Prove escrow balances covered merchant dues every quarter

Reconcile each day's escrow balance to the schedule of collected but unsettled merchant funds, holds and pending refunds, and test every entry for permitted use. PA Finance can obtain the auditor's and bankers' certificates and file them with RBI on time.

Starts when

Quarter end (certificate due by the 15th of the following month)
Financial year end and annual audit
Escrow account moved to another bank or an additional escrow account opened

People in the process

PPA FinanceProcess Owner
SSettlement OperationsParticipating Team
CComplianceParticipating Team

The process is a starting point. The standards are yours.

Configure for the entity’s actual role. Payment-aggregator, gateway and lending-partner obligations are distinct; the workflow must use the relevant permissions, partner contracts and reviewed requirements.

Keep the work connected.

Merchant Risk

Activate merchants only on a complete KYC file

For payment aggregators, bring the merchant's CKYCR record or due diligence, beneficial owners, settlement account, website and sanctions screening into one onboarding file. Merchant Risk can approve, condition or decline activation and keep unverified merchants off the escrow settlement list.

Merchant Risk

Verify merchant bank account changes before switching settlement

Tie each merchant change in ownership, business category, website or settlement account to the signed agreement, risk profile and fresh KYC and sanctions checks. Merchant Risk can re-rate the merchant and notify the acquiring bank before settlement moves, blocking account-change fraud.

Merchant Risk

Contain suspicious merchants and report them to FIU-IND

Compare a merchant's volumes, ticket sizes, refund and chargeback rates, payer patterns and linked merchants with the business it was approved for. Merchant Risk can decide holds, limits, suspension or termination on preserved evidence while Compliance files suspicious transaction reports on time.

FMC

Explore all Fintech & payments processes.

Order for the work. Room for the people.