Banking and Finance > Account Types

The following are commonly used tests (grouped by type).

Calculation

  • Cast (or total) the ledgers
  • Cast (or total) account balances
  • Re-perform interest calculations
  • Check calculation of bank charges, currency conversions

Exception Tests

  • Identify accounts with missing standing data (e.g., date of birth)
  • Check charges are being raised where appropriate
  • Isolate any forward dated transactions
  • Identify invalid or unusual standing data
  • Identify dormant accounts and transactions thereon
  • Identify accounts with statement suppression
  • Identify customers over their overdraft limit or have expired limits
  • Identify overdrawn staff accounts
  • Test for money laundering

Asset Management

  • Compare book and tax depreciation and indicate variances
  • Identify fully depreciated items and assets higher than replacement cost
  • Recap asset values, in value order, by net or cost amount
  • Recalculate expense and reserve amounts using replacement costs
  • Compare useful lives of assets by category
  • Extract assets with useful lives or depreciation rates beyond set norms

Depository Accounts

  • Check interest and service charge calculations
  • Easily identify data input coding errors
  • Analyse transaction activity
  • Compile demographic information for compliance examinations
  • Age interest bearing deposits by maturity date to analyse interest rate risk
  • Analyse account activity and services used by type of account to evaluate service charge and interest pricing structures
  • Analyse depository portfolio by servicing officer, location, customer type, etc.

Regulatory Compliance

  • Compile and chart data based on account types and service usage utilising demographic information captured in central information, depository and loan systems to document CRA Compliance
  • Analyse loans to insiders to document compliance with regulatory lending limitations
  • Identify large depositors and borrowers for regulatory examiners
  • Review currency transactions to ensure large cash transactions are properly reported
  • Check depository account holds and compare them to the posted Funds Availability Policy to ensure compliance with Reg CC
  • Roll up Call Report Data and compare to prior reports to detect variances
  • Calculate Regulatory Capital Requirements

Other Applications

  • Verify data processing information prior to and after software upgrades or conversions
  • Summarise transactions by time period and location to analyse staffing needs

See Also