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User Guide

Information in this document is subject to change without notice.

No part of this document may be reproduced or transmitted in any form or by any means,
TEMENOS User Guide – QARD HASSAN

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The Programs (which include both the software and documentation) contain
proprietary information of Temenos Holdings NV and they are provided under a
license agreement containing restrictions on use and disclosure and are also
protected by copyright and other intellectual and industrial property laws.

Reverse engineering, disassembly or de-compilation of the Programs, except to

the extent required to obtain interoperability with other independently created
software or as specified by law, is prohibited.

The information contained in this document is subject to change without notice.

If you find any problems in the documentation, please report them to us in writing.
Temenos does not warrant that this document is error-free.

Except as may be expressly permitted in your license agreement for these

Programs, no part of these Programs may be reproduced or transmitted in any
form or by any means, electronic or mechanical, for any purpose, without the
express written permission of Temenos Holdings NV.

T24 and jBASE are registered trademarks of Temenos Holdings NV. Other names
may be trademarks of their respective owners.

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TEMENOS User Guide – QARD HASSAN

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Item Detail

PRODUCT NAME QARD HASSAN

DOCUMENT TYPE User Guide

CONTACT BACK TO gpack@temenos.com

SPECIAL COMMENTS (1) If Field Information is Crossed Out, it

implies that the field is Not used under
the current version of the Development.

( Document Specific )
SPECIAL COMMENTS (2)

(Development / Support) Specific

SPECIAL COMMENTS (3)

(Client Specific)

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TEMENOS User Guide – QARD HASSAN

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Serial No Last Doc Version Author Comments

Updated
1.1 20.11.2007 Version 1 Jayadeva New
Vijay Kumar

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TEMENOS User Guide – QARD HASSAN

Table of Contents
Overview of this guide........................................................................................................................ 6
Assumptions ................................................................................................................................... 6
Document Support ......................................................................................................................... 6
Scope of this guide ......................................................................................................................... 6
INTRODUCTION ............................................................................................................................... 7
Document Purpose......................................................................................................................... 7
TEMENOS T24 TM Modules Supported.......................................................................................... 7
Abbreviations used in this Guide.................................................................................................... 7
Work Flow .......................................................................................................................................... 8
Work Flow Diagram ........................................................................................................................... 9
Process Flow ................................................................................................................................... 10
Product Setup in IS.H.PRODUCTS ............................................................................................. 11
Input new Contract ....................................................................................................................... 12
Qard Hassan with Schedule repayment ................................................................................... 12
Qard Hassan with Bullet repayment ......................................................................................... 13
Amend Contract ........................................................................................................................ 14
Enquires ........................................................................................................................................... 16
Authorised Contract Entries ......................................................................................................... 16
Schedule Summary ...................................................................................................................... 16
Accounting Entries in T24 ................................................................................................................ 17

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TEMENOS User Guide – QARD HASSAN

Overview of this guide

The purpose of this guide is to help the user to understand the various templates and the fields in
the templates and the crucial setup of any PARAMETER Files in the QARD HASSAN Islamic
Product.

Assumptions
It is assumed that the reader of this guide has knowledge of the following.

 Fair knowledge in TEMENOS T24 TM

 Basic knowledge in LD.LOANS.AND.DEPOSITS module

If any of the above assumptions are not met, then get back to the Project Manager
Onsite for HELP.

Document Support
Any queries in any part of this document can be addressed to gpack@temenos.com. Refer to the
Contact Back To address in the Document Detail pane on Page 3 of this Guide for support.

Scope of this guide

User Reference information of this particular development is the only scope of this guide.

Installation, Customization Procedures, Release Information, Guidelines for testing,

Operation and Migration procedures are NOT under the scope of this Document

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TEMENOS User Guide – QARD HASSAN

INTRODUCTION
Qard Hassan means a profit free finance. The finance is made from the pooled donations of the
members and is generally granted to those who are facing emergency personal crisis.

This form of finance is a very important part of Islamic financial system and all members are
encouraged to become regular donors, so that the fund may be strengthened for the benefit of all
needy people.

So, Qard Hassan is a finance which the financed amount will be returned at the end of the agreed
period without any profit or share in the profit or loss of the borrower.

 Help the needy fellow Muslims, neighbors or families.

 Establish better relationship among poor and the rich.
 Mobilize wealth among all people in the society.
 Facilitate the poor to create new jobs and business ventures by using their merits, skills
and expertise.
 Reduce unemployment and poverty from society.
 Reduce social and economical inequality.

Document Purpose
This document provides information to the user to understand the different parameter files and
their setup. This document provides detailed information about every Field of all the Files used in
the QARD HASSAN Islamic Product

TEMENOS T24 TM Modules Supported

The following Files in the Following Modules are Supported and Used by this QARD HASSAN
Islamic Product.

 LD.LOANS.AND.DEPOSITS

Abbreviations used in this Guide

S – Single Value Field
M – Multi Value Field
AMS – Associated Multi Value Starts Here
AM – Member of Associated Multi Value
AMC – Associated Multi Value Closes Here

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TEMENOS User Guide – QARD HASSAN

Work Flow
 Customer will request the bank for Qard Hassan
 Bank Input a Qard Hassan contract with schedules or bullet repayment with the Customer,
depending upon his ability to repay. There is no Profit on this contract
 Customer will repay the financed amount on a date stipulated in the contract.

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Work Flow Diagram

Customer request to bank for Qard

Hassan

At Value Date
 Bank Input a Qard Hassan
contract with the Customer.
 There is no Profit on this
contract Credit Customer Account with
Principal Amount

At Maturity Date

Debit Customer Account with

Principal Amount

Qard Hassan Workflow Diagram

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Process Flow
The operations of the Qard Hassan will be managed through the following activities :

 Setup Qard Hassan Product in IS.H.PRODUCTS

 Input new contract

 Amend Contract for

 Reschedule
 Early Maturity
 Repayment Account

 Enquiries and reports

 Basic Accounting Entries
 List of Authorized Accounting Entries
 Schedule Summary

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TEMENOS User Guide – QARD HASSAN

Product Setup in IS.H.PRODUCTS

Description: Input description and short description of the product.

Profit Basis: Input profit basis to be used.

Product type: This is not used in this product. So, input NUL, which will be used by system.

Category: Define Category of Qard Hassan

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TEMENOS User Guide – QARD HASSAN

Input new Contract

Qard Hassan with Schedule repayment
In the below example, customer is availing a Qard Hassan finance of BHD 12000 and every month
repaying BHD 1000.

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TEMENOS User Guide – QARD HASSAN

Qard Hassan with Bullet repayment

In the below example, customer is availing a Qard Hassan finance of BHD 12000 and at the
maturity date he is repaying BHD 12000.

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Amend Contract
Contract can be amended for rescheduling, early maturity & changing the repayment account.

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TEMENOS User Guide – QARD HASSAN

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TEMENOS User Guide – QARD HASSAN

Enquires

Authorised Contract Entries

Schedule Summary

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TEMENOS User Guide – QARD HASSAN

Accounting Entries in T24

Action Accounting Entries

On Value Date  With Principal Amount

CR Customer Account
DR LD LiveDB

On Maturity Date  With Principal Amount (In case of Qard Hassan

defined with Instalments then only the schedule
Or
amount)
On each Repayment date
DR Customer Account
CR LD LiveDB

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