Cash Credit / Over Draft
If your institution offers Cash Credit and Overdraft Facilities then you need an application that can set the drawing power across all your products and handle the various types of customers and the variations in norms and documentation like handling the income documents of the salaried individuals or Self Employed Professionals
What is Cash Credit and Overdraft?
Cash Credit is a short term credit facility offered to corporates against a collateral. The corporate can use these to fund his working capital requirements. Interest is charged on a daily closing balance.
On the other hand Overdraft is a credit facility offered to individuals to protect their accounts from being overdrawn and the balance from going negative.
AnyBank Suite and Cash Credit and Overdraft?
The AB Suite can handle financial products targeteted at different types of customers. Parameters are defined for a product and for the Customer Constitution. This allows us to handle Cash Credit or Overdraft products to compute the drawing power.Though they look similar these two products differ in the way they are serviced. Once the facility is approved AB suite can hand-off the details to the core banking system for servicing the facility. The product configuration can include structured fees and levies that are not limited to Processing, Documentation. Documents are specific to the customer constitution and for Individuals can include among others the
- Employment Proof
- Identity Proof
- Proof of Residence
- Income Proof (Salary Slip, IT Returns)
- Bank Statement
While for corporates can depend on the nature of registration and can include
- Registration Docuements
- Audited Annual Financial Statements
- Stock Reports etc
Computation of Eligibility Norms and Credit Norms is automatic irrespective of the customer constitution. Periodic valauation collateral is also automatic. We also offer interfaces to credit bureaus to fetch the credit report automatically.
