Blogs

Understanding the business of Data Archiving Solutions in Banking

Updated On : April 2017

Finance is an excessively regulated industry. There are a lot of moving parts and data that must be monitored and reported in order to stay protected and compliant with all the regulations. One of the most important aspects of regulatory compliance for banks and financial organizations is record keeping and archiving electronic communication data. With the growth of business, the amount of data also grows continuously over time. In addition, databases expand when new functionalities are introduced, mergers or acquisitions take place or when one upgrades to a newer version of a software. The system becomes redundant and a backup of all the data needs to be taken. This can result in the need for additional hardware. Slowdown of systems is a further consequence of large volumes of data. Another disadvantage of too much data is the time required to restore a mission critical backup.

Brokers, dealers, investment advisors, lending agents, futures and transfer agents, and businesses like mortgage companies, credit unions, banks, hedge funds, private equity firms, exchanges, commercial and retail banks, lenders and insurers, payday lenders, foreclosure relief services and debt collectors are all required to capture, monitor and archive business related communication data for review, audits, eDiscovery, litigation, and compliance.

An archival solution is a great first step. Data archival and retrieval solutions automatically help prepare responses to any compliance audit, litigation or information request for business communication data. The right solution archives all communication data in one central location for easy search, eDiscovery, and exporting needs. All transactional data, master and reference data as well as metadata is stored.

In simpler terms, data archiving is the process of moving data that is no longer actively used to a separate storage device for long-term retention. Archived data consists of older data that is still important to the organization (like the data locked when you retire legacy systems) and may be needed for future reference, as well as data that must be retained for regulatory compliance. Data archives are indexed and have search capabilities so files and parts of files can be easily located and retrieved.

Benefits of archiving data

  • The most important reason to archive business and transaction data is that banking business is regulated and thus, mandated to do so.
  • Another reason to archive is data leakage. If there is proprietary data, customer account, transactional or confidential information, it is important to make sure that it isn't shared, either purposefully or accidentally.
  • Having an archiving solution gives oversight by guarding against insider trading, inappropriate financial advice, and stating personal beliefs about a financial investment or trade as fact. This oversight lets employees know that according to the policy, every transaction is being stored and can be accessed for review.
  • Products like Finacle Archival Solutions also provide data monitoring, filtering, and read only access. This gives another level of protection, by preventing inappropriate, sensitive, proprietary or other types of content from ever being accessed or modified. It can even alert managers or compliance officers of inappropriate or illegal usage. This is necessary in a heavily regulated environment.
  • Another great reason to archive is to increase business productivity. The ever-growing amount of content being stored on servers, causes them to slow down, and could cause them to go offline completely, which reduces productivity. Data archiving solutions like Finacle data archival help improve system performance, and reduces downtime by allowing to delete data from the live system once they have been archived.
  • A good data archiving solution can reduce the strain on the IT staff. End users can be empowered to access the archive instead of bothering the IT department to spend needless hours searching and recovering data.
  • Archiving is also extremely important for eDiscovery, information requests, and litigation preparation.
  • Finally, an archive is an untapped source of business insight. If there is access to historic data stretching over decades, there is a mass of information that is available at the fingertips. Actionable business insights are also the future of archiving.

While there are many archiving solutions, FinDART is a customised data archival and reporting solution for banks and financial institutions. The need of an archival solution arises due to migration or to retire legacy systems. FinDART -

  • handles archival from retired / migrated applications
  • supports data purging
  • provides standard reports, MIS, user logs
  • facilitates queries on archived data

Leave Comments :

CLIENT SPEAK

  • The Meticulousness of efforts to ensure customer delight by each of the team member during the course of the project is appreciable. - Data Archival Project

    R. Ganesh (Senior Manager)

    Indian Overseas Bank
  • Overall we are happy with the services provided by Nelito. The implementation team is sensitive to our support requirements and does a good job.

    Vinayak Khadye (Chief Digital Officer)

    Finanzmart Services Pvt Ltd
  • We are extremely thankful to the whole team who have devotedly committed and created this excellent database. Much of our time was wasted in data retrieval from i link where we were facing lots of issues.

    You have given us an awesome product which is superior to our Finacle itself in its display capabilities. The great idea of taking pdf/word/excel option is simply superb. Merging the party code and Finacle CIF and account numbers are another feather in the cap.

    N Sampath Kumar (Branch Manager)

    Corporation Bank
  • We have successfully made Nelito's Fincraft Software for NBFC live in early March for LOS,LMS and Sanjiv Khalkho, Arijit Chakraborty with his team have been very instrumental in making this software live . I would like to appreciate on the turnaround time during the go live phase of the team in getting some of our key requirements done and helping our users to use the software for recording and disbursing all the sales from the software.

    In technology side I would like to praise Pramod Navale and Ganesh Khetmalis for in depth knowledge of the product and their technical skills is outstanding. Looking forward for the continued relationship for our next release and whole of 2018.

    Prateek P Katyal (CTO)

    WheelsEMI Pvt. Ltd
  • "We are extremely pleased with the kind of support extended by you and your team for our year end work. Although whole bunch of people worked for making the support seamless from your end, my special thanks to following resources. Anurag, Arpit, Arvind, Pranit, Suraj, Udgran, Nilesh, Leena and Udgrand. Also, thanks to all others who have supported us directly or indirectly at your end."

    Ananda Padebettu (IT Manager)

    The Nav Jeevan Co-op Bank Ltd.
  • "For a Bank of our size, this system suffices and is very cost effective. Almost all of the bank’s activities run on the one system. Nelito constitutes a partner more than a supplier and the relationship includes provision of the bank’s underlying technology as well as its Fincraft range of applications."

    Chairman

    The Nainital Bank Ltd.
  • "The best mix of functionality and technological support and our vision of “Cash Less and Paper Less” work environment for Sonata has come true with our technological partner Nelito. I highly recommend FinCraft Core Microfinance platform and especially integrations with a number of third party services."

    IT Head

    Sonata Finance Pvt. Ltd.
  • CBS

    "We are happy to use FinCraft Data Archival & Retrieval solution from Nelito Systems; it has given huge ROI in terms of saving revenue by retiring legacy applications. We get all desired reports in a timely manner from the solution."

    Assistant General Manager (CBS)

    United Bank of India
  • Custom Application Development testimonial

    "Proactive & professionally supportive, technically skilled team."

    General Manager

    Federal Bank
  • DGM

    "My bank is working with Nelito from the last about 9 Years and the services provided by the company may prolong our association."

    Sikander Gupta | CEO

    The Jammu Central Co-op Bank Ltd.
  • DGM

    "Knowledge and service provided to the bank is beyond expectation. And we would definitely engage and recommend solution to others."

    Rachelle F. Rivas | IT Project Manager (Senior Manager)

    Bank of the Philippine Islands (BPI)
  • DGM

    "As Vendor strict adherence to process & procedures. Risk Mitigates in Place. Flexible to customer requirements."

    Dinesh Negi | VP (Clg)

    DCB Bank Ltd
  • DGM

    "Everything was successfully implemented and tested. The implementation was professionally done in a very efficient and cooperative manner. Migration was very smooth."

    Frithjof Ramb | Vice President

    SBI- Frankfurt, Germany
  • DGM

    Support services provided for Swift is really up to the mark and meets all clients requirement. Kindly keep this ongoing.

    Rudolph Banis | Head - IT CBS and Application Management

    IndusInd Bank
  • DGM

    Excellent

    Navin A Bijur | Manager - IBD

    The Shamrao Vittal Coop Bank Ltd