Foreign Banks Debit Card Systems Research And Applications

According to WTO liberation committed by the China government, China regulators will allow foreign banks to do RMB business in China by 2007. Upon de-regulation, foreign bank intends to attract customers' RMB deposits and provide consumer's accessibility to their account via the use of the debit card.Currently, major problems debit system especially in foreign bank encounter are that capabilities of handling large volume transaction, security prevention as well as multiple outer interfaces like CUP, VISA & Master. In order to resolve those problems and improve the performance of debit card system, solution that this essay will provide is to take use of Systematic platform as its bank-end core banking system, plus IBM File Segmentation and CICSplex technology, and security will be taken care of TS security sub-system. With those platform and technologies to be used, the debit card system will be able to handle huge volume & very complex transaction with secured environment. Together with those, introduction of BAFES authorization system will also take some responsibilities of interfacing with outer network, to improve the system performance.The essay firstly analyst the problems that traditional debit card system is facing, and then provide the methodology and solution of how foreign bank will implement the debit card system in China. Based on that, it will also introduce architecture of the system, the components & corresponding functionalities. It will also take some sub-systems to illustrate how the sub-systems will interface and work together, to cater for requirement of debit card business.Once the system has been implemented, customer will be able to use their debit card at retail outlets with POS machines, and ATMs for balance inquiry, cash withdrawal, and balance transfers. The RMB debit card will serve as a platform for attracting RMB deposits, and provide cross-sell opportunities of the bank's other products to customers. Coupled with promotional pricing on retail spend, this feature will help provide the marketing team greater flexibility in differentiating the debit card in a highly competitive industry.