This module will not be further enhanced. Support is limited to defect fixing only.

Introduction to Account and Deposit Regulations

This module supports the regulatory requirements for accounts and deposits in Colombia. It supports the APR calculation and the production of certificates confirming the account and including the details of the current balance, average balances and fees.

Click here to understand the terms and abbreviations used in this functionality.

Effective Rate

Colombia's regulation is forcing banks to inform their clients about the effective annual rates (EAR) that will be applied on the deposits and accounts products. Temenos Transact calculates and stores the rate information.

The benefits of this functionality are:

• The user has the EAR information available at any time during the lifetime of the product.
• The customer will be informed about the rate, which will earn for accounts and deposits.

GMF Tax

This functionality allows bank users to apply the GMF (tax on financial transactions) tax to debit transactions on savings accounts and deposits based on certain conditions.

The GMF (Tax on financial transactions) tax, is a mandatory tax in the Colombian financial ecosystem. GMF applies to all debit transactions on savings accounts and deposits.

Some specific rules need to be applied for this tax based on:

• UVT limit, threshold under which there is no need to apply this tax, current value is 350 UVT.
• GMF value, current value is 4x1000 (0.4%).

The exceptions for this tax are:

• Customers marked as exempted.
• Savings account marked as exempted.
• Transaction between accounts of the same customer.
• Monthly debit transaction amount under the UVT limit.

A customer can have only one account marked as 4x1000 in all financial institutions.

The COACCT.GMF.PARAMETER application is used to store the UVT parameter and the Id of the required tax.

The TPH module is used to collect the tax amount to be credited in an account.

Regulatory Reports Data

The local regulation of Colombia has defined fields for generating the statements, tax certificates and annual cost report to be issued to customers.

This functionality allows users to generate the statement for the active and closed high yield savings accounts.

Services Certificates

This functionality allows banks to generate certificates (on demand) for pocket savings high yield savings, CDAT deposits and good standing products. Banks will be able to generate reports and certificates for customers to comply with local regulations and customer's needs.

The ENQUIRY.REPORT application is provided to generate the certificates in the &HOLD& directory.