Introduction to Retail Sweeping

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Retail Sweeping provides the functionality to move funds automatically from one account to another, based on a pre-determined set of rules. The main features of Retail Sweeping are:

Maintaining accounts at a particular balance
Moving excess funds to another account
Repaying loans automatically through account sweep. For example, settling Arrangement Loans through Sweeping.

This functionality uses the parameter tables to configure the type of sweep and the accounts to be used for sweeping. It updates the account balances after sweeping the funds and maintains a history for reference.

Product Configuration

This topic covers the configuration of AC.SWEEP.TYPE application.

Configuring the Sweep Type – `AC.SWEEP.TYPE`

The AC.SWEEP.TYPE application is used to create the rules for the sweep types. Multiple AC.SWEEP.TYPE records can be created with different combinations of rules for each sweep type.

Screenshot of AC.SWEEP.TYPE application is shown below:

The below table details some of the important configurations in the AC.SWEEP.TYPE application.

S.No.	Field Names	Description
1.	Sweep Style	Retail sweep can have one of the following sweep styles: Maintenance Surplus Two-way
2.	Cr Txn Code; Dr Txn Code; Ret Cr Txn Code; Ret Dr Txn Code	Different transaction codes can be defined in the `AC.SWEEP.TYPE` records to differentiate the entries raised. For a Maintenance sweep, Cr Txn Code and Dr Txn Code fields must be defined. For a Surplus sweep, Ret Cr Txn Code and Ret Dr Txn Code fields are required. For a Two-way sweep, all four fields are required.
3.	Amt Sweep Routine; Rtn With Sw Amt	The Amt Sweep Routine field can be used to attach a local routine, which returns a locally calculated sweep amount. In the absence of a local routine, system uses the amount from the `AC.ACCOUNT.LINK` records to determine the amount of funds to be swept. If the Rtn With Sw Amt field is set to Yes, then the sweep routine is called after the sweep amount is calculated by Temenos Transact, thus allowing the Temenos Transact-calculated sweep amount to be modified based on a local condition.
4.	Use Limits	This field allows the system to check the overdraft limit on accounts. It can be set to Yes or No. If set to Yes, then, the limit attached to the From Account is checked. If set to No, then, the system disregards any limit on the account.
5.	Return At Sod; Prioritise Od	If the Return At Sod field is set to Yes, the system automatically returns the funds swept during the COB process to the From Account during the SOD processing. For return sweeps, the funds are always credited to the first account in the From Account field of the `AC.ACCOUNT.LINK` record. However, by setting the Prioritise Od field to Yes, the user can specify the sweep to clear any overdrafts among the list of ‘From Accounts’.
6.	Restrict Sweep	This field is used to either stop or override the Posting Restriction rules set at either CUSTOMER or ACCOUNT level. The allowed values are Yes or No or Null. (Read Configuring Posting Restriction in Retail Sweep for more information.)
7.	Restrict Charges	If the field is set to Yes, validation in `FUNDS.TRANSFER` and `STANDING.ORDER` applications will generate an error if any charges or commissions are entered.
8.	Balance To Use	This field controls the balance type used by the system when calculating the sweep amount. The current options for account are Online Actual, Online Cleared and Working Balance; and the balances are available in the `EB.CONTRACT.BALANCES` record for the account. For Retail Accounts or Arrangement Contracts, the option is the balance type defined in `AC.BALANCE.TYPE`.
9.	Acct Mode	This field identifies the accounting mode used for executing sweeps. Acceptable values are: SAO – System accepts the overrides encountered while executing a sweep and processes it. Successful sweeps are stored in `AC.ACCOUNT.SWEEP.HIST` table. SNP – System rejects the overrides encountered while executing a sweep and does not process it. Rejected sweeps are stored in `AC.ACCOUNT.SWEEP.ERROR` table. The default value is SAO.

Illustrating Model Parameters

This section covers the high-level specifications required for Retail Sweeping.

S.No. Parameters Description

1. AC.SWEEP.TYPE This application allows the user to create the rules for the sweep types. Multiple records can be created with different combinations of rules for each sweep type.

S.No.	Parameters	Description
1.	`AC.SWEEP.TYPE`	This application allows the user to create the rules for the sweep types. Multiple records can be created with different combinations of rules for each sweep type.
2.	`AC.ACCOUNT.LINK`	This application allows the user to create and execute retail sweeps for the accounts. To process retail sweep, user has to capture the Sweep Type, Frequency, From Account and To Account details. An advantage of sweeping is that many ‘from’ and ‘to’ accounts can be defined in the same transaction and the accounts can be of different currencies.

AC.ACCOUNT.LINK

This application allows the user to create and execute retail sweeps for the accounts.

To process retail sweep, user has to capture the Sweep Type, Frequency, From Account and To Account details. An advantage of sweeping is that many ‘from’ and ‘to’ accounts can be defined in the same transaction and the accounts can be of different currencies.

In this topic

Products

Ecosystem

Technology

Other Product documentation

Introduction to Retail Sweeping

Product Configuration

Configuring the Sweep Type – AC.SWEEP.TYPE

Illustrating Model Parameters

Configuring the Sweep Type – `AC.SWEEP.TYPE`