Cash is the most volatile and liquid Current Asset of Bank’s Balance Sheet and as such it demands special attention of Efficient Management. Cash Department plays most important role in creating good perception among the customers about the services of a bank. Cash in-charge, ideally a senior level officer with direct experience in cash management shall be responsible in performing good cash management. Good Cash Management constitutes the following roles.
Receipt of Cash
Before receiving cash from depositors in Pay-in-Slip / Credit Voucher the concerned cash official(s) shall:
1. Verify / check the (a) Title of Account, (b) A/C Number, (c) Amount in Words and ...view middle of the document...
Enter particulars of instruments/ Cheque in Cash payment register in Serial order and write down that serial number in a red circle to be made on the face of the instruments.
And finally after completion of all above formalities the Cash official, upon satisfaction, shall pay/ handover cash against the instrument/ cheque to the payee/ Recipients.
However, paying cash official(s) shall hold all paid debit instrument(s) until cash is closed and handed over to Cash-in-charge at the close of business.
Balancing of Cash Receiving Register
After receipt of total cash during the day the ‘Cash Receiving Official’ shall (i) aggregate the amount after the last entry in the ‘Cash Receiving Register’, (ii) write down the total amount in words and figure under the summation and ensure that it is okay and the figure agrees with the computer generated supplementary figure.
Balancing of Cash Payment Register
Paying Cash shall accomplish the following formalities:
Make date-wise entry of all payment Vouchers in “Cash Payment Register” in serial order.
Make sure that total amount of such payments of the day agrees with the total amount shown in the parallel computer generated supplementary.
Write down the total amount of cash paid during the day both in words and figures in ‘Cash Payment Register’ and authenticate the same by full signature.
Writing and Checking of Cash Balance Book
After Balancing of (i) Cash Receiving Register and (ii) Cash Payment Register by the respective Cash Officials, Cash In-Charge shall prepare and sign the Cash Balance Book and shall submit the same to the Deposit In-charge/Deputy Manager (DM), who, upon satisfaction about its accuracy and genuineness shall authenticate the same by his / her countersignature thereon.
Checking / Closing of Cash and writing of Cash Position Memo
At the end of day’s Cash transaction Cash In-charge shall Count, Sort and Balance the remaining cash (after receipt & payment) and shall prepare and sign the Cash Position Memo. However, Deposit In-charge /Deputy Manager shall check and confirm that the figures mentioned in the Cash Position Memo agree with the total figures of (i) Cash...