Summary
Collection of funds from multiple counterparts can be done electronically on the dete that the company wants
Product Background
- - Difficulty in collection of sale proceeds from multiple counterparts.
- - Difficulty in identification of remitter when there are different people with same name as the counterpart remits fund to the company’s collection account.
- - Difficulty in collection in a timely manner as it has to wait for the remittance by the counterpart in a passive position.
- - It is necessary to have manual reconciliation of collection amount by Resident Registration No.
or applicant’s name and processing time of the person in charge increases accordingly.
※“Mass Collection Service” of Citibank is recommended as a solution of the above, i.e. for the efficient collection of pre-determined amount of funds by companies from multiple counterparts on the date set by the company.
Benefit of the Product
- - Prevent potential accidents and save cost and time for cash collection.
- - Direct collection of sale proceeds, etc. by the company without remitter’s visit to the bank.
- - Collection of the pre-determined amount of funds on the date set by the company.
- - Administer collection detail such as insurance premium, card payment, sale proceeds, etc.
- - Reconciliation on collection is not required as a result of precise management of collection resource, staff in charge of collection, collection amount, etc.
- - Reduce processing time of the person in charge and save headcounts by automation of collection procedure.
Advantages of Citibank Product
- - Customers can send and receive data through the intermediary, a VAN Service Provider.
- - Customers can save network charges for sending/receiving data as remittance data is sent/received in a file.
- - Customers can make collection on the pre-set date.
- - Customers can withdraw all or a part of the account balance of multiple counterparts.
Transaction Terms
- - A legal vehicle with business registration no. in need of collection by nature.
- - A company in need of automatic collection from the counterparts such as insurance companies, department stores, installment finance companies, and other mass customers (members) on a monthly basis.
Required Documents and Transaction Flow
- Required Documents
- - Basic agreement on firm banking service
- - Automatic wire transfer (lump sum payment) service agreement
- Transaction Flow Diagram
- Responsibility of the Company
- - Execute transmission agreement with VAN service provider.
- - Execute the service agreement with Citibank.
- - Conduct test systems of company the Bank.
- Responsibility of the VAN Service Provider
- - Intermediary of the data transmission between the company and the designated bank for receiving and sending transaction by transaction.
- Firm-Banking Supporting VAN Service Provider
- - DACOM, KSNET, LG CNS, SDS, POS-NET, EC-BANK, etc.
