Checking of deposits received by banks during a period

Internal Audit 1134 views 3 replies

Is there anyone who can share knowledge of checking Deposits received and paid by bank while conducting concurrent Auditing of a bank.

How to check,wht to check.. pls discuss in detail...

 

pls share whatever experence u have regarding concurrent Auditing.....

Replies (3)

@ Jain 

1.You can verify the deposits accepted/received by bank monthly Trial Balance and also cross verify the Account opening forms.

2.You can verify the payment of deposits by the bank from daily vouchers .

3.What to check?

a)In case of acceptance of deposits,

i)verify whether all the details given by the customer in the accounting opening form are correctly entered in the system.

ii)verify whether the acknowledgment of the customer obtained in the register,while delivering the deposit certificate to the customer

b) In case of payment of deposit?

i) verify in sample whether system is calculating interest correctly.

ii)verify TDS deducted on payment of interest(if any).

iii)verify whether deposit certificate taken back from customer on closing of account.

 

@ Prashanth

First of all thank u so much for ur valuable ans.

However from ur ans, i hv not understood the point a (ii) and b (iii)

Also in point a(i) "verify whether all the details given by the customer in the accounting opening form are correctly entered in the system."

In this statement, wht details should be specifically checked. I mean wht are main details are reqd. to be checked.

Thank for your support

Hi Mr. Jain,

1. While accepting deposits from customers banker has to keep in mind that the deposit slip has no alterations regarding amount, date, signature etc..,

    a) if the amount is bulk in nature the branch manager has to give authorisation on voucher- it is must

    b) if the amount received through cheque banker has to verify the customer signature compulsarily and      affix  the stamp UV LAMP & SIGNATURE VERIFIED stamp. The date of the cheque is very important is it post dated cheque or stale cheque etc.,

c) If the amount is more than Rs. 49,999/- PAN no. should quote on Deposit slip.

These are the general mistakes you have seen in Deposits.

 


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