MUMBAI: IDBI Bank has become the first lender to enable document embedding feature on a structured financial messaging system managed by Indian Financial Technology and Allied Services, according to a release.
Indian Financial Technology and Allied Services (IFTAS) is a wholly-owned subsidiary of the Reserve Bank of India. "IDBI Bank Limited becomes the first bank to have implemented the new feature of document embedding facility with Letter of Credit/Bank Guarantee messages over SFMS platform of IFTAS through its middleware application i@Connect-SFMS developed by IDBI Intech Limited," the bank has said in the release.
In an effort to further digitise the financial transactions and to secure the financial communication system, IFTAS has introduced the feature of document embedding, along with Letter of Credit/ Bank Guarantee messages.
Transmission of digitally signed documents ensures the reliability of the transaction. "The new feature will ease the current process of manual verification, reconciliation, reduce frauds, and enable documentary evidence for all the parties involved in the transaction," the bank said.
Reliability of the Bank Guarantee gets enhanced when a copy of the stamp duty information gets embedded and transmitted along with the message itself.