Ideas for the Mambu Banking Engine

Journal Entries for inter-branch transfer transactions

What

Book a journal entry to the Inter-branch GL account when there is a transfer transaction between clients in different branches (deposit-to-deposit or deposit-to-loan).  

In the scenario of a transfer between accounts of clients in different branches, the journal entries should be: 

DR Savings Control Branch A

CR Inter-branch Branch A

DR Inter-branch Branch B 

CR Savings Control Branch B

Why

The current booking leaves the branch-level Trial Balance unbalanced. For example, if client in branch A transfers money from their deposit account to the deposit account of a client in branch B, Mambu books in accounting: 

DR Savings Control Branch A 

CR Savings Control Branch B

At the end of the day, in each of the branches the Trial Balance will be unbalanced (debits not equal credits), because only one side of the transaction is posted at branch level.  

  • Rodica Levitchi
  • Jul 27 2015
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