This topic provides the systematic instruction to lodge guarantee claim.

1. On the Homepage, type LCDGCLM in the text box, and click next arrow.
   The Claim Lodgement screen is displayed.

   Figure 9-23 Claim Lodgement

   
   

   
   Description of "Figure 9-23 Claim Lodgement"

   
   
2. On the Claim Lodgement screen, click New.
   The Claim Lodgment screen is displayed without any details.

   Table 9-28 Claim Lodgement - Field Description

   Field	Description
   Guarantee Not Advised	Select the option based on the nature of the Guarantee for which Claim has to be lodged. For Guarantee Not Advised contracts, choose the option as Yes.
   Contract Reference	Select the guarantee contract reference number from the option list for Guarantee Advised by Bank. Contract reference number will be generated by system if Guarantee Not Advised flag is selected as Yes.
   Product Code	Select Guarantee Not Advised products from the option list. This will list Guarantee Not Advised products when Guarantee Not Advised Flag is selected as Yes.
   Claim Sl. No	System will generate Claim serial Number.

3. On the Main details in the Claim Lodgement screen, you can view the contract details.
   The system displays the contract details.

   For more information on Main details, refer the Field Description table given below:

   Table 9-29 Main - Field Description

   Field	Description
   Issue Date	Date on which the guarantee is issued
   Expiry Date	Date of expiry of the guarantee
   Local Undertaking Expiry Date	Expiry date of the local undertaking
   Claim Date	Date for claiming the guarantee
   Claim Expiry Date	End date for settling the claim
   Currency	Currency of the guarantee
   Amount	Amount of the guarantee
   Outstanding Amount	The system displays the outstanding amount of the guarantee by default.
   Applicant Name	The system defaults the applicant name.
   Address	Address of the counterparty.
   Counterparty Type	Party type of the counterparty
   Counterparty Reference	Reference Number of the counterparty.
   Beneficiary Name	Name of the beneficiary
   Address	Specify the address details.
   Beneficiary Account	Specify the account details of beneficiary. This field is read only.
   Claim Details	Specify the claim details:
   Claim Lodgement Date	Specify the claim lodgement date using the calendar icon.
   Claim Amount	Specify the amount of the claim. The claim amount should not be greater than the guarantee amount and the outstanding guarantee amount.
   Remarks	Specify remarks, if any.
   Template Id	Select the template ID from the option list. Template ID is applicable only when the party type is applicant bank or issuing bank. Template ID is applicable only if SWIFT 2018 is enabled. Note: The claim message is generated only if the template is selected.
   Claim Status	The status of the claim is displayed here. The statuses are as follows: Lodged on claim lodgement Injunction Received on receipt of Legal Injunction Rejected on Reject Settled on settlement
   Legal Injunction	Check this box to indicate that there is a legal injunction received against the claim, to be captured during Claim Amendment. Note: System triggers GCAM event and Claim Status is updated as Injunction Received.
   Ancillary Message	Check this box to generate MT 759 on contract authorization.
   Ancillary Message Function	Specify the ancillary message function. Alternatively, you can select the ancillary message from the option list. The list displays all valid options maintained in the system. Ancillary Message Function is mandatory if Ancillary Message is checked.
   External Pricing	Specify the External Pricing details.
   External Charge	While lodging guarantee claim for a contract for which External Charges is enabled at product level, external charges is fetched from external pricing and billing engine.
   Claiming Bank Details	Specify Claiming Bank Details.
   Type	Select the Claiming Bank Party type. Allowed values are: Counter Guarantee Issuing Bank Local Guarantee Issuing Bank Advice Through Bank Advising Bank Others
   Reference	Enter the Claiming Bank Reference, it cannot exceed 16 characters. It will be sent the outgoing message.
   Party Id	Select the Claiming Bank Party ID from LOV. Based on the selected Party Id, other fields like Name, Address1, Address2, Address3 and Address4 will be populated.
   Name	Claiming Bank Party Name will be defaulted based on Party Id.
   Address 1	Claiming Bank Party Address 1 will be defaulted based on Party Id.
   Address 2	Claiming Bank Party Address 2 will be defaulted based on Party Id.
   Address 3	Claiming Bank Party Address 3 will be defaulted based on Party Id.
   Address 4	Claiming Bank Party Address 4 will be defaulted based on Party Id.
   Extend or Settle Details	Specify Extend or Settle details:
   Extend or Settle	Select the option from the drop-down list. The list displays the following options: Extend or Settle Extension Settle Only During claim amendment from Extend or Settle to Extension system will initiate Guarantee amendment without beneficiary confirmation and increase Expiry date. GCEX event will be triggered. Charges, Tax and Advices of claim amendment and guarantee amendment will be processed as part of GCEX. This event will be available to view from Guarantee online Screen(LCDGUONL) and Claim lodgement screen(LCDGCLM).
   New Expiry Date	Specify the new expiry date. The New Expiry date is mandatory when Query to Extend or Settle option is selected.
   Latest Reply Date	Specify the latest reply date. The Latest Reply date is mandatory when Query to Extend or Settle option is selected.
   Local Undertaking New Expiry Date	Specify the new expiry date for the local undertaking.
   Settlement Details	You can set the following settlement details:
   Settlement Account Branch	The system displays the settlement account branch on selection of the debit account number:
   Settlement Account Currency	The system displays the settlement account currency on selection of the debit account number.
   Settlement Account	The system displays the settlement account details.
   Charges Debit Account Branch	The system displays the charges debit account branch on selection of the charges debit account number.
   Charges Debit Account Currency	The system displays the charges debit account currency on selection of the charges debit account number.
   Charges Debit Account	The system displays the charge debit account details.

4. On the Claim Lodgement screen, click the Guarantee Not Advised tab.
   The Guarantee Not Advised tab is displayed.

   Figure 9-24 Guarantee Not Advised

   
   Description of "Figure 9-24 Guarantee Not Advised"
5. Specify the Guarantee Not Advised Details.
   For more information on fields, refer the Field Description table given below:

   Table 9-30 Guarantee Not Advised - Field Description

   Field	Description
   Customer	List of values with list of all valid customers.
   Customer Name	System will default Customer Name based on Customer
   Party Type	System will default BEN and will be read only.
   Language	System will default user language and the same can be modified. List of values with list of languages will be provided.
   Dated	Specify the Customer reference date.
   Customer Reference	Specify the Customer reference number.
   Type of Guarantee	LOV with list of guarantee types : APAY- Advance Payment Guaranteeb. BILL- Bill of Lading Guaranteec. CUST- Customs Guaranteed. DPAY- Direct pay Guaranteee. INSU- Insurance Guaranteef. JUDI- Judicial Guaranteeg. LEAS- Lease Guaranteeh. OTHR- Other Guaranteei. PAYM- Payment Guaranteej. PERF- Performance Guaranteek. RETN- Retention Guaranteel. SHIP- Shipping Guaranteem. TEND- Tender Guaranteen. WARR- Warranty/Maintenance
   Description	System will default Guarantee type description and the same can be modified.
   Purpose of Guarantee	System will default Issue and will be read only.
   Expiry Type	Expiry type will have options as Fixed, Open and Conditional -With Expiry and Conditional - Without Expiry.
   Expiry Condition	Specify the expiry condition, if Expiry type is Conditional.
   Applicable Rule	System will default from product maintenance and the same can be modified. LOV with list of Applicable Rules namely ISPR, NONE, OTHR, UCPR, URDG will be provided.
   Rule Narrative	This field is applicable if Applicable Rule is OTHR
   Amount Details
   Currency	System will default local currency and the same can be modified. List of values provided with list of valid currencies.
   Contract Amount	Specify the contract amount. This field is mandatory.
   Amount in Local Currency	System will default local currency equivalent and will be read only.
   Outstanding Amount	User to provide manually and will be mandatory. Should not be greater than contract amount. Outstanding amount will be reduced on claim settlement.
   Claim Lodgement Date	Specify the claim lodgement date using the calendar icon. This field is mandatory.
   Claim Amount	Specify the amount of the claim. The claim amount should be less than or equal to outstanding amount and will be mandatory.
   Claim Remarks	Specify remarks, if any.
   Claim Beneficiary Reference	Specify the Claim Beneficiary Reference details.
   Claim Status	System will default claim status as per existing functionality. The statuses are as follows: Lodged on claim lodgement Reject on claim Reject Settled on claim settlement Injunction Received on providing Legal Injunction
   Legal Injunction	Select this check box during claim amendment.
   Ancillary Message	Check Box to support ancillary message generation during claim amendment
   Ancillary Message Function	List of values with list of ancillary message function and description. To be provided when ancillary message is enabled. CLSVCLOS- Closing of a service call by Trade Operations CLSVOPEN- Opening of a service call by Trade Operations FRAUDMSG- Advice of a fraud attempt GENINFAD- General information advice OTHERFNC- Other request REIMBURS- Request related to a reimbursement REQFINAN- Financing request REXTMATU- Request to extend the maturity date TRANSFER- Transfer of a undertaking
   Transaction Details
   Issue Date	Specify the issue date. The issue date should be back dated.
   Effective Date	Specify the effective date. The effective date should be back dated.
   Expiry Date	Specify the expiry date. The expiry date should be should be greater than issue date.
   Claim Date	Specify the claim date.
   Closure Date	Specify the closure date.
   Remarks	Specify remarks, if any.
   Extend or Settle	System will default Settle only and will be read only. Extension is not supported.

6. On the Claim Lodgement screen, click the Parties tab.
   The Parties tab is displayed.

   Figure 9-25 Parties

   
   Description of "Figure 9-25 Parties"
7. Specify the Parties details.
   For more information on fields, refer the Field Description table given below:

   Table 9-31 Parties - Field Description

   Field	Description
   Party Type	Specify the party type (beneficiary, applicant, advising bank, issuing bank). The option list displays all party types available for the LC. Select the appropriate party type from the list. The field is mandatory.
   Party Description	Specify the party description for the party type here. The field is optional.
   Party ID	Specify a Party ID for which you need to maintain. Alternatively, you can select the Customer No from the List of Values Party Id. The field is optional.
   Party Name	Specify the name of the Customer. The party name can be 150 characters in length. The field is optional.
   Address 1 to 4	Specify the address of the customer who has initiated the transaction. The field is optional.
   Country	Specify the country of the customer. The field is optional.
   Customer Reference	Specify the sender’s reference number. Input to this field will be mandatory for the party type ISB. The field is optional.
   Dated	Specify the date of transaction initiation. The field is optional.
   Language	Specify the language in which advices should be sent to the customer. The field is optional.
   Issuer Bank	Select this option to indicate that the issuer is a bank. The field is optional.
   Other Addresses	Provide the other addresses details:
   Media Type	Select the Media Type from the option list. The field is mandatory.
   Address	This field indicates the party’s mail address. The field is optional.
   Account	Specify the account number.

8. On the Claim Lodgement screen, click the Advices tab.
   The Advices Details is displayed.

   Figure 9-26 Advices Details

   
   

   
   Description of "Figure 9-26 Advices Details"

   
   
9. Specify the Advices details.
   Once you select the Advise Details check box and click on add icon to capture the Advices details.

   Note:

   Click on add icon to include to include parties details.

   For more information on fields, refer the Field Description table given below:

   Table 9-32 Advices - Field Description

   Field	Description
   Advise Details	Specify the Advise Details.
   Message Type	The system displays the message type of the advice generated. This field is optional.
   Party Type	The system displays the party type for which the message is generated. Claims can be lodged for SBLCs with Reimbursing Bank if Bills are not booked under the SBLC. If a Bill is booked under SBLC, system will provide appropriate error message during Claim lodgement. This field is optional.
   Party Id	The system displays the party ID for which the message is generated. This field is optional.
   Party Name	The system displays the name of the party for which the advice is generated. This field is optional.
   Medium	Select the medium through which the message has to be sent from the option list. This field is optional.
   Priority	Select the priority of sending message from the drop-down list. This field is optional.
   Suppress	Check this box to suppress the message. This field is optional.
   Charges	The system displays the charges configured. Note: Guarantee claim Settlement advice GUA_CLAIM_ADV/MT765 is generated during claim Settlement if SWIFT 2019 is enabled. Guarantee claim Settlement advice GUACLAIM_ADV/MT799 is generated during claim rejection if SWIFT 2018 is enabled. If Ancillary Message is checked during claim Settlement then advice GUACLAIM_ADV/MT759 is generated during claim Settlement if SWIFT 2018 is enabled. Guarantee claim rejection advice GUA_- CLAIM_REJ/MT786 is generated during claim rejection if SWIFT 2019 is enabled. Guarantee claim rejection advice GUA_- CLAIM_REJ/MT799 is generated during claim rejection if SWIFT 2018 is enabled. If Ancillary Message is checked during claim rejection then advice GUA_- CLAIM_REJ/MT759 is generated during claim rejection if SWIFT 2018 is enabled. This field is optional.
   FFT Details	Specify the FFT Details. This field is optional.
   Free Format Text Code	Select the free format text code from the option list. You can select the required code as given in the Table 9-33. This field is optional.
   Text	The system displays a brief description on free format text. This field is optional.

   Table 9-33 FFT Details

   FFT Code	Message
   56AINTRMEDRY	MT765

10. On the Claim Lodgement screen, click Documents.
    The Documents details is displayed.

    Figure 9-27 Documents

    
    

    
    Description of "Figure 9-27 Documents"

    
    
11. Provide the document details.
    The documents captured during Guarantee Issuance are defaulted when claim is lodged.

    For more information on fields, refer the following field description table.

    Table 9-34 Documents - Field Description

    Field	Description
    Document Code	The code of the document captured during guarantee issuance is defaulted here. This field is optional.
    Document Type	The type of document captured during guarantee issuance is defaulted here. This field is optional.
    Document Description	The description of the document is defaulted here. This field is optional.
    Document Received	Check this box to indicate that documents are received. The following table provides the list of SWIFT messages and the fields of SWIFT messages that utilizes the information provided in this screen. This field is optional.

    The following table provides the list of SWIFT messages and the fields of SWIFT messages that utilizes the information provided in this screen: The above details are applicable only if SWIFT 2019 is enabled.

    Table 9-35 SWIFT Messages

    Field in Oracle Banking Trade Finance	SWIFT Message	Field of the SWIFT message
    Contract Reference	MT765,MT786	20
    Claim Lodgement date	MT765	30A
    Extend or Settle	MT765	21M
    Claim Amount	MT765,MT786	32B
    New Expiry Date	MT765	31J
    Claim Lodgement date	MT786	30

12. On the Claim Lodgement screen, click Tracers.
    The Tracers details is displayed.

    Figure 9-28 Tracers

    
    

    
    Description of "Figure 9-28 Tracers"

    
    

    Note:

    Tracers are reminders that can be sent to various parties involved in a claim.

    New tracer code Guarantee claim tracer (GUA_CLM_TRACER) introduced to support tracer generation for claims lodged.

13. On the Tracer tab, specify the fields, and click Ok.
    By default, you can view the tracers specified for an LC.

    For more description on fields, refer to Table 9-36:

    Table 9-36 Tracers - Field Description

    Field	Description
    Code	For the tracer code that is highlighted, the details are defaulted from the product and can be changed to suit the LC you are processing. This field is mandatory.
    Description	Enter the document description of the document that is defaulted to suit the LC you are processing.   This field is optional.
    Party Type	Enter the party type. This field is optional.
    Required	You can stop the generation of a tracer at any point during the life cycle of an LC contract. For instance, you had specified that an acknowledgement tracer is to be generated for a contract. When you receive the acknowledgement from the concerned party, you can disable its generation. At a later stage when you wish to generate the tracer again, you only need to enable it for the LC by using this facility. If this box is checked, it means that the tracer should be applied for all new LCs involving the product. If not, it means that it should not be applied for new LCs involving the product. Amen If for some reason you want to stop generating the tracer for a product, uncheck this box through the product modification operation. The tracer will not be generated for new LCs involving the product. This field is optional.
    Maximum Tracers	You can specify the maximum number of tracers that should be sent for the LC. The value is defaulted from the product under which you are processing the LC. This field is optional.
    Number Sent	Number of tracers sent to the party. This field is optional.
    Start Date	The tracers that you specify for an LC can be generated only after it has been authorized. Specify  the default number of days that should elapse after an LC has been authorized, on which the first tracer should be sent. By default, the first tracer for an authorized LC contract will be sent, after the number of days prescribed for the product under which it is processed. This field is optional.
    Last Sent On	Date on which the tracer was last sent to the party. This field is optional.
    Medium	If you have specified that tracers should be generated for an LC, you should also specify the medium through which it is to be generated. A tracer for an LC can be sent through Mail, Telex or other compatible media. This field is optional.
    Frequency	You can specify the frequency (in days) with which the tracer should be re-sent, for the LC you are processing. This field is optional.
    Template ID	Specify the template ID for the SWIFT message type.   If the medium is SWIFT, then the system will generate the tracers in the SWIFT MT799 format based on the template ID mentioned at the LC Contract level for populating the tag 79. This field is optional.

14. On the Claim Lodgement screen, click the Events button.
    The Trade Finance Events is displayed. The system displays the events, accounting entries and advices here.

    Figure 9-29 Trade Finance Events

    
    

    
    Description of "Figure 9-29 Trade Finance Events"

    
    
15. On the Claim Lodgement screen, click the Settlement button.
    The system displays the settlement information for charges here.

    Figure 9-30 Settlement Details

    
    

    
    Description of "Figure 9-30 Settlement Details"

    
    

    Current Event:

    Current event of settlements will be checked for the amount tags pertaining to the current event and will be unchecked for the amount tags not pertaining to the current event.

16. On the Claim Lodgement screen, click the Charges button.
    The Charge Details screen is displayed. The system displays the charges configured for the event at product definition here.

    Note:

    For more details on the Charges Details screen, refer the topic Contract Charge Details in Charges and Fees User Guide under Modularity.

    Figure 9-31 Charge Details

    
    

    
    Description of "Figure 9-31 Charge Details"

    
    
17. On the Claim Lodgement screen, click the Tax button.
    The system displays the details of the tax configured in the screen.

    Figure 9-32 Tax Details

    
    

    
    Description of "Figure 9-32 Tax Details"

    
    
18. On the Claim Lodgement screen, click the Message Preview button.
    You can view the message or advice generated in the screen.

    Note:

    You can view the message or advice generated in the screen.

    Figure 9-33 Message Preview

    
    

    
    Description of "Figure 9-33 Message Preview"

    
    
19. On Claim Lodgement screen, click Remarks button.
    The History of Remarks screen is displayed.

    Note:

    For more details on this screen refer Remarks in the topic Capturing Additional Details in this user manual.

    Figure 9-34 History of Remarks

    
    

    
    Description of "Figure 9-34 History of Remarks"

    
    
20. Click Save.
    The Claim Lodgement details are saved.
21. Click the Hold button.
    You can hold the data entered. On hold of the contract, the status of the contract will be updated as Hold and the system will not do any mandatory validation on the data.

    Figure 9-35 Claim Lodgement

    
    

    
    Description of "Figure 9-35 Claim Lodgement"

    
    

    Note:

    In auto-auth case, if hold is selected, then the contract will be in unauthorized status. System will not consider the contract which is on hold for any other processing. During EOD, system will not consider the records which are on hold as pending transactions.
22. On the Claim Lodgement screen, click the Customer Instructions button.
    The Customer Instructions screen is displayed.

    Figure 9-36 Customer Instructions

    
    

    
    Description of "Figure 9-36 Customer Instructions"

    
    

    Table 9-37 Customer Instructions - Field Description

    Field	Description
    Contract Reference Number	System displays the contract reference number.
    Event Code	System displays the Event Code of the contract.
    Standard Instructions Customer would want to give Standard instructions in advance to the bank that need to be referred by the bank while processing certain type of transactions.
    Instruction ID	System displays the Instruction ID.
    Instruction	System displays the customer standard instruction.
    Instruction Date	System displays the start date of the customer instruction.
    Instruction Expiry Date	System displays the expiry date of the customer instruction.
    Transaction Level Instruction	Enter the transaction level instructions for the event.

23. On the Claim Lodgement screen, click the FX Linkage tab.
    The FX Linkage screen is displayed.

    Figure 9-37 FX Linkage

    
    

    
    Description of "Figure 9-37 FX Linkage"

    
    

    This link loads a screen in which you can link a LC involving a specific counterparty with FX deals involving the same counterparty.

    You can link one or more FX deals to a bill. The value of an FX deal should not exceed the value of the bill it hedges. If you link several FX deals to a bill, the total value of all the deals should not exceed the bill amount.

    Table 9-38 FX Linkage - Field Description

    Field	Description
    Sequence No	System generates the ‘Sequence No’ for linked FX contracts sequentially.
    FX Reference no	Indicates FX deal reference no. from treasury system.
    Date	Indicates FX deal value date. FX Value date should be greater or equal to LC Expiry Date.
    BOT/SOLD Currency	Guarantee Claim currency should be BOT currency of the FX transaction in case of Guarantee Advised or the SOLD currency in case of an Guarantee Issued. Bought Currency: Presents FX Deal Bought Currency. Incase of Guarantee Advised Claim, Guarantee Claim currency should be same FX Bought Currency. Sold Currency: Presents FX Deal Bought Currency. Incase of Guarantee Issued contract, Guarantee Claim currency should be same FX Sold Currency.
    Rate	Presents FX deal Exchange rate.
    Available Amount	Present FX available amount (that is) FX contract amount minus total linked FX amount.
    Linked Amount	User will capture Linked amount at FX Linkage screen. Sum of Linked amount will not be greater than Guarantee Claim contract amount. Linked amount will not be greater than the available amount for linkage.
    Current Utilized amount	Current Utilized amount will display the current amount utilized of the event.
    Total Utilized amount	Total Utilized amount will display the total amount utilized of the contract.

    OBTF system initiates

    • Link/Utilization request to treasury system,
      • During linkage or utilization of FX contract at Guarantee / Islamic Guarantee Claim Settlement
    • Link request to treasury system,
      • During linkage of FX, at Guarantee / Islamic Guarantee Claim Lodgement.
      • Amendment of Guarantee / Islamic Guarantee Claim Lodgement for linked amount or difference in linked amount during amendment.
    • Delink request to treasury system,
      • Manual reduction / delink of FX at Guarantee / Islamic Guarantee Claim Lodgement / Settlement.
      • During deletion of Claim Event.
      • During closure of the claim.
      • When Linked FX is not utilized during claim settlement.
      Multiple forward FX contract could be linked and exchange rate of FX contract vary from each. Hence, effective exchange rate for claim would be arrived using weighted average method and it is utilized during claim settlement.

    • Guarantee Not Advised Contract - Details:

    ISB Party's Customer Reference, Issuing bank, claim amount, currency will be validated for duplications. It will be configurable override.

    Issue date has to be lesser than branch date.

    Effective date has to be lesser than branch date.

    Claim amount has to be greater than Outstanding Amount.

    Outstanding Amount has to be Greater than Contract Amount.

    On Save, BDAV and GCLM Event will be triggered simultaneously.

    Processing of these contracts are restricted from LCDGUONL/LCDGUAMD /LCDGUTRF, but can be viewed from LCDGCLM/LCDGCLP.

    On Successful settlement, Outstanding amount will be shown as reduced by claim amount.

    Hold Operation is not supported. Main tab will be disabled for these contracts.

    Guarantee Not Advised and Parties tab only applicable for Guarantee Not Advised contracts.