Implementation Checklist for Bank Onboarding

by | Feb 7, 2017 | Bank Connectivity, Blogs, Series | 0 comments

Blog Series: The Role of Onboarding in Your TMS Implementation

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As you mentally prepare yourself for the marathon of connecting your banks to your TMS, make sure you are ready by reviewing this handy checklist. These questions will help you think through your approach so you aren’t surprised by unexpected questions along the way.

  • Connecting Globally. How are you going to connect globally? There are several ways to connect globally—through a global bank, a treasury aggregator, directly to each bank, or directly to SWIFT. Have you considered and explored the connectivity capabilities of each bank on your list?
  • Payment Instructions. To which banks are you sending payment instructions? An implementation for payment instructions is much more complex and time consuming than setting up information reporting.
  • What formats are you going to use? For both information reporting and payments, format choices must be considered. Will you go with the flexible and forward-thinking formats or the tried and true?
  • For banks from which you wish to receive statements, are you going to request prior day reporting and current day reporting? How many times a day do you need current day reporting?
  • Central Contact. Who will be in charge of contacting all of your banks? (i.e., corporate team or local teams)
  • Bank Portals. Will you continue to use the individual banking portals, or will you discontinue use? Some people centralize and discontinue use of banking portals while others hold onto them as a backup or for tax payments.
  • Bank Fees. What is your budget for individual bank fees for the project? Incorporate bank fees into your project budget early so you aren’t surprised later on.
  • Errors and Confirmations. Will you require error/confirmation messages? Can your TMS accept these?
  • Data Requirements Are there any data requirements for other systems involved (i.e., reconciliation system, ERP)? If you are planning to use the daily statements for any system other than the TMS, the technical requirements of that system must be considered as well.
  • As you consider your relationship standings at your banks, document whether the relationship is maintained by the sub or if it is managed by the corporate team.
  • Accuracy of Account Records. Likely, a list is floating around with most of your bank accounts on it. Who maintains this list? Is it accurate? Do you have an up to date list of authorized signers for each account?

 

Each of these elements must be considered for a successful bank onboarding project. As you create your technology stack, be sure to consider flexibility and change. Build something that can last beyond you and can survive one of your technology providers being acquired. We’re always here to discuss any of these elements as you get started.


 

In our next blog, we’ll cover what you should consider in regards to reporting formats for your TMS. Check back in so your project will stay on track and your budget won’t pop up with surprises for you!

Annie Reid is a Treasury Analyst working with Strategic Treasurer’s clients. A connectivity and bank onboarding specialist, she is the head of Strategic Treasurer’s bank onboarding team. When Strategic Treasurer’s clients make a major change that impacts their banking relationships, such as selecting new technology or a new treasury aggregator relationship, her team handles all of the ensuing communication and connectivity changes. This encompasses: information reporting and payments; making decisions regarding file formats and communication methodology; and handling all bank and technology firm calls and documentation management. For payment testing, her team creates a custom test case inventory and oversees and tracks all UAT and production testing. Annie works closely with SWIFT and is a SWIFT Certified Trainer currently delivering training to corporates and bankers on SWIFT for Corporates and Alliance Lite 2.
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