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- Fixed-Term Deposit (FD): is money deposited at bank/mfi that cannot be withdrawn for a specified term/tenure (unless a penalty is paid). When the term is over it can be withdrawn or it can be held for another term.
- Certificate of Deposit (CD): Certificate deposit is different from that of fixed-term deposit in terms of its negotiability. CD is negotiable and can be rediscounted when the holder needs some liquidity, while fixed deposits typically would be (or must be) kept until maturity.
Use-case: Submit Deposit Account Application
When setting up/creating a deposit account the following details need to be known:
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A status is automatically assigned to the deposit account of PRE-ACTIVATION SUBMITTED_AND_AWAITING_APPROVAL (represented on database as integer value 100).
Use-case:
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Question: Shiva, is this the 'approval' use case that was implemented by madhukar or is Approval something different? Provision for updating the interest rate, deposit amount, term & Interest compounding frequency is not considered while approval. However, I feel the provision should be provided. We will take-up the changes.
It is the same as given below. However, we are not allowing a user to change the Term, Deposit Amount
Modification of Deposit Account Application
The deposit account may not commence on the exact date given when 'creating/settingup'submitting the application' for the deposit account. The date on when the 'deposit' transaction is received by the bank/mfi is the date typically from which the deposit account becomes 'active'.
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- Maturity date: Recalculate the projected maturity date given the current commencement date and tenure length.
- Accrued interest on maturity: Recalucate the the amount of projected interest accrued given the current deposit amount and tenure.
- Maturity amount: Recalculate using new projected interest accrued
- Account status: The status of the account should transition from 'PRE-ACTIVATION' to 'ACTIVE'.
- Record of deposit transaction: When account is activated, a transaction recording transaction related information such as date, amount and type of transaction (DEPOSIT) should be recorded.
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Use-case: Approval of Deposit Account
Provision for updating the interest rate, deposit amount, term & Interest compounding frequency is not considered while approval.
Shiva can you update further detail in here?
Use-case: Rejection of 'deposit account application'
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