Risk Management monitors

The Risk Management engine monitors incoming transmissions, batches (ICLs), and transactions to ensure that they do not exceed the limits for the originating partner. The following types of checks can be defined for the Risk Management engine:
  • exposure limit monitors
  • batch (ICL) limits
  • transaction limits

Exposure limit monitors

Exposure limit monitors track the cumulative activity for transmissions, batches (ICLs), or transactions that are sent by the originating partner. Exposure limit monitors can be configured for specific partners or as global monitors that apply to all transactions that meet the criteria that are configured in the global monitor. To define an exposure limit monitor, configure a time period and debit and credit amount limits. The time period is the number of consecutive business days over which to track the batch (ICL) or transaction activity.

Monitors keep a running total of the batch (ICL) or transaction activity for the partner over the time period specified by the user. If the total amount of all of the batches (ICLs) or transactions received during the configured time period exceeds the debit or credit limits the user specified for the partner, the batches (ICLs) and transactions that caused the limit to be exceeded are suspended for operator review until the current business day closes. For the business day to close, the suspended work must be accepted or rejected.

Risk Management provides the user with the option to automate accepting or rejecting suspended work when a business day closes. The business day close action property controls how suspended work is handled. It has the following values:
Accept
Suspended work is automatically accepted when the business day closes.
Reject
Suspended work is automatically rejected when the business day closes.
No Action
The business day is prevented from closing. Operator review of the suspended work is required before the business day can close.
For more information about exposure limit monitors, refer to:
  • Defining an exposure limit monitor: Exposure Limit Monitors Page
  • Defining a global limit monitor: Global monitors and Global limit monitors page
  • Setting the business day close action property: Risk general properties page

Transmission limits

Transmission limits ensure that each individual transmission received from an originator does not exceed the designated limit. If a transmission limit is exceeded, the transmission is either rejected or put into an suspended state.

Batch (ICL) limits

Batch (ICL) limits ensure that each individual batch (ICL) received for a partner does not exceed the designated limit. If a batch (ICL) limit is exceeded, the batch (ICL) is either rejected or put into an suspended state.

Transaction limits

Transaction limits ensure that each transaction received for a partner does not exceed the designated limit. If a transaction limit is exceeded, the transaction is rejected and can be marked as overrideable. Transaction limits support a velocity span that within a specified time a maximum limit is applied to the credit and debit amounts or counts. The maximum time frame for a velocity limit is 24 hours or 1440 minutes. Within the specified interval, if the total amount or number of transactions is exceeded, then the transaction can be rejected. The Risk Management user interface allows operators to review suspended batches (ICLs) and transactions and to view the current status of all of the monitors that are defined.