Skip to main content
Midaz supports three banking models: retail banking, corporate banking, and personalized banking services. It uses and to model each one.

​
What changes with Midaz

​
Driving innovation in banking

Banks add products without changing core ledger structures. You configure new account types and segments through the API.

​
Retail banking for individual customers

A retail bank runs on a single organization and a primary ledger. Each customer maps to a portfolio.

​
Using Midaz

  • Organization & Ledger: ABC Bank registers as an organization. It creates a “Retail Banking Ledger” for all customer transactions.
  • : The bank defines an asset for every currency it operates. This gives multi-currency support for domestic and international accounts.
  • Customer portfolios: Each customer has a portfolio. It holds their checking, savings, and credit accounts.
  • Transactions: Midaz records deposits, transfers, and payments with full traceability.
  • Internal accounts: Fee and interest accounts track the bank’s revenue and expenses.
  • Segments for personalization: You classify accounts into service tiers, such as Standard or Gold. The Fees Engine can waive fees for a tier.
  • for budgeting: Customers create sub-accounts inside their savings portfolio for better money management.

​
Example: ATM withdrawal

John Doe withdraws $100 from an ATM:
1

Debit

$100 from John’s checking account.
2

Credit

$100 to an “ATM Cash Dispensed” internal account.
3

Fee

Midaz debits $3 from John’s account and credits the Fee Income account.
Midaz handles millions of retail customers.

​
Corporate banking for business and enterprise customers

Corporate banking needs a more detailed structure. It often uses separate ledgers or segments to keep it apart from retail banking.

​
Using Midaz

  • Dedicated Ledger: ABC Bank creates a “Corporate Banking Ledger” for business accounts.
  • Portfolios for enterprises: Each corporate client, such as ACME Corp, gets a portfolio with accounts for operations, payroll, and taxes.
  • Hierarchical accounts: Child accounts let a business split funds across departments and keep one consolidated balance.
  • Bulk transactions: Midaz supports large operations, such as payroll with many simultaneous debits and credits.
  • Segments & Products: You classify companies as SME or Large Enterprise to offer tailored services.
  • Multi-entity clients: You give each subsidiary its own portfolio under the same organization.

​
Example: loan disbursement & supplier payments

ACME Corp receives a $1,000,000 loan:
1

Credit

$1,000,000 to ACME’s loan account.
2

Debit

$1,000,000 from the bank’s Loans Receivable account.
3

ACME uses funds

  • $100,000 payment to a supplier at ABC Bank (internal transfer).
  • $50,000 payment to an external supplier (external transfer recorded in the clearing account).
Midaz gives complete visibility into large operations.

​
Portfolios and Segments for personalized services

Banks offer custom financial products. Midaz supports this through portfolios and segments.

​
Customization strategies

  • Youth & student accounts: You assign these accounts to a “Student” segment. The Fees Engine waives their fees.
  • Premium banking: You group “Diamond” accounts in a premium segment. You apply fee rules to the whole segment.
  • Co-branded & special products: You define loyalty points as an asset and track them in a customer’s account.
  • Unified account views: An application lists all accounts under a portfolio in one call.
  • Cross-portfolio operations: A customer with a personal and a business portfolio transfers funds between them. The accounts stay separate in each portfolio.

​
Example: student account perks

1
A new customer signs up as a student.
2
You assign their account to the “Student” segment.
3
The Fees Engine waives their monthly fees.
4
When the customer reaches a set age, you move the account to a different segment.