Bank keys and house bank creation

[Former Member]

Hi

My company have 9 branches all over India. HO of my organization is in Bombay.

Now every branch have bank account in respective city. 5 are Current account and 5 are Cash Credit account. But all these bank accounts are in one bank only say Bank ABC...

So how many bank key and house bank should be created? I am confused. I tried reading documentation on bank key and housebank, but my confusion is still there.

[Former Member]

HI Meenu_ND,

No doubt at all, if you have 9 branches in a single city with the same bank also you have to create 9 House Banks.

If Each Branch having different accounts, like Saving Account or Current Account then you have to create as a Account ID.

I hope lot of threds are there in the SDN. Check before posting, that will give you more clearity.

Regards

[Former Member]

Hi,

Here you can create a single house bank and in that separate bank accounts with the account ID as per the respective bank account id.

Regards

Milind Sonalkar

[Former Member]

Hi,

The number of house banks depends on the branches of the bank.

You need to open a separate house bank for each bank's branch. For this, create a bank key for the bank branch in FI01 and then assign this bank key into the house bank in FI12 (Or directly create the bank key in Fi12 also)

Then within this bank's branch, if you hold more than one account then create seperate account ID for each account in that house bank.

Separate house bank for each branch helps in the faster processing of bank interfaces for payment and receipt, because then it will use the correct SWIFT code etc for that branch assigned to bank key in house bank.

Regards,

Gaurav

[Former Member]

Hi Gaurav,

It means every branch will have 9 bank key and 9 house bank.

What would be disadvantage / problem (in areas of interface or TDS or other areas) if i create one bank key, one house bank and 9 account ids.

Please let me know.

[Former Member]

The disadvantage is that if you intend to integrate SAP with your bank (e.g. electronic payment) in future, you might need to split up into multiple bank keys.

Branch information is usually stored at Bank Key level.

[former_member229982]

Hi Gaurav,

This means if I have 2 company branches and each company branch has two accounts with XYZ bank's 2 different branches, then I will have 4 house banks, 4 bank key and 4 account ID.

But if the two accounts are in the same bank branch then we will have 2 house banks, 2 bank key and 4 account id.

[atif_farooq]

Dear:

We have the same scenario , we have 14 branches all our the country and and one ban for them. The key is to open Bank key (FI01)for every House Bank created (FI12)and then latter assign them account IDs for every House bank as and when required. Revert back in case of any confusion.

Regards