Bank audit

While detecting revenue leakage you will have to be faimilier with the software of the bank's software which generates various report for the revenue leakege....for your kind notice here i am telling some gray areas for the revenue leakage-

1. Check interest rate sanctioned as per the sanction letter and applied rate in the master-       Basically PLR linked sanction and Agriculture Loan accounts.

2. Pre payment Charges has been timely collected on the early paid advances.

3. Ask for the service charges book from trhe Bank to check the service charges to be collected on different service provided by the bank.

4. For Big Loan, Deafaulting in any terms of sanctioned also amounts to the penal charges hence it may also be consiedered.

5. Check availment of the service Tax credit on the services availed by the bank as bank directly recognized the same as part of expense not a credit part.

6. Check various charges so require to charged on the accounts like review charges, statement charges etc....focus towards the charges which is being levied manually  like processing fee.

7. Check proper classification of the expenses viz. capital or revenue based on their nature ...

and so on.....All the best