Open New Certificates

Shares and Certificates Shares/Certificates Open New Certificates

This document provides technical guidance for using the “Open New Certificates” function within the FLEX system. This feature allows users to establish new certificates for existing accounts.

1. Accessing Open New Certificates

The “Open New Certificates” function is located within the FLEX Main Menu:

  • Certificates
    • Open New Certificate

2. Workflow Overview

The “Open New Certificates” process utilizes a workflow displayed on the left side of the screen. The specific options within the workflow are configurable by credit union management.

2.1. Workflow Navigation Indicators

  • Red Push Pin: Indicates the screen currently in use.
  • Green Check Mark: Marks screens that have been successfully completed.

2.2. Standard Workflow Options

The typical workflow options include:

  • Account Lookup
  • Type/Suffix Selection
  • Open Certificate
  • Joint Owners
  • Beneficiary Maintenance
  • UDFs (User Defined Fields)
  • Print Certificate

3. Workflow Steps

3.1. Account Lookup

This step is used to identify the account to which the new certificate suffix will be added.

  • Action: Enter the account number in the “Account” field.
  • Navigation: Click Next to proceed to the next step in the workflow.

3.2. Type/Suffix Selection

This step involves selecting the certificate type and an available suffix for the new certificate.

  • Certificates Currently On Account:
    • Displays all existing certificate suffixes for the selected account.
    • Note: Share and loan suffixes are not displayed in this window.
  • Select a Type:
    • Lists all certificate types available in FLEX that have been configured by the credit union.
    • Action: Click on the desired certificate type to highlight it.
  • Select a Suffix to Open:
    • Once a type is selected, available suffixes for that specific type will appear in the lower box.
    • Only suffixes available for the current account will be displayed (e.g., if suffix 10 already exists on the account, it will not appear as an available option).
    • Action: Highlight the suffix to be opened.
    • Navigation: Click Next to proceed.

3.3. Open Certificate (Confirm Information and Open Certificate)

This screen displays default values defined in the certificate type record. These options can be modified during the opening process or later via Certificate Maintenance.

3.3.1. Certificate Type Information

  • Certificate Type: Displays the selected certificate type (e.g., C1).
  • Description: Shows the description associated with the certificate type (e.g., 6 MONTH CD $1000).
  • Custom Description (Optional):
    • Allows for a unique title for the certificate account, overriding the default description.
    • The custom description appears on inquiry screens, online banking, and member statements.
    • Members may also have the option to rename the type through online banking.
  • Starting Balance:
    • Used to input a starting balance if the certificate is being printed before the initial transaction.
    • Important: Inputting a starting balance here does not replace the requirement for making the initial deposit through transaction entry.
  • Agreed Monthly Deposit: The amount the member agrees to deposit each month, if applicable.

3.3.2. Dividend Options

  • APR/APY:
    • Displays the default rate from the Current Certificate Rate table.
    • Action: APR or APY can be changed by clicking the appropriate radio button and entering a new value.
  • Payment Frequency: Select the desired dividend payment frequency.
  • Compounding Daily: Check this box if dividends should calculate and compound daily.
  • Variable Rate Code: Indicate a valid rate code if it’s a variable rate certificate.
  • Pay To Account:
    • Enter the account/suffix where dividends will be paid.
    • The certificate suffix defaults in at the time of opening.
    • If left blank, dividends will be paid via check to the member.
  • Setup Alternate Payee:
    • This option becomes available if the “Pay To Account” field is blanked out.
    • Action: Click to input alternate payee information if the check should not be made payable to the member.

3.3.3. Step Up

  • Frequency: Select the frequency for step-ups.
  • Next Available Step Up Date: Displays the next date a step-up is available.
  • Available Step Ups: Shows the number of available step-ups.

3.3.4. Dates

  • Maturity Date: Displays the system-calculated maturity date based on the term defined in the certificate type record.
  • Calculate Maturity:
    • Action: Click this button to calculate a new maturity date.
    • Process: Select “Term,” “Frequency,” and click “Calculate” to determine the new date. Click “Accept” to apply the new date to the maturity date field.
  • Next Dividend Pay: Displays the system-calculated next dividend pay date based on the dividend frequency from the certificate type record.
  • Last Dividend Calc: Displays the current date/open date. Dividends will be calculated using the open date as the beginning date.
  • Effective Date: Displays the last date any changes were made to the certificate.

3.3.5. Renewal Options

These options are applied at the time of maturity.

  • Option 1 (Renewal Action): Select the desired renewal action at maturity:
    • Automatically Renew
    • Close, transfer balance to shares
    • Close, send check
    • Leave certificate as is, in dormant state
  • Options 2, 3, and 4: These options are only used if “Option 1” is set to “Automatically Renew.”
    • Option 2 (Renewal Confirmation Notice):
      • None
      • Print renewal confirmation
      • Do not print renewal confirmation
    • Option 3 (Certificate Number Option):
      • None
      • Increment certificate number
      • Do not increment certificate number
    • Option 4 (Rate Option):
      • None
      • Use rate defined in control file
      • Renew certificate at same rate
  • Certificate Number: Displays the certificate number, if applicable.
  • Renew as Type (Optional):
    • Used if “Option 1” is “Automatically Renew” and the member chooses to renew the certificate as a different type.
  • Transfer to Suffix:
    • If “Option 1” is “Close, transfer to shares,” this field becomes available.
    • Action: Indicate the suffix to which funds should be transferred at maturity.

3.3.6. Penalty Options

These options are used for calculating and charging penalties for early withdrawals.

  • Charge Dividend Days: Indicates the number of days used to calculate the penalty.
  • Grace Days: The number of days after maturity a member has to make a transaction before the certificate is subject to a penalty fee.
  • Charge on Reduced Rate: Enter a rate if the penalty fee is to be charged using a reduced rate.
  • Cut Into Balance: Check this box if the penalty will reduce the principal balance if the penalty amount exceeds dividends earned. The penalty will cut into either the original or current balance based on the certificate type record definition.

3.3.7. Referral Code Setup

  • Referral Code:
    • Used in conjunction with the Cross Selling module.
    • Identifies how the member was referred to the credit union.
    • Referral codes are configured by the credit union.
    • Note: Cross Selling is a separate FLEX module.

3.4. Joint Owners

This workflow step allows for the addition of joint owners to the certificate.

  • Reference: For detailed instructions on adding new joint owners, refer to the “Joint Owner Maintenance” documentation.
  • Flexibility: Joint owners can also be added at a later time.

3.5. Beneficiary Maintenance

This workflow step allows for the addition of beneficiaries to the account.

  • Reference: For detailed instructions on adding new beneficiaries, refer to the “Beneficiary Maintenance” documentation.
  • Flexibility: Beneficiaries can also be added at a later time.

3.6. UDFs (User Defined Fields)

UDFs are credit union-defined fields used to store member information for which FLEX does not have a predefined field. The available fields must be configured by the credit union.

  • Action: To add information to a UDF, double-click the “Value” field and key in the information.
  • Configuration: Fields are defined in “UDF Maintenance.”
  • Navigation: Click Next to proceed to the next step.

3.7. Print Certificate

This is the final step in the “Open New Certificate” process, allowing for printing and/or archiving the certificate.

  • Starting Balance Consideration: If a starting balance was not entered during the open process, the certificate amount will not print on the certificate.
  • Recommendation: Users may choose to wait until after the initial deposit is made through transaction entry before printing the certificate. In such cases, the certificate can be printed from “Certificate Maintenance.”

3.7.1. Print Forms Section

  • Default Forms: Displays forms available for printing.
  • Form Details:
    • Once a form is selected, additional prompts may appear at the bottom of the screen, requiring user input based on form content.
    • Action: Click the field next to each prompt to input information.
  • Buttons:
    • Preview: Allows the user to preview the form before printing.
    • Print/Archive: Prints and/or archives the document.
    • Add to Envelope: Adds the document to an envelope when using eSignatures.

3.7.2. Completion

  • Action: Click Finish once the certificate has been printed and all information has been filled out.
  • Reminder: A reminder will appear to deposit money into the certificate.