Instruction on payment account structure

Year VII –No 52, Tuesday, 12 December, 2000.



On the basis of Article 38, Law on payment transaction( Official Gazette of Federation of Bosnia and Herzegovina , No. 32/00), Federal Minister of Finance passes

INSTRUCTION ON PAYMENT TRANSACTION ACCOUNT STRUCTURE

Article 1.

This instruction prescribes the structure of banks account number for carrying on payment transactions (hereinafter: transaction account number).

Article 2.

The content of transaction account number is consisted of 16 (sixteen) digits , which is compounded of 4(four )parts, the structure is as follows:

XXX YYY ZZZZZZZZ KK

The first part of 3(three) digits contains the bank number which are assigned based on Central bank of Bosnia and Herzegovina accounting number system.

Second part of 3 (three) digits contains the branch or sub branch number of the bank which are assigned based on place/location of the bank.

Third part of 8(eight) digits contains the client account number which are assigned as banks own free choice.

Fourth part of 2(two) digits contains control numbers which are assigned based on Central bank of Bosnia and Herzegovina algorithm.

International standard procedure ISO 7064, MOD 97-10 is used as algorithm to determine control numbers, as follows:

1.step: append two zeros (00) to original string of transaction account number without control numbers;


2. step: divide by 97 the t number obtained in step 1, to give the integer and the reminder, the reminder is neglected;

3. step: the integer in step 2. multiply by 97;

4. step: deduct the string in step 3 from the string in step 1 , the result is two digits

5. step: determine control characters value as (97 + 1) and from this number deduct the reminder in step 4, the result as integer number is control number

6. step: append the control number obtained in step 5 to the original string of transaction account without control numbers , and than transaction account number is completed

7. step: for checking of transaction account number, the string in step 6 divide by 97, the result is the integer and the reminder, the reminder is neglected;

8. step: the integer in step 7 multiply by 97;

9. step: deduct the string in step 8 from the string in step 6 , the result must be 1.

Example for control number calculation :

1) example with the reminder in step 4 not equal to 0:

transaction account number: 006 000 01234567 CN:

1. step: (00)6 000 01234567 00
2. step: (00)60000123456700 / 97 = 618557973780,41
3. step: 618557973780 x 97 = 60000123456660
4. step: (00)6 000 01234567 00 - 60000123456660 = 40
5. step: ( 97 + 1 ) - 40 = 58
6. step: 006 000 01234567 58
7. step: (00)60000123456758 / 97 = 618557973781,01
8. step: 618557973781 x 97 = 60000123456757
9. step: 60000123456758 - 60000123456757 = 1

2) example with the reminder in step4 equal to 0:

transaction account number 006 000 01234586 CN

1. step: (00)6 000 01234586 00
2. step: (00)60000123458600 / 97 = 618557973800 and
remainder = 0
3. step: 618557973800 x 97 = 60000123458600
4. step: 6000123458600 - 60000123458600 = 0
5. step: ( 97 + 1 ) - 00 = 98
6. step: 006 000 01234586 98
7. step: (00)60000123458698 / 97 = 618557973801,01
8. step: 618557973801 x 97 = 60000123458697
9. step: 60000123458698 - 60000123458697 = 1

Article 3.

It is required for the banks to insure in their information system the reference with transaction account number to registration number of originator, individual and legal entity assigned by Federal Statistic Bureau of Bosnia and Herzegovina, to verify identity of the originator.

Article 4.

The banks are obliged to insure and inform responsible Organization Unit of Tax Administration in Federation of Bosnia and Herzegovina about all open transaction accounts.

Article 5.

This instruction is effected from date of publishing in Official Gazette of Federation of Bosnia and Herzegovina.

Number:03-02-4959/00 Sarajevo, 4 December ,2000.

MINISTER: dr Dragan Covic

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