The recommendation is to manage voucher balances regionally in escrow accounts with regional Volksbanken, Raiffeisen banks or savings banks. This blog article clarifies the following points:

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- Escrow account type

- Access to the escrow account

- Due diligence measures

- Reasons for regional escrow accounts

All information and statements provided may differ depending on the region and the exact expansion of the voucher system. It is therefore always advisable to discuss the details relating to the escrow account and selection of a suitable banking partner in a personal conversation. Feel free to contact the Awiti team here at any time.

Escrow account type: 'Closed escrow account'

To ensure the integrity and security of escrow funds, we rely on a 'closed escrow account'. But what exactly does that mean? In contrast to an open escrow account, to which several parties have access, a closed escrow account allows access only to the trustee. In this case, you are the trustee. This means that you have full control of the account and funds and that you trade in accordance with the terms of the escrow agreement. The responsibility for managing and securing the funds is therefore clearly in your hands. This closed escrow account provides the necessary security and transparency for the effective management of escrow funds as part of the Awiti voucher system.

Access to the escrow account via online banking

The closed escrow account, which forms the financial basis of the Awiti voucher system, is accessed entirely via online banking. However, this access may vary depending on the Awiti operator model you choose.

In the “self-operate” operator model, in which the region itself is the legal operator of the voucher system, only persons authorized by the region have access to the escrow account. This ensures that the administration and control of funds is in the hands of regional authorities.

In the “let it operate” operator model, Awiti is tasked with operating the platform and thus acts as the legal operator of the platform. In this case, Awiti receives appropriate access to the escrow account and carries out regular accounting runs. This enables seamless processing of money transactions as part of the voucher system and ensures compliance with the agreed conditions.

Regardless of the operator model, online banking ensures that escrow funds are managed efficiently, securely and transparently, meaning that the Awiti voucher system is built on a solid financial basis.

Due diligence requirements for fiduciary funds at Awiti

Awiti is committed to ensuring the highest level of due diligence with regard to its clients' fiduciary funds. Here is an excerpt of the measures we are taking. These vary depending on the chosen operator model.

1. Audit and monitoring: Awiti will carefully review all required information and documents relating to the funds and the escrow agreement to ensure that they comply with legal requirements and internal policies. The operation of the platform is controlled and monitored exclusively by Awiti employees.

2nd Transaction monitoring: Awiti will carefully monitor all transactions and movements of escrow funds and ensure that they comply with agreed terms and the trustee's instructions.

3rd Separation of funds: Awiti will keep the escrow funds separate from personal financial resources and ensure that no mixing or misappropriation of the funds takes place.

4th Legal expertise: Awiti works with a renowned lawyer who specializes in banking and banking regulatory law. Through this collaboration, Awiti ensures that it always optimally complies with legal requirements.

5th Safety specialist: Awiti relies on the extensive expertise in data and application security from leading IT security experts, who assist Awiti in ensuring the highest security standards.

6th Insurance coverage: Awiti has extensive insurance coverage from a specialist IT insurer, which provides additional expertise in the event of incidents that need to be clarified. As a result, Awiti is able to draw on a wide range of expertise and ensure an appropriate response to unforeseen events.

By implementing these measures and partnerships, Awiti intends to manage fiduciary funds in accordance with legal requirements and high standards of due diligence. This not only creates a perfect basis for regional voucher systems, but also a high level of trust and security for our customers and partners.

Focus on the region: Volksbanken, Raiffeisenbanken and Sparkassen as local partners

Regional voucher systems are a key to strengthening regional economies and communities. A solid financial basis for these systems is created through cooperation with local financial institutions such as Volksbanken, Raiffeisenbanken and Sparkassen. These banks are rooted in the community and offer numerous benefits, including local support, security, ease of settlement, integration of payment services, and regional expertise. They strengthen trust in the voucher system and contribute to control and transparency by often serving as issuers for vouchers. We'll explain these aspects in more detail in the following sections.

1. Local presence and support

Regional financial institutions such as Volksbanken, Raiffeisenbanken and Sparkassen are firmly rooted in their community. They offer personal service on site and are therefore the perfect point of contact for managing voucher balances. If you have any questions or concerns about your voucher, you can contact a local branch and get expert assistance.

2nd Trust and Credibility

These regional banks are often trusted by the community and have a good reputation for their reliability and integrity. This trust can be transferred to the voucher system, which promotes acceptance and success.

3rd surety

Deposits in escrow accounts with these banks are protected by deposit insurance. That means your voucher balances are kept safe and you can rest assured that your money is in good hands.

4th Easy processing

Banks have experienced teams to manage accounts and financial transactions. This makes the processing of voucher transactions and the issuance of vouchers smoother and more efficient.

5th Integration of payment services

Regional banks often offer services for electronic payments. This makes it easier to use vouchers and manage balances, which promotes acceptance of the voucher system among companies and residents.

6th Advice and assistance

Banks can provide advice on the development and implementation of voucher systems. Their financial expertise and knowledge of the region are valuable for building a successful system.

7. Control and transparency

Using an escrow account with a bank allows authorities and organizers of the voucher system to monitor and manage transactions and balances more easily. This ensures the integrity of the system.

8th Issuing office for vouchers

A frequently overlooked but decisive role of regional banks in this system is their function as issuing agency for vouchers. This makes it easier for residents to access vouchers and encourages the use of the system.

The importance of regional cohesion should not be underestimated. By combining regional organizations, companies and financial institutions in a common voucher system, the local economy is strengthened. This promotes the growth and sustainability of the region, creates jobs and improves the quality of life of local people. It also strengthens the sense of community and identification with the region.

Regional voucher systems are a tool to promote regional cohesion and support local companies. Using escrow accounts with regional banks ensures that these systems are built on a stable and trustworthy basis. It is a step towards a thriving and close-knit community where everyone can benefit from the benefits of a strong regional economic system.

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