Commercial Escrow Registration
1. What is meant by Commercial Escrow Account?
A Commercial Escrow Account is a bank‑maintained escrow account opened for commercial deals, where deal-related funds are securely held, controlled, and disbursed in accordance with contractual agreements.
2. What does “Escrow Account Registration Workflow” mean in the Commercial Escrow context?
It refers to the process of opening a Commercial Escrow account, covering agreement review, legal and compliance approvals, account opening by Account Service Unit (ASU), and internal coordination.
3. When is the agreement shared with the client for execution?
After all internal approvals are in place, the agreement is shared with the client for execution, after which the request is routed again to Account Service Unit (ASU) for opening the account.
4. Who reviews the commercial escrow agreement at the start of the process?
The bank reviews the commercial escrow agreement, adds or amends remarks if required, and sends the final draft to the CBD‑Legal team for approval.
5. Is client involvement required during the registration process?
Yes. The client meets with the Coverage and Escrow teams to share the details, review the deal and align with the requirements.
6. When is the agreement shared with the client for execution?
After all internal approvals are in place, the agreement is shared with the client for execution, the client can also amend the terms, but this will be subject to the CBD Legal team approval.
7. When is the Commercial Escrow account considered officially opened?
The account is considered officially opened once Account Service Unit (ASU) completes the account opening after receiving:
- Legal approval
- Client‑executed agreement
- Compliance approval
Commercial Escrow Payments
1. What does the “Escrow Payment Workflow” cover in Commercial Escrow?
This workflow covers the verification, approval, and processing of payments from a Commercial Escrow account.
2. Who initiates a commercial escrow payment request?
The client initiates the payment request by providing the payment instruction as per the agreement and sharing the smart webform or through the bank system.
3. What is the process in pertaining a hybrid access in the CIB system to initiate requests?
Once the account opening process is finished, the coverage team will reach out to the client to collect all necessary signatures for user access. If a walkthrough is needed, the client excellence team will contact the client to offer additional clarification.
4. Does the client directly execute the payment from the escrow account?
No. The client initiates the request only; the actual payment execution is performed by CBD Operations team after verification and approval subject to the agreement signed with the clients.
5. Which systems are used in the Commercial Escrow payment workflow?
The workflow involves:
- CIB system (client payment initiation via Wallet)
- Virtual Wallet (virtual account verification)
- Escrow Account system (payment posting)
6. When is a commercial escrow payment considered complete?
A payment is considered complete once it is processed by CBD Operations team and posted to the Escrow Account.
Commercial Escrow Closure
1. What does “Escrow Account Closure Workflow” mean in Commercial Escrow?
It refers to the formal process of closing a Commercial Escrow account, involving agreement review and final closure by Account Service Unit (ASU) as per the agreement.
2. How is the closure request routed?
As per the agreement clauses and after receiving the required documents accordingly.
3. When is the Commercial Escrow account considered officially closed?
The account is considered officially closed once ASU completes the closure after receiving.
Please find the below checklist for all documents to be provided:
No. | Process | Status |
1 | Request is initiated by the developer in CIB | ☐ |
2 | For General Fund payments, Escrow Ops verifies: Tax Invoice, Contract / LPO, Job Completion / Service Report / Delivery Note, TL approval (Dubai-based), Security cheque (mandatory for advance payments) | ☐ |
3 | Escrow Ops verifies that the agreement/signature is correctly signed in the webform | ☐ |