginning with Credit Balance and OD Limit)...........................................................86

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1 Statement of Purpose
This FSD documents the Batch Processing for Conventional as well as Islamic CASA and ISA.
Processing for the following is Indonesia-specific:
1. Point to Point Interest and Charge Cycles
2. Tier Code
3. Rate Review for ISA
4. Withholding Tax
5. Zakat
6. Owing
7. Amortization
8. Insurance Premium, Commission and Tax
9. Product Penalty and Program Penalty
10. Suspicious Transaction
11. Forex Transaction Monitoring
12. Intraday
Words denoting the singular shall, where applicable, include the plural and vice versa and
words denoting the masculine gender shall, where applicable, include the feminine and/or
neuter genders and vice versa. Reference to persons shall include corporations.
2 Intended Audience
This document is intended to be used by CIMB Business Users 1P Indonesia Team.
3 Assumptions / Scope
1P Batch Processing will be adopted for items not outlined above, unless otherwise
specifically stated.

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4. 24-hour Mode
The systemis able to process transaction even when batch processing is in progress.
The batch processing is divided into four zones:
1. Zone 1 – the systemwill verify the processing dates
2. Zone 2 – the systemis still in Day Mode and pre-batch charges will be debited to the
account. System will also back-up the files before switching to Night Mode
3. Zone 3 – the systemis in Night Mode and core processing is being run.
4. Zone 4 – the batch processing for Day T has been completed and systemis now in
Day T + 1 where it will process transactions or instructions that are due on Day T + 1.
Examples are AFT, Effective Date of Interest Rate.
The following is a list of requirements that are related to batch processing for 24-hour mode.
Requirement ID Requirement Solution
1PID_DP_00516 System must ableto process:Deposit detail
balancecheckingGenerator
This is related to Dual End of Day for which
the status is pending.
1PID_DP_00517 System must ableto process:Merge
CD/DD/OD to BalanceCheckingWork File
1PID_DP_00518 System must ableto process:Balance
Checking Summary DD & OD
1PID_DP_00521 System must ableto process:Checkbook file
update for un-posted items
There will no longer be un-posted cheques
because the filewill bespooled by ACH.
Thus, the status of the cheque will be
updated automatically.
1PID_DP_01085 System must be ableto cater CASA/TD
accountopening from e-Channel during24hr
mode
This requirement has been dropped.

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1PID_DP_01090 24 mode transactionsmustbe able to
calculateavailablebalancecorrectly,
includingspooled transactions,systemto-be-
generated transactions.
All system generated transaction can identify
correct accountbalanceto avoid transactions
posted with error balanceor amount
(example: causenegative balancesavings).
Incorrectbalances for 24 hour mode
transactions occur in V2 becausethey are
posted directly into the accounts during
batch run.
In V10, a Batch Process is divided into four
Zones. System will attempt to debit an
accountwhen the process is in Zones 2, 3
and 4.
Processingin Zone 2 happens when the
system is still runningin Day Mode. Pre-
batch charges likeCheque Book Charge,
Stop Payment Charge are debited in this
Zone. If the balancein the accountis
insufficientto cover for the charges,the
amount will go into Owing if it has been
defined as ‘Y’ in the Owing field in the
Demand Deposit Productparameter.
Transactions thatareperformed by the
customer when batch processingis in Zone
3 will belogged into DDMEMO24 and
reposted duringZone 4.
ProcessingZone 4 happens when the
previous day’s batch processinghas
completed and the system is up for the
next day. At this time, the branch is still
not yet opened for business. AFT will be
processed in this Zone. AFT-related
charges will go into Owing if there is
insufficientfund in the account.
Account Balancewill becorrectin Zones 2
and 4. IncorrectBalancearises when the
system is attempting to process charges
such as AdministrativeFee, Fall belowFee,
Dormant Fee and Volume Charge when it
is in Zone 3. It is recommended that these
charges be processed in Zone 4.
It is also advisableto define a Minimum
MaintainingBalancein the Productso that

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there will always besufficientfund to
debit an accountfor charges.
(The rest of the page is intentionally left blank)

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5. Cycle Code
A Cycle Code can be defined using the Cycle Code parameter. The defined Cycle Code
can be applied on:
1. Charge Cycle
2. Interest Cycle
3. Statement Cycle
Example
On 4th January 2014, Cycle Code ‘31’ is defined to begin on 31st January 2014 with a
monthly frequency. System will execute the Charges, Interest or Statement that have
been defined with Cycle ‘31’ on 31st January 2014. System will roll the next Cycle Date
for Cycle Code ‘31’ to 28th February 2014.
The following is a list of requirements that are related to batch processing for Cycle Code.
1PID_DP_00850 SIBS must support pointto pointinterest
cycle.For point to point method, interest
cyclewill startand end at the anniversary day
from the accountopening date instead of
followinginterestcycle.
[Based on discussion on PID_DP_00281]
Cycle Code parameter is to be enhanced
with an additional field:
Day of Month for Defaulting
Demand Deposit Productparameter is to
be enhanced with an additional field:
Auto Default Cycle Date (Y/N)
If a product’s Auto Default Cycle Date is
defined as ‘Y’, Host Teller is to be
enhanced to stamp the Interest and
Charge Cycle Codes to the account, based
on Date of Opening. If itis ‘N’, Host Teller
is to stamp the Product’s Interest and
Charge Cycle Codes to the account.
System is to execute the Charges and the
Interest that are due on the Cycle Code.

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6. Interest / Profit Processing
Interest or Profit is accrued on a daily basis using the formula:
P x R x T ÷ 365
P = Principal or Balance
R = Rate
T = 1
Note:
R will be (GYD * r) for Islamic, where r is the Ratio (customer’s). Ratio is commonly
known as Nisbah in CIMB Niaga. GYD is Gross Yield Dividend.
Accruals are computed up to five decimals but passed to GL by rounding up the total
accrual to two decimals. The daily accrual for GL is then computed by deducting the
T2’s GL Balance from T1’s.
6.1 Balance
There are three types of balances that can be defined at the product. The three
tables below illustrate the difference.
6.1.1 LedgerBalance
Interest/Profit is computed on positive Closing Balance.

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Day
Ledger
Balance
Interest
Rate
Daily
Accrual
Total
Accrual
Daily GL
Accrual GL Bal
1
2
3 1,000,000.00 2% 54.79452 54.79452 54.79 54.79
4 2,000,000.00 2% 109.58904 164.38356 109.59 164.38
5 2,000,000.00 2% 109.58904 273.97260 109.60 273.97
6 2,000,000.00 2% 109.58904 383.56164 109.59 383.56
7 500,000.00 2% 27.39726 410.95890 27.40 410.96
8 500,000.00 2% 27.39726 438.35616 27.40 438.36
9 5,000,000.00 2% 273.97260 712.32877 273.97 712.33
10 5,000,000.00 2% 273.97260 986.30137 273.97 986.30
Table 1Interest Accrual (Ledger Balance)
6.1.2 AverageBalance
Interest is computed on Average Credit Balance which is Aggregate Balance divided
by Aggregate Days. Islamic products should be defined with Average Balance.
Aggrega
te Days Ledger Balance Aggregate Bal Average Bal
Interest
Rate
Daily
Accrual
Total
Accrual
Daily GL
Accrual GL Bal
1 1,000,000.00 1,000,000.00 1,000,000.00 2% 54.79452 54.79452 54.79 54.79
2 2,000,000.00 3,000,000.00 1,500,000.00 2% 82.19178 136.98630 82.20 136.99
3 2,000,000.00 5,000,000.00 1,666,666.67 2% 91.32420 228.31050 36.53 228.31
4 2,000,000.00 7,000,000.00 1,750,000.00 2% 95.89041 324.20091 13.69 324.20
5 500,000.00 7,500,000.00 1,500,000.00 2% 82.19178 406.39269 -9.13 406.39
6 500,000.00 8,000,000.00 1,333,333.33 2% 73.05936 479.45205 -22.83 479.45
7 5,000,000.00 13,000,000.00 1,857,142.86 2% 101.76125 581.21331 19.57 581.21
8 5,000,000.00 18,000,000.00 2,250,000.00 2% 123.28767 704.50098 50.23 704.50
Table 2Interest Accrual (Average Balance)

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6.1.3 MinimumBalance
Interest/Profit is computed on the lowest positive Closing Balance.
Day
Ledger
Balance
Applicable
Balance used
No. of
days
Interest
Rate
Total
Accrual
Daily
Accrual
Daily GL
Accrual
GL
Balance
1
2
3 1,000,000.00 1,000,000.00 1 2% 54.79452 54.79452 54.79 54.79
4 2,000,000.00 1,000,000.00 2 2% 109.58904 54.79452 54.80 109.59
5 2,000,000.00 1,000,000.00 3 2% 164.38356 54.79452 54.79 164.38
6 2,000,000.00 1,000,000.00 4 2% 219.17808 54.79452 54.80 219.18
7 500,000.00 500,000.00 5 2% 136.98630 -82.19178 -82.19 136.99
8 500,000.00 500,000.00 6 2% 164.38356 27.39726 27.39 164.38
9 5,000,000.00 500,000.00 7 2% 191.78082 27.39726 27.40 191.78
10 5,000,000.00 500,000.00 8 2% 219.17808 27.39726 27.40 219.18
Table 3Interest Accrual (Minimum Balance)
6.1.4 Accrual Balance
It is possible to define a Minimum as well as a Maximum Ledger Balance for Accrual
purpose. Table 4MinimumAccrual Balance illustrates the accruals if a Minimum
Accrual Balance of 1,000,000 is defined.

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Day
Ledger
Balance
Min Accrual
Balance
Applicable
Balance used
Interest
Rate
Daily
Accrual
Total
Accrual
1
2
3 1,000,000.00 1,000,000.00 1,000,000.00 2% 54.79452 54.79452
4 2,000,000.00 1,000,000.00 2,000,000.00 2% 109.58904 164.38356
5 2,000,000.00 1,000,000.00 2,000,000.00 2% 109.58904 273.97260
6 2,000,000.00 1,000,000.00 2,000,000.00 2% 109.58904 383.56164
7 500,000.00 1,000,000.00 - 2% 0.00000 383.56164
8 500,000.00 1,000,000.00 - 2% 0.00000 383.56164
9 5,000,000.00 1,000,000.00 5,000,000.00 2% 273.97260 657.53425
10 5,000,000.00 1,000,000.00 5,000,000.00 2% 273.97260 931.50685
Table 4Minimum Accrual Balance
Conversely, Table 5Maximum Accrual Balance illustrates the accruals if a Maximum
Accrual Balance of 1,000,000 is defined.
Day
Ledger
Balance
Max Accrual
Balance
Applicable
Balance used
Interest
Rate
Daily
Accrual
Total
Accrual
1
2
3 1,000,000.00 1,000,000.00 1,000,000.00 2% 54.79452 54.79452
4 2,000,000.00 1,000,000.00 1,000,000.00 2% 54.79452 109.58904
5 2,000,000.00 1,000,000.00 1,000,000.00 2% 54.79452 164.38356
6 2,000,000.00 1,000,000.00 1,000,000.00 2% 54.79452 219.17808
7 500,000.00 1,000,000.00 500,000.00 2% 27.39726 246.57534
8 500,000.00 1,000,000.00 500,000.00 2% 27.39726 273.97260
9 5,000,000.00 1,000,000.00 1,000,000.00 2% 54.79452 328.76712
10 5,000,000.00 1,000,000.00 1,000,000.00 2% 54.79452 383.56164
Table 5Maximum Accrual Balance

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6.1.5 ReservePercentage
In addition, it is also possible to define whether a certain percentage of the ledger
balance is to be made ineligible for interest / profit accrual.
Day
Ledger
Balance
Reserve
Percenta
ge
Reserved
Amount
Net Accrual
Amount
Interest
Rate
Daily
Accrual
Total
Accrual
1
2
3 1,000,000.00 10% 100,000.00 900,000.00 2% 49.31507 49.31507
4 2,000,000.00 10% 200,000.00 1,800,000.00 2% 98.63014 147.94521
5 2,000,000.00 10% 200,000.00 1,800,000.00 2% 98.63014 246.57534
6 2,000,000.00 10% 200,000.00 1,800,000.00 2% 98.63014 345.20548
7 500,000.00 10% 50,000.00 450,000.00 2% 24.65753 369.86301
8 500,000.00 10% 50,000.00 450,000.00 2% 24.65753 394.52055
9 5,000,000.00 10% 500,000.00 4,500,000.00 2% 246.57534 641.09589
Table 6Reserve Percentage
6.2 Interest Rate
Interest Rate is defined as a Rate Number in the Interest Rate parameter. These
Rate Numbers are then defined in the Product parameter and defaulted to the
account. Changes in Interest Rate are to be updated in the Interest Rate parameter.
These changes will be updated to the account automatically when batch processing
is in Zone 4.
Accruals for Islamic accounts will be based on the previous month’s Gross Yield
Dividend (hereinafter referred to as GYD). They will be dropped once the current
month’s GYD is obtained, provided Recalculate has been defined as ‘Y’ in the
Demand Deposit Product parameter. System will recalculate the accruals based on
current month’s GYD.
There are three types of Interest Rate:
1. Flat
2. Split
3. Tier

Page 22 of 137
6.2.1 ReferenceRate
Reference Rate can be defined as an Interest Rate Number in the Interest Rate
parameter.
Example
Rate Number YYY
Reference Rate Number XXX
Variance / Variance Code +0.5%
If the Interest Rate for Rate Number XXX is 3.5%, the Interest Rate for Rate Number
YYY will be 4.0%.
6.2.2 Flat Rate
When a Flat Rate is defined, this rate is applied for the entire balance of the account.
6.2.3 SplitRate
The applicable interest rate of an account is split according to the balance of the
account.
Example
Balance Greater or equal to Rate
10,000,001 3.5%
50,000,001 4.0%
100,000,001 4.5%
If an account’s balance is 105,000,000 the interest will be computed as follows:
First10,000,000 0%
Next 40,000,000 3.5%
Next 50,000,000 4.0%
Remaining5,000,000 4.5%

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6.2.4 TierRate
The applicable interest rate of an account is applied on the entire balance of the
account.
Example
Balance Greater or equal to Rate
10,000,001 3.5%
50,000,001 4.0%
100,000,001 4.5%
If an account’s balance is 75,000,000 the applicable interest rate will be 4% on the
entire balance.
6.2.5 AlternateRate
System will accrue interest/profit using the Alternate Rate, if it has been defined in
the Demand Deposit Product parameter. However, the daily accruals will not be
posted to GL. The accrued amount will be capitalized to the account if the criteria
defined for Alternate Rate is met. In this case, the amount that has been posted to
GL under regular rate will be dropped.
6.2.6 TierCode
A new parameter, Tier Code, will be developed for a user to define the Interest Rate
Numbers that are applicable for a particular Tier Code. The defined Tier Code is to
be tagged to a Demand Deposit product. An account that is eligible for Account
Pricing can be defined to be tagged to a particular Tier Code, subject to it being
applicable for the product. The interest of an account with such Account Pricing will
be accrued using the Interest Rate that is applicable for the Tier Code.
A Tier Code can be defined to be invalid at the account level based on:
1. Expiry Date
2. Interest Capitalization

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6.2.6.1 Expiry Date
System will remove the Tier Code from the account at the defined Expiry Date.
Thereafter, the account’s interest will be accrued at the product’s rate.
6.2.6.2 Interest Capitalization
System will remove the Tier Code from the account upon the capitalization of
Interest. Thereafter, the account’s interest will be accrued at the product’s rate.
6.2.7 FixedRate (forISA)
There are two types of Interest Rate defined for an Installment Savings product.
1. Floating Rate – this is the Flat, Split or Tiered Rates that have been explained
above
2. Fixed Rate – this is the Interest Rate that is fixed for an Installment Savings
account depending on the tenure of the account. System will accrue interest
using the Interest Rate that has been fixed for a particular period. Interest Rate
changes to the corresponding Interest Rate Number does NOT apply to the
account until the next Rate Review Date. Review Date is dependent on the
tenure of the account, as per example below.
Example
Three InterestRate Numbershave been definedfor36,48 and 60 months.
Tenure InterestRate Number
12 month 611
36 month 613

Page 25 of 137
Based on the table above, the applicable Interest Rate Number for a customer who
opts for the following tenure will be as follows:
Account
Tenure
Applicable
InterestRate
Number
Applicable
Term
Applicable
Rate on 1st
ReviewDate
Applicable
1st
Review
Term
Applicable
Rate on
2nd
Review
Date
Applicable
2nd
Review
Term
10 month FloatingRate 10 months - - - -
12 month 611 12 months - - - -
24 month 611 12 months 611 12 months - -
36 month 613 36 months - - - -
48 month 613 36 months 611 12 months - -
50 month 613 36 months 611 14 months
60 month 613 36 months 611 12 months 611 12 months
An ISA which is under Floating Rate can be changed to Fixed Rate and the Review
Date will be at the expiry of the term under review, computed from the date of
change.
6.3 Interest Computation Method
There are two methods in which interest can be computed:
1. Simple
2. Compounded
The accrued interest is stored in a field in the account’s master file and capitalized
into the account on Interest Cycle date.
6.3.1 Simple
The accrued interest is stored in a field in the account’s master file on a daily basis.
6.3.2 Compounded
The accrued interest will be added to the balance for computation as illustrated in
Table 7Compounded Interest.

Page 26 of 137
Day Balance
Interest
Rate
Accrued
Interest
Compounded
Balance
1 10,000,000.00 2% 547.94521 10,000,547.95
2 10,000,000.00 2% 547.97523 10,000,547.98
3 10,000,000.00 2% 547.97523 10,000,547.98
Table 7Compounded Interest

Page 27 of 137
The following is a list of requirements that are related to batch processing for interest accrual
and interest capitalization.
1PID_DP_00036 System must supportif Tier Rate code is
selected and approved, interest tier will
replacethe default interest rate setting
As explained in Alternate Rate
System will accrue
interest/profit using the
Alternate Rate, if it has
been defined in the
Demand Deposit
Product parameter.
However, the daily
accruals will not be
posted to GL. The
accrued amount will be
capitalized to the
account if the criteria
defined for Alternate
Rate is met. In this case,
the amount that has
been posted to GL under
regular rate will be
dropped.
TierCode above.
1PID_DP_00053 System must supporthold amount with
differential interestrate:-
a. different interest rate for hold amount for
CASA compare to non-hold amount
b. tiered interest rate for un-hold amount
c. Treated CASA hold amount as cash
collateral
Example
a. Customer has Current Account balance
IDR 10 Billion
1. IDR 2 Billion is hold dueto cash
collateral / LC
2. IDR 8 Billion is un-hold
Business would liketo have IDR 2 Billion to
have interest rate 1% p.a., while the un-hold
Two approaches havebeen proposed to
the bank and at the time of writing,the
preferred approach has notbeen
confirmed.

Page 28 of 137
amount IDR8 Billion followstandard rate
2.5% p.a.
b. With same caseabove for the un-hold
amount, customer will experience
1. FirstIDR 1-5 Billion get2.5% p.a.
2. The next IDR 3 Billion (IDR 8 Billion –
IDR 5 Billion) get 3.0% p.a.
c. The IDR 2 Billion can belinked /
recorded as cash collateral for a loan in SIBS
1PID_DP_00502 System must ableto process:Remove
Overnight Records for Resending: Gen
Summary Reversal Accrue Work File
This requirement is related to the CL
program for LHBU file. It is no longer
required as LHBU data will be extracted
onlinein 1P.
1PID_DP_00852 If Current Account without OD facility
maintain a negative balanceatEOD, system
must not automatically createOD/ loan
facility
There is a mirror image of the Current
Account in Loans module. It is possibleto
define whether non-OD protected
accounts aredisplayed in the Loans
module when they areoverdrawn, using
the Negative Net Off field in the Demand
Deposit Productparameter. The table
below illustrates howan overdrawn
accountwill appear when Negative Net Off
is defined.
Negative
Net Off
Ledger
Balance
OD
Balance
Y -1000 0
N 0 1000
It is advisableto define Negative Net Off as
N’ if the Product does not allowOD
Protection.
Note:
Debit Interest is computed by Loans
module if Ledger Balanceis Negative.
The solution to create an OD Facility is to
be provided by Loans.

Page 29 of 137
1PID_DP_00974 System must be ableto calculatebonus for
cashlineMusyarakah accountwith positive
balanceand feed resultas inputfor profit
sharingmodule
Hibah or Bonus is valid for accountwith Al-
Wadiah Concept Code. If the account is in
credit, system will accruebonus for it.
1PID_DP_01106 Daily accrual of interestmust be calculated
and posted to GL daily,by account (at
accountlevel)
As explained in Balance above.
7. Withholding Tax Processing
The Withholding Tax Code and its exempted balance are defined in Withholding Tax
parameter. It will be available as pick list in Demand Deposit Product parameter. The
defined Withholding Tax Code will be defaulted to the account when as account is
opened. A different Withholding Tax Code can be made applicable to an account if the
account holder is able to produce documents such as SKB (Surat Ketergangan Bebas
Pajak) or COD (Certificate of Domicile). They can be maintained together with an Expiry
Date using the CASA Withholding Tax Maintenance function.
System shall compute Withholding Tax based on the following:
1. Does the account earn any interest during the cycle?
2. If yes, is the Average Balance of the account during the cycle greater than the
Exemption Amount?
3. If yes, compute Withholding Tax based on the Withholding Tax Code that is
applicable for the account.

Page 30 of 137
Withhold
ing Tax
Code Percentage
Average
Balance
Valid SKB
/ COD? Taxable? Interest Tax
0 0% 50,000,000.00 N N 125,000.00 0
2 20% 5,000,000.00 N N 12,500.00 0
2 20% 10,000,000.00 N Y 25,000.00 5,000.00
1 10% 10,000,000.00 Y Y 25,000.00 2,500.00
Table 8Withholding Tax
If the account is in foreign currency, the Withholding Tax will be computed and debited
to the account in the account currency. The GL Event Code will include both the foreign
currency amount and the IDR equivalent amount. The IDR equivalent amount is
computed by using the Withholding Tax Exchange Rate.
The following is a list of requirements that are related to batch processing for Withholding Tax.
1PID_DP_00501 System must ableto process:Gen Detail
Reversal Accrue Report (DD CD)
This requirement is aboutYear End Tax
provision which has been dropped.
1PID_DP_00593 System must ableto process:Get Data
Pembayaran Bunga dan Pajak DD
As explained in WithholdingTax
Processingabove.

Page 31 of 137

Page 32 of 137
8. Zakat Processing
System is to compute Zakat if a customer opts for it. The percentage is defined in a
parameter but the customer may opt for a different percentage at the account level.
The Zakat Collection Account Number is defined in a parameter. There is only one Zakat
Collect Account bank-wide. Zakat can be computed based on Income or Wealth.
8.1 Income
Zakat is to be deducted when Profit is capitalized into an account. If there is
Withholding Tax, it is to be computed after Withholding Tax.
Zakat = (Profit – Withholding Tax) * y%
8.2 Wealth (Zakat Mal)
The Wealth that is subject to Zakat is defined in Nisab parameter. A Nisab is to be
defined for each currency. The date when Zakat Mal is to be paid is defined in Zakat
parameter. Alternatively, a customer can also opt to pay Zakat Mal on his preferred
date.
8.2.1 Zakat Deduction
System is to group the accounts of similar currencies of the Primary CIF which have
opted to pay Zakat on the same day and sum them up. If the summation exceeds
the Nisab amount, system is to compute the Zakat for each account and deduct it
from each account. The Zakat currency will be the account currency. If the account
is denominated in foreign currency, the GL Event Code will include both the foreign
currency amount and the IDR equivalent amount. The IDR equivalent amount will
be computed using Buying TT Rate.
8.2.2 Payment Date
If a customer opts to pay Zakat on his preferred payment date, system is roll to the
next Payment Date after Zakat has been deducted. The next Payment Date is to be
computed based on Current Date plus the number of days in a Haul. Haul is defined
in Zakat parameter.

Page 33 of 137
The following is a list of requirements that are related to batch processing for Zakat.
1PID_DP_00032 System to add new field to captureSyariah
Bankingproduct details:
- Nisbah/Bonus
- Zakat
NOTE: Zakat to be calculated and debited
upon interest payment
As explained in Income above.

Page 34 of 137
9. Charges
Charges can be defined by using the Charge Code parameter. Product-based Charges
and transactions that require charges must be defined with a Charge Code. The former
will be charged to the account when batch processing is in Zone 4 on the Charge Cycle
Date. When an account is charged successfully, systemwill include the Charge Code as
part of the GL Event Code for GFMS.
9.1 Waiver
Charges can be waived based on the following criteria:
1. A specific Charge Code has been defined as Waive for Staff or certain segments.
2. All Charges have been defined as Waive for a specific Product.
3. A specific Charge Code has been defined as Waive for a specific account.
4. All Charges have been defined as Waive for a specific account.
The Waiver will be uplifted on the Expiry Date if it has been defined as such for (3)
and (4).
In addition, Service Charge can be waived for X Cycles.
9.2 Product-based Charges
The following charges are defined at the Demand Deposit Product parameter and
will be charged on their respective Charge Cycles.
9.2.1 AdministrativeCharge
The Charge Code that has been defined for Administrative Charge will be executed
on the Administrative Charge Cycle.
9.2.2 ServiceCharge
Up to five Service Charge Codes can be defined for a Demand Deposit Product.
Charge Code that has been defined for Service Charge will be executed on the
Service Charge Cycle. It can also be defined to be exempted if there is certain
balance in an account.

Page 35 of 137
Example
Service Charge of Rp5,000 is applicable if the average balance of an account does
not reach Rp5,000,000.
Average Balance Charge?
Negative No
0 Yes
4,000,000 Yes
6,000,000 No
9.2.3 VolumeCharge
Up to five Service Charge Codes can be defined for a Demand Deposit Product. The
Charge Code that has been defined for Volume Charge will be executed on the
Volume Charge Cycle. It can also be defined to be exempted if there is certain
balance in an account.
Volume Charge can be defined as:
1. All
2. Day
3. Each
9.2.3.1 All
Charge a fixed amount if the number of OTC transactions exceeds the threshold
within the Volume Charge Cycle.
Example
Charge Rp20,000 for OTC transaction above 5 times during Volume Charge Cycle
Number of transactions during Volume Charge Cycle: 8
Amount to be charged: Rp20,000

Page 36 of 137
9.2.3.2 Day
Charge X amount for all OTC transactions performed per day that has breached
the threshold within the Volume Charge Cycle.
Example
Charge Rp20,000 per day for OTC transaction above 5 times during Volume
Charge Cycle
Date Numberof transactions ChargeAmount
1st to 20th August2014 5 Nil
21st August2014 2 Rp20,000
22nd August2014 1 Rp20,000
9.2.3.3 Each
Charge X amount for each OTC transaction above the threshold.
Example
Charge Rp20,000 for each OTC transaction above 5 times during Volume Charge
Cycle
Date Numberof transactions ChargeAmount
1st to 20th August2014 5 Nil
21st August2014 2 Rp40,000
22nd August2014 1 Rp20,000

Page 37 of 137
9.3 Event-based Charges
There are certain charges that are applicable when an event occurs, e.g. Dormancy,
Statement-generation.
9.3.1 DormantCharge
Dormant Charge can be defined to be excluded for Affiliate Account. Dormant
Charge can be defined to be charged on:
1. C – Cycle Code
2. D – Day turn Dormant
3. M – Recurring at month-end
4. A – Recurring at year-end
9.3.1.1 Cycle Code
A new field, Dormant Charge Day of Month, will be added in the Demand
Deposit Product parameter to allow a user to define the day of month when
Dormant Charge is to be charged.
Example
Dormant Charge Day of Month = 5th of the month
Date turnedDormant DormantCharge
31st December2013 5th
January2014
4th January2014 5th
January2014
5th January2014 5th
February2014
6th January2014 5th
February2014
9.3.1.2 Day turnDormant
The Dormant Charge will be charged on the day when the account becomes
Dormant.
9.3.1.3 Recurringat month-end
The Dormant Charge will be charged at the end of every month so long as its
Status remains Dormant.

Page 38 of 137
9.3.1.4 Recurringat year-end
The Dormant Charge will be charged at the end of every year so long as its Status
remains Dormant.
9.3.2 SubsequentDormantCharge
Subsequent Dormant Charge can be defined to be charged on:
1. A – Anniversary
2. M – Monthly
3. E – Monthly Point to Point
4. No Dormant Charge for Affiliate Account
9.3.2.1 Anniversary
Subsequent Dormant Charge will be charged on the Anniversary Date of the Date
turned Dormant, so long as its Status remains Dormant.
9.3.2.2 Monthly
Subsequent Dormant Charge will be charged on a monthly basis so long its
Status remains Dormant.
9.3.2.3 Monthly Point to Point
Subsequent Dormant Charge will be charged on a monthly basis so long its
Status remains Dormant. It will be charged on a monthly basis on the day of
month when it turned Dormant.
9.3.3 Statement Charge
Statement Charge Code is defined in Demand Deposit Product parameter. System
will debit the account when statement is generated. In case of multiple statements
generated for one account, only one charge shall apply.

Page 39 of 137
9.4 Transaction-based Charges
There are certain charges that are charged during batch processing and are
applicable when a transaction is performed, e.g. Cheque Book Request and Intraday.
Charge Code parameter will be enhanced to allow a user to define how a charge
amount is to be split, for example, Charge Code Bilyet Giro can be defined with
Printing Cost, Stamp Duty and Commission.
Cheque Book Processing Control parameter will be enhanced to allow a user to
define the Charge Code that is applicable for Bilyet Giro / Cheque Book and Counter
Cheque.
9.4.1 ChequeBookRequestduringAccountOpening
System will debit the account during batch for Cheque Book requested during
Account Opening.
9.4.2 ChequeBookRequestusing eTP
System will debit the account immediately Cheque Book requested using eTP.
9.4.3 ChequeBookRequestviaClicks
System will verify that there is sufficient fund in the account when a cheque book is
being requested via Clicks. The debiting will be done during batch.
The following is a list of requirements that are related to batch processing for Charges.
1PID_DP_01105 All charges and fees (bank income) must be
posted to GL in IDR (local currency)
System will send the GL Event Code to
GFMS in both foreign currency as well as
IDR.

Page 40 of 137
9.5 Tiering Charge
A customer who has opted for Tiering Charge is committed to maintaining a certain
balance with the bank. System will charge the customer using the discounted
charge for all eligible charge codes if the customer meets the criteria.
The following is a list of requirements that are related to batch processing for Tiering Charge.
1PID_DP_00349 System must supportreversingtiered
chargingto normal chargefor certain
conditions notsupported within xx days
(days to be parameterized) based on options
of (options to be parameterized):
- committed balance(averageor EOM
balance)
- # transaction by transaction type
The situation will notariseas the
discounted charge is only given if the
customer meets the criteria.

Page 41 of 137
10. Owing
Charges that are allowed to go into Owing can be defined using the Charge Code
parameter. Debit Interest is not allowed to go into Owing. Products that are
allowed to go into Owing can be defined as ‘Y’ for the Owing field in the Demand
Deposit Product parameter.
10.1 Creation of Owing
When systemattempts to debit an account for a Charge and there is insufficient
fund for it, it will check:
1. Whether the Charge Code allows for Owing
2. Whether the Product allows for Owing
If the answers are ‘Y’ for both, system will pass the amount into Owing together with
a Date. GL Event Code will not be sent to GFMS.
10.2 Recouping of Owing
System will debit the account for whatever available funds to recover the owed sum.
The Owing Amount is to be recovered on a FIFO (First-In-First-Out) basis. Partial
recovery is allowed. The recovered sum will be generated as a GL Event Code with
its corresponding Charge Code.

Page 42 of 137
The following is a list of requirements that are related to batch processing for Owing.
1PID_DP_00262 System must supportcreatingOwing
Maintenance with capability to:-
- show total listof owing
- total owingamount
- waive owing either
+ one by one
+ total listin the owing list
- ability to deduct owingamount when there
is incomingfund into the owing account.
Type of incomingfund allowed for owing
deduction to be parameterized
This requirement has been deferred.
1PID_DP_00263 System must supportoption for calculation
of Owing Amount either deduct Overdraft
(OD) Facility or not
Charges, when computed, will bedebited
to the accountbased on the Available
Balance. The amount goes into Owing if
there is insufficientbalance.

Page 43 of 137
11. Cash Back
Cash-Back is an incentive that is credited to the account when certain criteria is
met.
Example
Cash Back of Rp50,000 for every incremental increase of Rp1,000,000 in Average
Balance.
Month Average Balance Cash Back
1st 10,000,000 0
2nd 15,000,000 250,000
3rd 14,000,000 0

Page 44 of 137
The following is a list of requirements that are related to batch processing for Cash Back.
1PID_DP_00881 System must be ableto supportadditional
parameter setup DD Product for cash back of
Air Asia Savers Product with details :
1. additional monthly cash back (cash back
amount as productcurrency setup)
2. min avg balance(as productcurrency
setup)
3. transaction remark (remarks of
transaction thatautomatically shown in cust
statement),
4. Sub Ledger number for cash back
payment
The applicableGLReference Number for
Cash Back is to be defined in Charge Code
parameter.
The applicableCash Back amountfor every
X incremental increasein Average Balance
is to be defined in Demand Deposit
Product parameter.
A transaction codeis to be allocated for
Cash Back usingDemand DepositHost
Transaction Codeparameter. The
description for this transaction codewill
appear in the customer’s statement.
System will be enhanced to store the
monthly Average Balanceof an account
and compare the Average Balanceof the
current month with that of the previous
month. If the incremental increasemeets
the criteria defined in the Demand Deposit
Product parameter, the Cash Back will be
computed.
1PID_DP_00883 System must be ableto supportCash Back
process of Air Asia Savers Productwith
details :
1. cash back payment duringEOM process as
DD Product Parameter Setup, with journal :
DR Sub Ledger as parameterized in DD
Product set up
CR Cust Account
2. system will create remark on cash back
payment transaction as parameterized in DD
Product setup
3. No withholdingtax deducted for cash back
trx
The applicableGLReference Number for
Cash Back is to be defined in Charge Code
parameter.
The applicableCash Back amountfor every
X incremental increasein Average Balance
is to be defined in Demand Deposit
Product parameter.
A transaction codeis to be allocated for
Cash Back usingDemand DepositHost
Transaction Codeparameter. The
description for this transaction codewill
appear in the customer’s statement.
System will be enhanced to store the
monthly Average Balanceof an account
and compare the Average Balanceof the
current month with that of the previous
month. If the incremental increasemeets

Page 45 of 137
the criteria defined in the Demand Deposit
Product parameter, the Cash Back will be
computed. WithholdingTax will notbe
deducted from the Cash Back.

Page 46 of 137
12. Amortization
When a benefit is given to a customer upfront, the cost of the benefit is to be
amortized over the defined Amortized Term.
Gift Code parameter will be developed for a user to define the cost of gift as well
as Amortized Term.

Page 47 of 137
The following is a list of requirements that are related to batch processing for Amortization.
1PID_DP_00291 System must supportautomatic amortization
in caseof TD break or ISA break.
Duringbreak, all remainingunamortized
amount of gift/ cash back will bejournaled as
bank expenses
At maturity, all remainingunamortized
amount of gift/ cash back will bejournaled as
bank expenses
It has been confirmed subsequently that
this would be handled by FRS.

Page 48 of 137
1PID_DP_00848 For ISA and TD with gift, amortization of gift
amount will only started after giftpayment
to the vendor has been done. So, system
must have a mechanismto receive data
upload regardingthis payment.
At accountopening: no journalingneed to be
done regardinggift amount
At the 1st day (day of open) and the
followingday batch process:
Dr: Branch's Costof Fund (amt = X)
Cr: Accrual GL account(amt = X)
(amt X = daily accrual of giftamount as
defined in giftparameter)
When business teamis aboutto pay the
vendor (manually),team must upload the list
of payment to SIBS. Data to be contained:
- ISA/ TD Account
- Real amount/ priceof the gift (as to be paid
to vendor)
Based on this uploaded data,system will
calculateand journal:
Dr: Prepaid Expenses (amt = Z - X)
Dr: Accrual GL account(amt = X)
Cr: Pool account for vendor payment (amt =
Z)
(amt Z = real amount/price to be paid to
vendor for each gift)
After the process abovehas been done, at
daily,systemwill do amortization as follows:
Dr: Branch's Costof Fund (amt = W)
Cr: Prepaid Expenses (amt = W)
(amt W = daily amortization of Prepaid
Expenses (daily amortof amt Z - X)
The Cost of a Gift is defined in the Gift
Code parameter. The defined Gift Code is
then tagged to a Program Code. If a
customer opts for a particular Program
Code duringAccount Opening, system will
amortize the cost of the gift over the
defined Amortized Term.
Example
Cost of Gift = 7,500,000
Amortized Term = 100 days
Daily Amortization = 7,500,000 ÷ 100 =
75,000
System will send the remaining
unamortized amount to GFMS if an
accountthat has opted for a particular
Program Code closes prematurely.
Example
Cost of Gift = 7,500,000
Amortized Term = 100 days
Daily Amortization = 7,500,000 ÷ 100 =
75,000
Amortized amount after 60 days = 60 *
75,000 = 4,500,000
Remainingunamortized amount =
7,500,000 – 4,500,000 = 3,000,000

Page 49 of 137
1PID_DP_00916 For ISA and TD with gift, amortization of gift
amount will only started after giftpayment
to the vendor has been done. So, system
must have a mechanismto receive data
upload regardingthis payment.
At accountopening: no journalingneed to be
done regardinggift amount
At the 1st day (day of open) and the
followingday batch process:
Dr: Branch's Costof Fund (amt = X)
Cr: Accrual GL account(amt = X)
(amt X = daily accrual of giftamount as
defined in giftparameter)
When business teamis aboutto pay the
vendor (manually),team must upload the list
of payment to SIBS. Data to be contained:
- ISA/ TD Account
- Real amount/ priceof the gift (as to be paid
to vendor)
Based on this uploaded data,system will
calculateand journal:
Dr: Prepaid Expenses (amt = Z - X)
Dr: Accrual GL account(amt = X)
Cr: Pool account for vendor payment (amt =
Z)
(amt Z = real amount/price to be paid to
vendor for each gift)
After the process abovehas been done, at
daily,systemwill do amortization as follows:
Dr: Branch's Costof Fund (amt = W)
Cr: Prepaid Expenses (amt = W)
(amt W = daily amortization of Prepaid
Expenses (daily amortof amt Z - X)
NOTE: in the condition where program
penalty is charged (delinquencies occurs),
daily amortization keep runningas it is.
This is a duplicateof Requirement ID
1PID_DP_00848.

Page 50 of 137
13. Insurance
Insurance is a feature of a product. The Insurance Premium can be borne by
either the bank or the customer. There is a Maximum Sum Assured per CIF. A
customer may have a regular savings account like Junior Savings, an Installment
Savings Account as well as a Time Deposit product like Power Deposit, all of
which offers insurance as a product feature. However, these products may be
assigned with different Insurance Coverage Group Code.
This can be illustrated as follows:
Example
Max Insurance Coverage per CIF defined in Insurance Premium Computation
Method parameter
Insurance Code Max Insurance Coverage per CIF
AIA 100,000,000
Allianz 150,000,000
The pro-rated insurance coverage for a CIF that has three accounts in two
branches as per table below.
Account Branch Group Code Ledger Balance Pro-rated Coverage
1 A AIA 75,000,000 (75,000,000 ÷ 160,000,000) * 100,000,000 =
46,875,000
2 B AIA 85,000,000 (85,000,000 ÷ 160,000,000) * 100,000,000 =
53,125,000
3 A Allianz 200,000,000 150,000,000

Page 51 of 137
13.1 Insurance Premium borne by bank
The Insurance Premium is to be borne by the Account Owning branch. A total
amount is to be computed per Insurance Code and credited to the Insurance
Company’s account at the end of the month. The Insurance Company’s account
number is defined in CMS Application under a Contract Number. This Contract
Number will then be defined in Insurance Premium Computation Method parameter.
There are five methods of insurance premium computation if it is borne by the bank.
13.1.1 PercentageofRegularInstallment
This is applicable for ISA will be computed as follows:
Percentage:x%
InstallmentAmount: y
InsurancePremium= x%* y
In case of Max Insurance Coverage being defined in Insurance Premium
Computation Method parameter, this will be computed as follows:
Max Insurance Coverage per CIF 50,000,000
Insurance Premium percentage 0.0087%
CIF A Installment Amount Insurance Premium
Account A1 10,000,000 10,000,000 * 0.0087% = 870
Account A2 20,000,000 20,000,000 * 0.0087% = 1,740
CIF B Installment Amount Insurance Premium
Account B1 30,000,000 (30,000,000 ÷ 70,000,000) *
50,000,000 * 0.0087% = 1,864.29
Account B2 40,000,000 (40,000,000 ÷ 70,000,000) *
50,000,000 * 0.0087% = 2,485.71

Page 52 of 137
13.1.2 PercentageofTargetBalance
This is applicable for ISA and will be computed as follows:
Percentage:x%
Target Balance: y
CIF A Target Balance Insurance Premium
Account A1 100,000,000 100,000,000 * 0.0087% = 8,700
Account A2 200,000,000 200,000,000 * 0.0087% = 17,400
CIF B Target Balance Insurance Premium
Account B1 300,000,000 (300,000,000 ÷ 700,000,000) *
500,000,000 * 0.0087% = 18,642.86
Account B2 400,000,000 (400,000,000 ÷ 700,000,000) *
500,000,000 * 0.0087% = 24,857.14

Page 53 of 137
13.1.3 PercentageofAverageBalanceorLedgerBalance (otherthan ISA)
This is applicable for accounts other than ISA and will be computed as follows:
Percentage:x%
AverageBalanceor LedgerBalance: y
Note:
Average Balance = Month-To-Date Average
CIF A Average Balance / Ledger
Balance
Insurance Premium
Account A1 100,000,000 100,000,000 * 0.0087% = 8,700
Account A2 200,000,000 200,000,000 * 0.0087% = 17,400
CIF B Average Balance / Ledger
Balance
Insurance Premium
Account B1 300,000,000 (300,000,000 ÷ 700,000,000) *
500,000,000 * 0.0087% = 18,642.86
Account B2 400,000,000 (400,000,000 ÷ 700,000,000) *
500,000,000 * 0.0087% = 24,857.14

Page 54 of 137
13.1.4 PercentageofAccumulatedRegularInstallments
This will be computed as follows:
Percentage:x%
Accumulated RegularInstallment: y
Ledger Balance:z
Note:
Accumulated Regular Installment excludes Initial Deposit and Top-Ups.
Max Insurance Coverage per CIF (per month) 5,000,000
AccountA: MonthlyInstallment=4,000,000
Month Accumulated Regular
Installment
Premium
1 4,000,000 4,000,000 * 0.0087% = 348
2 8,000,000 8,000,000 * 0.0087% = 696
3 12,000,000 12,000,000 * 0.0087% = 1,044
AccountB: MonthlyInstallment=6,000,000
Month Accumulated Regular
Installment
Premium
1 6,000,000 5,000,000 * 0.0087% = 435
2 12,000,000 10,000,000 * 0.0087% = 870
3 18,000,000 15,000,000 * 0.0087% = 1,305

Page 55 of 137
13.1.5 PercentageofSum Assured (No Capping,peraccount)
This method is not in use and will not be provided.
13.2 Insurance Premium borne by customer
The Insurance Premium is computed as a Percentage of Regular Installment and
debited to the SOF account on the Installment Due Date, after the Installment has
been debited successfully.
The amount is to appear as one single line in the customer’s statement.
13.2.1 SufficientFundforInstallmentAmount but InsufficientFundforInsurance
Premium
System will debit the SOF account for the Installment amount. The Insurance
Premium will be sent to Owing, assuming Owing is defined for Insurance Premium.
13.2.2 InsufficientfundforInstallmentAmountbut SufficientFundforInsurance
Premium
Both the Installment amount and the Insurance Premium will be sent to Owing,
assuming both have been defined for Insurance Premium.
13.3 Commission
A Charge Code can be defined for Commission on Insurance Premium using Charge
Code parameter. It can be defined in Percentage instead of absolute amount.
The Commission is to be computed as a Percentage of the Insurance Premium that
has been debited from the customer’s account.
Example
Insurance Premium = 870
Commission = 20% = 174

Page 56 of 137
13.4 Tax
The percentage of Tax can be defined as a Sub Charge Code for Commission on
Insurance Premium using Charge Code parameter. It can be defined in Percentage
instead of absolute amount.
The Commission is to be computed as a Percentage of the Commission.
Example
Insurance Premium = 870
If Commission and Tax are defined as 20% and 10% respectively
Commission = 870 * 20% = 174
Tax = 174 * 10% = 17.4
The following is a list of requirements that are related to batch processing for Insurance
premium and commission.
1PID_DP_00611 System must ableto process:Asplus Acc
Collector
The Payee’s Profileis to be defined in CMS
Application.
1PID_DP_00721 System must ableto process:Niaga Dollar
Premium(Insurance) Calculation - Detl
This requirement is to be dropped.
1PID_DP_00722 System must ableto process:Niaga Dollar
Premium(Insurance) Calculation - Summ
1PID_DP_00723 System must ableto process:Otomation
Process InsurancePlusNiaga IDR
1PID_DP_00724 System must ableto process:Otomation
Process InsurancePlusNiaga USD
1PID_DP_00888 System must be ableto do insurance
premium calculation for Junior Productin
EOM with details:-
As explained in Percentage of Average
Balance or LedgerBalance (otherthan
ISA) above.

Page 57 of 137
1. Formula of premium calculation is(daily
avg bal x premium rate set up in parameter) x
12
2. The calculation will beperformed for the
accountwith min daily avgbal as setup in
parameter
3. The system will createauto accounting
entries:
Db. 27807520 –Prepaid Interest – Direct
gift of Junior Saving
Cr. InsuranceProvider Account
( insurancepayment and insurance
premium journal
Db. 33408520 - Direct Promotion of Junior
SavingExpenses (Interest Expense).
Cr. 27807520 - Bunga dibayar dimuka –
Hadiah LangsungTabungan Junior
(Insurancepremium prepaid settlement
journal)
Note:
Item 3 will beduly removed.
1PID_DP_00890 System must be ableto calculatepremium
amount proportionally in EOM,for example :
| A1
B=A1@Cab/A2 C D
E=(BxCxD)/12 |
| Renkening | Total SRH | %Komposisi
SRH | Premi (pa) | Cap SRH | Cost Premi
|
| Di Cabang A | 50.000.000 | 33,33%
| 0.07% pa | 100.000.000 | 1.944,44 |
| Di Cabang B | 75.000.000 | 50,00%
| 0.07% pa | 100.000.000 | 2.916,67 |
| Di Cabang B | 25.000.000 | 16,67%
| 0.07% pa | 100.000.000 | 972,22
|
| A2 | 150.000.000 | 100,00%
| | | 5.833,33
|
As explained in Percentage of Average
Balance or LedgerBalance (otherthan
ISA) above.
1PID_DP_00891 System must be ableto perform automated
premi payment to insurancecompany
accountmonthly basis based on code "Group
Product CA/SA for insurancecovered"
As explained in Insurance Premium
borne by bank above.

Page 58 of 137
1PID_DP_00892 System must be ableto perform insurance
premi payment accountingentries as
follows :
Dr. Cerdik Promotion Charge (Tabungan
Junior)
Cr. InsuranceAccount
(insurancepremi paid every End of Month)
System will compute InsurancePremium
at the end of month for all accounts that
opt for InsurancePlus =N.
System will send the GL Event Code to
GFMS which will pass theaccounting
entries accordingly.
1PID_DP_01008 Power Depositwill haveinsurancefeature
where the insurancepremiumwill bepaid by
bank to insurancecompany monthly.
There will be a limitto define maximum
insurancecoverageper-CIF as defined in
parameter.
In the casewhere a customer has multiple
power depositaccount with insurance
feature, the total coverage must not exceed
the limit.If exceeding, system must
proportionatethe insurancepremium
payment
[Proportion = max coverage limit/ total
balance].This validation mustbe done cross
product types (includeCA/SA/TD/ISA) where
insurancebenefit applied.
Insurancepremium calculation:
[Insurancepremium = Balancex insurance
premium x proportion]
This requirement has been dropped.

Page 59 of 137
14. Penalty
Penalty is computed during batch processing. There are two types of Penalty:
1. Product Penalty
2. Program Penalty
Product Penalty is applicable if an ISA is closed prematurely. Program Penalty is
applicable if a customer has opted for a particular Program and the ISA becomes
Delinquent or is closed prematurely, whichever is the earlier.
14.1 Default
System will increase the Default Count if it is unable to debit the SOF Account after X
number of retries. Number of Retries is defined in the Direct Debit parameter.
Example
Number of Retries: 3
Date Status Default
25th August 2014 Fail No
26th August 2014 Fail No
27th August 2014 Fail Yes
14.2 Delinquency
System will increase the Delinquency Count if there are X number of consecutive
Defaults.
Date Default Delinquent
25th August 2014 Yes No
25th September 2014 Yes No
25th October 2014 No No
25th November 2014 Yes No
25th December 2014 Yes No
25th January 2014 Yes Yes

Page 60 of 137
Note
System will debit the SOF account for all outstanding installment amount due. In
this example above, the ISA has two outstanding installments before 25th October
2014. System will attempt to debit the SOF account for the total of the three
installment amounts on 25th October 2014. However, if the SOF account only has
sufficient balance for one or two full installment amounts, systemwill debit the SOF
for these amounts. System will not debit the SOF in settlement of an installment
amount partially.
14.3 Product Penalty
Product Penalty is applicable if an ISA is closed prematurely. There are three
methods for computing Product Penalty, as defined in the Product Penalty
parameter:
1. Percentage of Balance by Elapsed Term, subject to a Minimum and Maximum
Penalty Amount
2. Fixed Amount by Elapsed Term
Note:
The Penalty Percentage to be applied depends on whether the Interest Rate for ISA
is fixed or not. Elapsed Term is defined as Today’s Date – First Installment Date.
Example 1
Product Penalty parameter by Percentage of Balance is defined as per table below
Elapsed
Term(<=)
Penalty
Percentage
forFixed
Rate
Penalty
Percentage
forFloating
Rate
Minimum
Penalty
Maximum
Penalty
12 3.75 3.00 50,000 200,000
24 3.25 2.00 50,000 200,000
36 3.00 1.75 50,000 200,000
48 2.50 1.25 50,000 200,000
60 1.00 1.00 50,000 200,000

Page 61 of 137
Account Elapsed
Term
Fixed Rate? Ledger Balance Product Penalty
A 25 Y 1,000,000 1,000,000 * 3% = 30,000 but a minimum
of 50,000 will be charged
B 26 Y 5,000,000 5,000,000 * 3% = 150,000
C 27 Y 10,000,000 10,000,000 * 3% = 300,000 but a
maximum of 200,000 will be charged
D 28 N 1,000,000 1,000,000 * 1.75% = 17,500 but a
minimum of 50,000 will be charged
E 29 N 5,000,000 5,000,000 * 1.75% = 87,500
F 30 N 20,000,000 20,000,000 * 1.75% = 350,000 but a
maximum of 200,000 will be charged
Example 2
Product Penalty parameter by Fixed Amount is defined as per table below
Elapsed
Term(<=)
Fixed
Amount
12 200,000
24 150,000
36 100,000
48 50,000
60 50,000
Account Elapsed
Term
Penalty
A 12 200,000
B 13 150,000
C 25 150,000
D 38 50,000

Page 62 of 137
14.4 Program Penalty
Program Penalty applies if a customer opts for a particular Program and the ISA:
1. Is closed prematurely
2. Becomes Delinquent
Program Penalty is computed during batch and stored in a field. It will be sent to
BDS for display if the ISA is to be closed prematurely. System will debit the ISA
account for Program Penalty if the ISA becomes Delinquent. If there is insufficient
fund in the SOF account, system will debit the ISA account.
Once an ISA becomes Delinquent, system will set the Penalty field of the account to
‘Y’. System will no longer compute Program Penalty once the Penalty field of the
account is ‘Y’. System will resume the computation of Program Penalty when it is
reset to ‘N’.
There are nine methods for computing Program Penalty, as defined in the Program
Penalty parameter:
1. Fixed Amount by Elapsed Term
2. Percentage of ISA Balance (either Average or Ledger Balance) by Elapsed Term
3. Percentage of Remaining Total Installment by Elapsed Term
4. Percentage of Remaining Target Balance by Elapsed Term
5. Percentage of Sum Assured by Elapsed Term
6. Gift Amount by Proportional Elapsed Factor
7. ISA Balance by Proportional Elapsed Factor
8. Percentage of ISA Balance (either Average or Ledger Balance) by Proportional
Elapsed Factor
9. Percentage of Sum Assured by Proportional Elapsed Factor
Note:
Average Balance is the Average Balance of the previous month

Page 63 of 137
If there is a Multiplier, the computed Penalty Amount will be multiplied with the
Multiplier.
14.4.1 ElapsedTerm
Elapsed Term is computed as follows:
Open date : 15th January 2014
Tenure : 36 months
First Monthly ISA Date : 20th January 2014
Maturity date : 20th January 2017
Initial Deposit : 10,000,000
Monthly ISA : 1,000,000
Gift Amount : 7,500,000
Break date : 25th June 2016
Elapsed Term in Days : Break Date – First Monthly ISA Date  (25 June 2016 –
20 Jan 2014) = 887 days
Elapsed Term in Months : 887/365*12 = 29.16 months
14.4.1.1 Fixed Amount by Elapsed Term
A Fixed Amount will be charged to the account based on the elapsed number of
months.
Example
Program Penalty parameter is defined as follows:
Elapsed
Term(<=)
Fixed
Amount
24 months 10,000,000
25 – 48
months
7,500,000
>48months 5,000,000

Page 64 of 137
Based on the example above, an account that is opened on 15th January 2014
and closed prematurely on 25th June 2016 has elapsed 887 days which is
equivalent to 29.16 months. In this case, the Penalty Amount will be 7,500,000.
14.4.1.2 Percentage of Balanceby Elapsed Term
A Percentage of the ISA Balance will be charged to the account based on the
elapsed number of months.
Example
Elapsed
Term(<=)
Penalty
Percentage
24 months 6%
25 – 48
months
4%
>48months 2%
equivalent to 29.16 months. In this case, the Penalty Percentage will be 4%.
Penalty Amount = 39,000,000 * 4% = 1,560,000
Note
Ledger Balance of 39,000,000 is assumed by multiplying the monthly
installments of 1,000,000 by 29 months and adding the Initial Deposit of
10,000,000. Top-ups and interests have been excluded for this example.

Page 65 of 137
14.4.1.3 Percentage of RemainingTotalInstallment by Elapsed Term
A Percentage of the Remaining Total installments will be charged to the account
based on the elapsed number of months.
Example
Elapsed
Term(<=)
Penalty
Percentage
24 months 6%
25 – 48
months
4%
>48months 2%
The account is supposed to have a total installment of 36,000,000 but by 25th
June 2016, the expected installment should be 29,000,000. Defaulted
installment(s) is to be included in the expected installment.
Penalty Amount = (36,000,000 – 29,000,000) * 4% = 280,000

Page 66 of 137
14.4.1.4 Percentage of RemainingTargetBalanceby Elapsed Term
A Percentage of the Remaining Target Balance will be charged to the account
based on the elapsed number of months.
Example
Elapsed
Term(<=)
Penalty
Percentage
24 months 6%
25 – 48
months
4%
>48months 2%
The account is supposed to have a Target Balance of 10,000,000 + (1,000,000 *
36) = 46,000,000 but the Ledger Balance is only 39,000,000 at the time of closing.
Penalty Amount = (46,000,000 – 39,000,000) * 4% = 280,000

Page 67 of 137
14.4.1.5 Percentage of Sum Assured by Elapsed Term
A Percentage of the Sum Assured will be charged to the account based on the
elapsed number of months.
Sum Assured is computed as Installment Amount * Fixed Number * Tenure,
where Fixed Number is defined in the ‘Multiplier’ field in Gift Code parameter.
Example
Elapsed
Term(<=)
Penalty
Percentage
24 months 6%
25 – 48
months
4%
>48months 2%
Sum Assured = Installment Amount * Fixed Number * Tenure
Sum Assured = 1,000,000 * 6 * 36, assuming the Fixed Number is 6
Sum Assured = 216,000,000
Penalty Amount = 216,000,000 * 4% = 8,640,000

Page 68 of 137
14.4.2 Proportional ElapsedFactor
Proportional ElapsedFactoriscomputedasfollows:
Open date : 15th January 2014
Tenure : 36 months
First Monthly ISA Date : 20th January 2014
Maturity date : 20th January 2017
Initial Deposit : 10,000,000
Monthly ISA : 1,000,000
Gift Amount : 7,500,000
Break date : 25th June 2016
Proportional Elapsed Factor : (Maturity Date – First Installment Date) – (Break Date – First Installment Date)
(Maturity Date – First Installment Date)
: (20th January 2017 – 20th January 2014) – (25th June 2016 – 20th January 2014)
20th January 2017 – 20th January 2014
: 1096 – 887 = 0.19
1096
14.4.2.1 Gift Amountby ProportionalElapsed Factor
Gift Amount is defined in Gift Code parameter.
and closed prematurely on 25th June 2016 has a Proportional Elapsed Factor of
0.19.
Penalty Amount = Gift Amount * Proportional Elapsed Factor
Penalty Amount = 7,500,000 * 0.19 = 1,425,000

Page 69 of 137
14.4.2.2 ISA Balanceby ProportionalElapsed Factor
0.19.
Penalty Amount = ISA Balance * Proportional Elapsed Factor
Penalty Amount = 39,000,000 * 0.19 = 7,410,000
14.4.2.3 Percentage of ISABalanceby ProportionalElapsed Factor
The Percentage and the ISA Balance (either Average or Ledger Balance) are
defined in the Program Penalty parameter. Let’s assume the Penalty Percentage
is 10% and Ledger Balance is defined.
0.19.
Penalty Amount = ISA Balance * Penalty Percentage * Proportional Elapsed
Factor
Penalty Amount = 39,000,000 * 10% * 0.19 = 741,000
Note
Ledger Balance of 39,000,000 is assumed by multiplying the monthly
installments of 1,000,000 by 29 months and adding the Initial Deposit of
10,000,000. Top-ups and interests have been excluded for this example.

Page 70 of 137
14.4.2.4 Percentage of SumAssured by ProportionalElapsed Factor
A Percentage of the Sum Assured will be charged to the account based on the
Proportional Elapsed Factor. Let’s assume the Penalty Percentage is 10%.
Sum Assured is computed as Installment Amount * Fixed Number * Tenure
0.19.
Penalty Amount = Sum Assured * Penalty Percentage * Proportional Elapsed
Factor
Penalty Amount = (1,000,000 * 6 * 36) * 10% * 0.19
Penalty Amount = 4,104,000

Page 71 of 137
The following is a list of requirements that are related to batch processing for Program Penalty.
1PID_DP_00169 Program Penalty (Penalti Program) Charge
Calculation method:-
1. Non-proportional charge based on on-
going term (defined in nominal amount)
going term (defined in percentage of ISA
balance). Type of balance that can be
chosen: ledger balance, available balance,
average balance
going term (defined in percentage of
remaining amount of targeted fund/Target
Dana). Where remaining amount =
targeted fund - current ISA ledger balance
going term (defined in percentage of
amount of remaining accumulated monthly
installments)
5. Proportional based on gift amount
6. Proportional based on ISA balance. Type
of balance that can be chosen: ledger
balance, available balance, average balance
7. Proportional based on percentage of ISA
balance. Type of balance that can be
chosen: ledger balance, available balance,
average balance
8. Non-proportional based on on-going
term (account age) on sum assured
o Defined in percentage for each range of
account age
o E.g. 1 to 6 months, charge 1% of sum
assured; 6 to 12 months, charge 1.5% of
sum assured
o Parameterized, to be inputted at
program code level
9. Proportional charge based on on-going
term on sum assured:
* (remaining term ÷ ISA term) ×
y%×regular installment amount × ISA
term× [fixed number]
* ‘y’ is parameterized, also to be inputted at
program code level
As explained in ProgramPenalty above.
Note:
Fixed Number is defined in the ‘Multiplier’
field in Gift Code parameter.

1P Impl_R3(ID)_APP_AP352_Batch Processing - CASA v0.5

1P Impl_R3(ID)_APP_AP352_Batch Processing - CASA v0.5

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