Core Banking 3.2
May 6th, 2022
This major release of FintechOS Core Banking comes with lots of features and improvements, that enable you to fully manage amounts returned via contracts based on banking products configured to allow such events, to manage agreements, invoices, and payments with third-party entities brokers, insurers, agents, or merchants, to customize the conditions for contract closure, to upload and manage contract documents, to configure the reconciliation accounts treatment for negative balances, and much more. We've also concentrated on the Core Banking APIs, enabling you to send or receive more diverse information, and adding endpoints to support new features. This version of Core Banking is fully compatible with FintechOS Platform v22.1.
This is part of the FintechOS 22.R2 release. Please check the main release notes for more information.
New Features
Returned Amount or Goods Contract Events
The new contract event added to Core Banking, Returned Amount or Goods, allows you to return all or some of the claimed front-end fee commissions in case of returned amounts or goods. Using the return fee feature developed in Banking Product Factory v3.2, Core Banking calculates the commission to be paid back to the customer based on the transaction amount. Upon transaction approval, a series of validations are performed. Once the transaction is executed, a new contract version is created with a recalculated schedule, and the calculated return fee is debited from the bank's reconciliation account and credited into the borrower's settlement account. The amount of the return fee can be used to decrease the outstanding capital by selecting the Fee Value To Principal checkbox. The newly added FTOS_CB_AddUpdateReturnedAmountOrGoods and FTOS_CB_ApproveReturnedAmountOrGoods APIs enable you to add, update, and approve such events through integration.
Third-Party Management
The third-party management functionality of Core Banking refers to third-party entities (agents, brokers, insurers, etc.) which are registered with the bank to intermediate the selling of various banking products to customers. A third-party invoicing process takes care of the accounting part of the payments. You can create invoices manually, or allow Core Banking to create the invoices automatically, using the TPM Invoices scheduled job. The configurations needed by Core Banking regarding the setup of commissions for third-party management can be performed by users with the associated role of Loan Admin Officer or Retail Credit Officer using dedicated menu items. The newly introduced Reconciliation Account Settings menu allows you to configure the default settings of reconciliation accounts so that Core Banking can determine automatically the account to be used within an invoice created for a third-party entity. The invoice payments are also automatically processed by Core Banking, depending on the value of the ThirdPartyPaymentIsNet system parameter.
Configurable Reconciliation Account Treatment For Negative Balance At Core Banking Level
Core Banking was enriched with a system parameter that completes the reconciliation account treatment feature introduced with this release of Banking Product Factory. The ReconciliationAccountTreatment parameter is a system-wide setting, applicable to events for contracts based on all banking products without a specified Negative balance treatment value. Core Banking takes into consideration the settings used at the banking product level. Thus, if the value is specified at the banking product level, then that value takes precedence over the system parameter's setting.
Configurable Transaction Types
Transaction types became more configurable starting with this release. The new Process Type field is associated with the transaction operation type, making the connection with the automatic transaction motor of bank accounts through the event process type dictionary.
Upload Contract Documents
A new set of validations is in place for documents added to contracts and for managing them. This improves traceability throughout the process from origination to loan administration. The newly added FTOS_CB_AddUpdateContractDocument and FTOS_CB_ApproveContractDocument endpoints allow you to upload documents using API integration.
Contract Closure Settings
Depending on the contract closure settings defined at the banking product level, contracts based on Term Loan or Mortgage products can be closed automatically or manually at maturity, after the number of days set as a buffer before closure passes and the balance reaches zero. If the banking product was defined with a flexible closing setting, then the closure details are displayed at the contract level. The automatic closure is performed either in real-time or at the end of the day by dedicated jobs.
Improvements
Canceled Status For Contracts
The new Canceled status for contracts allows you to effectively cancel Draft contracts when needed. Contracts with this status can be viewed on the Contracts page and in the Contracts Dashboard.
Date For Reviewing The Interest Rate On Contracts
The date for reviewing the interest rate applicable for the remaining amount of a contract is now validated to be between Activation Date and Maturity Date. For variable interest, the Date for Review Interest Rate field is automatically completed with the Reference Rate Date + Reference Interest Period of the underlying interest definition, from the base type interest attached to variable interest, but you can edit its value.
Enhanced API Experience
External Identifiers for Contract Events
Starting now, you can send a transaction's external identifier through API calls for top-ups, disbursements, withdrawals, transfers, early repayments, payment holidays, and reschedule overdue contract events. As a follow-up, the newly added getContractEventByExternalID API allows you to retrieve the transaction based on its external identifier.
Intuitive Error Messages
The error messages that you may receive when running the FTOS_CB_AddUpdateContract API were diversified to include specific situations, such as a start date in the past.
More Calculated Attributes on Contract Creation
The FirstDueDate, MaturityDate, and Tenor attributes' values are automatically calculated based on the InstallmentDay and ContractPeriod values when creating contracts via the FTOS_CB_AddUpdateContract API.
Moving Members Between Groups with Limits Recalculation
The FTOS_CB_AddUpdateCustomerGroupMember API was enriched with the new isMemberMoved parameter, allowing you to signal that a member is moving between groups. The limits of both affected groups are automatically recalculated in real-time.
Improved Job Error Logging Options
Starting with this release, the LogScheduleJobError system parameter allows you to specify whether job errors should be logged or not (for False value).
Revamped Contract Event Forms
The transaction forms were updated for improved readability of the contained information. Thus, for each transaction type, the fields were grouped under a section title based on the type of information displayed. Read more on the Contract Events page.
Fixed Issues
| No. | Summary | Module |
|---|---|---|
| FAB-2914, FAB-2183 | We've improved the performance of the notifications processes. | Core Banking |
| FAB-2881 | We fixed issues on limits definition via API integration. | Core Banking |
| FAB-2883 | We solved issues on getting contracts for groups via API integration. | Core Banking |
| FAB-1161 | We fixed an issue with defining correction entries. | Core Banking |
| FAB-2491 | The minimum interest rate defined at the banking product level was not respected for contracts defined via API integration. | Core Banking |
| FAB-2711 | We performed corrections on the allocation process for commissions of the same type. | Core Banking |
| FAB-2822 | We solved an issue occurring on the approval of a second disbursement event performed after an early repayment event. | Core Banking |
| FAB-2860 | We solved an issue on manual disbursement with custom installment value/ custom principal value. | Core Banking |