Maintain Bank Guarantee

Maintain Bank Guarantee

This activity allows you to record the details of the bank guarantee.

Select the “Maintain Bank Guarantee” activity under the “Bank Guarantee” business component.

The “Maintain Bank Guarantee” page appears.

Ref. ID	The reference ID of the bank guarantee. (Alphanumeric, 70).Mandatory when “Numbering Type” is selected as “Manual”. When Automatic is selected, then this number is generated by the system on clicking the “Maintain” button.
	Help facility available.

Note: Ref ID is created as follows:

Prefix – BG / Based on Classification /

Suffix for both Payables and Receivables

Case 1 – Financial year is from 01 April of a year to 31 March of the next year. Example: For the financial year 2008-2009, suffix will be 08-09.

Case 2 – Financial year is from 01 January of a year to 31 December of that year. Example: For the financial year 2008, suffix will be 08.

Running Serial No – It will be a running serial number starting from 1 to 999999999. This number is reset to 1 at change of every financial year.

For Classification Advance Ref ID is BG\A\000000001\08-09, P\000000002\08-09…..and finally P\999999999\08-09

For Classification Performance Ref ID is like BG\P\000000001\08-09, P\000000002\08-09…..and finally P\999999999\08-09

Note: To decide to which financial year, the Ref Id belongs to, consider the Ref ID Date (If entered). If the entered REF ID Date belongs to a previous financial year, Ref ID number to be generated by incrementing the running serial no for the applicable financial year. It will not be based on the system date.

Example: An instance where financial years are defined as 01 Apr 2008 - 31 Mar 2009 and 01 Apr 2009 to 31 Mar 2010, with system date as 21 July 2009, If you are entering BG details for a BG created on 21 mar 2009 and Ref ID date as 21 Mar 2009, REF ID to use running serial no for the financial year 2008 - 2009. However, in this case, if REF ID Date has not been entered(application defaults system date as the current date), application will generate REF ID using the current financial year 2009 -2010, even though BG date belongs to Mar 2009.

The system displays the following:

Amendment No	The identification number of the amended bank guarantee document.
Status	The status of the reference identification number. The status can be Fresh / Active / Deleted / Closed / Short Closed / Released / Under Amendment.

Enter the following:

Ref. ID Date	The date of creation of reference ID of the BG. (Date format). If not entered, then it is defaulted with the system date.
Numbering Type	Use the drop-down list box to specify the numbering type. The combo is loaded with options “Automatic” and “Manual”. The system displays “Automatic” by default on launch of the page.
BG No.	The number identifying the bank guarantee. (Alphanumeric, 30).
BG Description	The description of the bank guarantee. (Alphanumeric, 250).
BG Issue Date	The date of issue of the bank guarantee. (Date format). This date should be earlier than the expiry date.
BG Expiry Date	The expiry date of the bank guarantee. (Date format). This date should be greater than the issue date.
BG Tenure	The duration of the bank guarantee.
	Use the drop-down list box to select the bank guarantee tenure periodicity. All the entities defined in the financial services setup for the entity type bank guarantee tenure periodicity is available for selection.
BG Currency	Use the drop-down list box to select the currency of the bank guarantee. All the permitted currencies of the combo is loaded and defaulted with the Base currency of the login company.
BG Amount	The amount for the bank guarantee in BG currency.
Classification	Use the drop-down list box to select the classification, for which you want to create bank guarantee. The entire bank guarantee classification types that have been defined in the “Create Quick Code” activity of the “Quick Codes” business component and are in the “Active” status will be available for selection in the ascending order.
Bank Code	Use the drop-down list box to select the bank code in which the bank guarantee is recorded. All the bank codes of the finance book which is mapped for the login user for which the bank guarantee limits specified in Bank Cash Definition component is loaded in the combo.

The system displays the following:

Desc.

The description of the bank code selected.

Enter the following:

Beneficiary Type	Use the drop-down list box to select the beneficiary type. The combo is loaded with “Customer” and “Supplier” options.
Beneficiary Code	The customer code to which the bank guarantee belongs.
	Help facility available.

The system displays the following:

Beneficiary Name

The description of the customer code.

Enter the following:

Address ID	Use the drop-down list box to select the address id of the beneficiary code.
Applicant Code	The supplier code to which the bank guarantee belongs.
	Help facility available.
Applicant Name	The description of the supplier code.
Address ID	Use the drop-down list box to select the address id of the applicant code.

Note: Applicant Code, Applicant name, and address id will be displayed when the beneficiary type is selected as Supplier.

Project Code	The project code to which the bank guarantee is to be associated.
	Help facility available.
Responsibility	The code identifying the employee who is responsible for the bank guarantee (Alphanumeric, 20).
	Help facility available.

Note: If “Responsibility Details mandatory” parameter has been set to “Yes” in the “Set Function Parameters” activity, the employee code entered in this field must be a valid one for the organization unit.

Responsibility OU

Use the drop-down list box to select the organization unit for which the employees are being defined. All the organization units to which the “Employee Master” business component corresponding to this “Bank Guarantee” business component has been mapped will be available for selection in the ascending order. The system displays “Blank” by default on launch of the page.

Note: The organization units will be available for selection if “Responsibility Details Mandatory” parameter has been set to “Yes” in the “Set Parameters” activity.

Cost Center	The cost center to which the bank guarantee is to be associated.
	Help facility available.

The system displays the following:

Cost Center Description

The description of the cost center to which the bank guarantee is to be associated.

Enter the following:

Ref. Doc. Details

The reference document for the bank guarantee.

Reason Code

Use the drop-down list box to select the reason code. The reason code for deleting or short closing or closing or amending a BG. (Alphanumeric,70) All the Reason that have been defined in the “Maintain Reason definition” activity of the “Reason Code Definition” business component and are in the “Active” status will be available for selection in the ascending order and defaulted with blank.

The system displays the following:

Reason Description

The description of the reason code. (Alphanumeric,70)

Enter the following:

Remarks	Any remarks regarding the BG. (Alphanumeric,4000)
Clauses & Terms	The clauses and terms of the BG. (Alphanumeric,4000)
Documents	The details of the supporting documents of the BG. (Alphanumeric,4000)
Special Conditions	The special instructions regarding the BG. (Alphanumeric,4000)

Note: Request No. and Margin Money applicable controls is displayed only when the “Bank Guarantee” is request based.

Request No.	The request number of the bank guarantee.
Margin Money Applicable	Margin money applicable for the bank guarantee.

Note: Payment Voucher No. Receipt Voucher Numbering Type, Receipt Method, Receipt Mode, Remitter, Finance Book, Receipt Currency, Exchange Rate, Receipt Amount, Bank Code, Instrument No., MICR No., Instrument Date, and Receipt No. controls will be visible only if the margin money applicability is set to Yes and the Bank guarantee is in short closed / closed status.

Payment Voucher No.	The auto generated payment voucher number for the margin money amount.
	Data hyperlink available.
Receipt Voucher Numbering Type	Use the drop-down list box to select the numbering type for the payment point organization unit and the “Sundry Receipt Voucher” transaction type. The numbering types must have already been defined in the “Create Numbering Class” activity of the “Document Numbering Class” business component and must be in “Active” status. The system displays the numbering type set as default for the transaction in the “Document Numbering Class” business component.
Receipt Date	The date on which the sundry receipt has to be created on releasing the margin money by the bank. (Date Format).
Receipt Method	Use the drop-down list box to select a method of receipt. The system displays “Regular” by default on launch of the page.
Receipt Mode	Use the drop-down list box to select the mode of receipt. The system displays the values as defined in the "Bank Definition" business component.
Remitter	The name of the person who is remitting the margin money.
Finance Book	The finance book mapped to the bank code in which bank guarantee is created.
Receipt Currency	Use the drop-down list box to select the currency code in which the receipt is to be made. The currency mapped to the bank code selected will be available for selection. If the bank code currency is not base currency of the company, then the pay currency also loads the base currency of the company.
Exchange Rate	The exchange rate between the receipt currency and the base currency.
Receipt Amount	The margin money amount released by the bank.
Bank Code	The bank code in which the bank guarantee is created.
Instrument No.	The identification number of the instrument issued by the bank for releasing the margin money.
MICR No.	The magnetic ink character recognition number of the bank code.
Instrument Date	The date of the instrument issued by the bank.
Receipt No.	The auto generated sundry receipt for the margin money refund from the bank.

Click the “Maintain BG” pushbutton to create the bank guarantee.

The system updates the status of the bank guarantee number / reference identification number to “Fresh”.

Click the “Authorize BG” pushbutton to authorize the bank guarantee.

The system updates the status to “Active”.

Click the “Delete BG” pushbutton to delete bank guarantee.
Click the “Short Close BG” pushbutton to short close bank guarantee.
Click the “Close BG” pushbutton to close bank guarantee.
Click the “Release Margin Money” pushbutton to release the margin money.

The system displays the following fields:

Created By	The login ID of the user who created the bank guarantee number.
Created Date	The date on which the bank guarantee number is raised.
Modified By	The login ID of the user who modified the bank guarantee number.
Last Modified Date	The date on which the bank guarantee number is last modified.

To proceed, carry out the following

Select the “Attach Notes” link at the bottom of the page to attach notes to the bank guarantee document.
Select the “Specify Order – Bank Guarantee Mapping” link at the bottom of the page to map sale / purchase orders to bank guarantee.
Select the “View Bank Guarantee” link at the bottom of the page to view the bank guarantee.
Select the “Collaborate” link at the bottom of the page to record or to view the observations or comments or discussions regarding the document.

Prerequisites

Finance book must be defined in the “Create Finance Book” activity of the “Organization Set Up” business component
The bank code must be defined in the “Create Bank” activity of the “Bank Cash Definition” business component
Account rule definition for the bank code
Guarantee limits to be specified for the bank code
Classification to be defined in the “Quick Codes”