MFI Agency role - give money to MFIs, who act as agents of the banks

Bank agency role - MFI uses local bank as place of deposits by clients

• Question: What's the typical level of aggregation? Each client has a bank account? Each group? Or just one for the MFI?
• Question: How does the MFI reconcile transactions from the depositors? Each client provides a receipt which gets cross-referenced by transaction number? Or just account number, date and amount? Could there be multiple people depositing the same amount to the same account on the same date? Does the bank provide the identity of the depositor?
• Question: How often does the reconciliation happen?
• Question: How does the money get from the bank to the MFI?
• Question: What transaction date is used: client makes deposit at bank? Client gives receipt to loan officer? MFI gets money from bank?
• Question: Does the MFI ever use the bank as an agent for disbursing loans? If so, to the Loan Officer or individual client or group?

Bank deposit role - MFIs uses local bank for deposits

• Question: What type of access does the MFI have to these accounts? Can find out balance? What about block withdrawals? (May be necessary if this is a linked/collateral account) Make a withdrawal? (To take payment from a collateral account on loan in arrears) Make a deposit? (Credit for higher interest or completing a "Christmas Club" savings incentive program)

-- JamesDailey - 11 Feb 2005