Finance Process Document

A Finance process documentation basically means documentation or archiving of all financial processes involved in a particular system. A finance process document is a document which has the recorded or written details of the financial process or processes adopted by an organization. It requires recording of all the steps involved in the management or processing of finances of a particular system.

Sample Finance Process Document

Finance process document presented by: Joan Gates

Date of presentation of the document: June 12, 2012.

Finance process in question: Educational loan

Documentation of finance process:

Analysis of requirements:

  1. The person applying for an educational loan needs to first fulfill the eligibility criteria set by the bank in order to make oneself worthy of the loan.
  2. The bank then assesses the purpose and amount of the loan demanded in order to analyze if the person concerned should at all deserve the loan.
  3. In case of educational loans, the purpose is mostly pleas to study abroad or pursue certain expensive vocational courses. The eligibility criteria thus set by the bank in his cases therefore revolves around the question whether the candidate would be able to reimburse the money to the bank on the completion of one’s course.

Issuing and submission of application forms: this is then done on submission of certain official and legal documents supporting one’s eligibility for the loan.

Report of field investigation conducted by the bank: the bank then performs a field inspection to verify the truth of all the information provided by the applicant in the application form.

Appraisal of credit and sanction of loan: the bank establishes credit appraisal in correspondence with the applicant’s age, family income, sphere of education, employment chances and estimated salary, depending on which the maximum amount of loan to be sanctioned is decided and a sanction letter is issued.

Submission of legal and official documents: once the loan is sanctioned the borrower needs to submit the necessary legal and official documents like mark sheets, evidence of admission, fee book or bonafide certificates that would support his candidacy claims.

Verification of documents: the authenticity of the documents thus submitted is verified by the bank.

Registration and agreement contracts: the verification procedure is followed by registration and signing of loan agreement contracts promising the payment of the sanctioned amount.

Processing of the sanctioned loan: the loan thus sanctioned is then processed wherein the documents submitted along with a blueprint of the loan plan is sent to the local municipal r corporation authorities for their approval.

Loan disbursement: once the loan is processed, it is soon disbursed as per the terms and conditions of the agreement contract and a completion certificate is issued to the borrower as an evidence of the disbursement.


Posted in Financial Documents