Banking MCP Server

A Model Context Protocol (MCP) server that exposes banking operations as AI-accessible tools. This allows AI assistants like Claude to perform banking operations—creating customers and accounts, checking balances, transferring funds, and viewing transaction history—through a discoverable tool interface.

Architecture

The system consists of four main components:

┌─────────────────┐
│   MCP Host      │  Claude Desktop, VS Code, or custom client
│   (AI Client)   │
└────────┬────────┘
         │ STDIO transport
         ↓
┌─────────────────┐
│   MCP Server    │  Python server exposing 9 banking tools
│                 │  + 5 resources + 3 prompts
└────────┬────────┘
         │
         ↓
┌─────────────────┐
│  SQLite Database│  4 tables: Customer, Account, Transaction, Transfer
└─────────────────┘

Components:

• MCP Server (Python): Exposes banking operations as MCP tools
• Database (SQLite): Stores customer, account, and transaction data
• MCP Client: Any MCP-compatible host (Claude Desktop, VS Code, custom implementations)
• Transport: STDIO (standard input/output) for local communication

Prerequisites

• Python 3.14+ (tested on 3.14.0)
• pip (Python package manager)
• Git (for cloning the repository)

Optional:

• Claude Desktop or VS Code with MCP support (for testing the server)

Installation

1. Clone the repository

   cd path/to/your/projects
   git clone <repository-url>
   cd Banking_Assistant
   

2. Create and activate a virtual environment

   # Create virtual environment
   python -m venv venv
   
   # Activate (Windows)
   venv\Scripts\activate
   
   # Activate (macOS/Linux)
   source venv/bin/activate
   

3. Install dependencies

   pip install -r requirements.txt
   

4. Initialize the database

   # Create database with sample data (20 customers, 50 accounts)
   python src/database/init_db.py --seed
   

   Expected output:

   [OK] Created CUSTOMER table
   [OK] Created ACCOUNT table
   [OK] Created TRANSACTION table
   [OK] Created FUND_TRANSFER table
   [OK] Created 20 customers (CUST001 - CUST020)
   [OK] Created 50 accounts (ACC000001 - ACC000050)
   

Configuration

Claude Desktop Setup

1. Locate your Claude Desktop config file:

   • Windows: %APPDATA%\Claude\claude_desktop_config.json
   • macOS: ~/Library/Application Support/Claude/claude_desktop_config.json

2. Add the MCP server configuration:

   {
     "mcpServers": {
       "banking-assistant": {
         "command": "python",
         "args": [
           "c:/path/to/Banking_Assistant/src/mcp_server/server.py"
         ]
       }
     }
   }
   

   Important: Use the absolute path to server.py on your system.

3. Restart Claude Desktop to load the new server.

VS Code Setup

See docs/configuration.md for VS Code MCP extension setup.

Running the Server

The MCP server runs automatically when invoked by an MCP host (like Claude Desktop). You can also test it directly:

# Activate your virtual environment first
python src/mcp_server/server.py

Expected output:

Starting Banking MCP Server...
Server name: banking-assistant
Available tools: 9
Available resources: 5
Available prompts: 3
Transport: STDIO
Listening for MCP requests...

The server listens on stdin/stdout and waits for MCP protocol messages.

Testing

Quick Test in Claude Desktop

1. Verify the server is connected:

   What banking tools do you have available?
   

   Expected: Claude lists 9 banking tools

2. Create a test customer:

   Create a bank customer named John Doe with email john@example.com, 
   phone +1234567890, and address 123 Main St, New York, NY 10001
   

3. Open an account and test a transfer:

   For the customer just created:
   - Create a SAVINGS account with $5,000
   - Create a CHECKING account with $2,000
   - Transfer $500 from savings to checking
   - Show me the final balances
   

For comprehensive test scenarios and troubleshooting, see docs/testing.md.

Running Unit Tests

# Run all tests
python -m pytest tests/ -v

# Run specific test file
python -m pytest tests/test_tools.py -v

Manual Tool Testing

# Test individual tools
python test_tools.py

Project Structure

Banking_Assistant/
├── src/
│   ├── mcp_server/
│   │   ├── server.py          # Main MCP server entry point
│   │   ├── tools.py           # 9 banking tool implementations
│   │   ├── resources.py       # 5 MCP resources (read-only data access)
│   │   └── prompts.py         # 3 MCP prompt templates
│   ├── database/
│   │   ├── init_db.py         # Database schema creation and seeding
│   │   ├── models.py          # Data models (Customer, Account, etc.)
│   │   └── operations.py      # CRUD operations
│   ├── client/
│   │   └── mcp_client.py      # Example MCP client implementation
│   └── utils/
│       └── validators.py      # Input validation functions
├── data/
│   └── banking.db             # SQLite database (created by init_db.py)
├── tests/
│   ├── test_tools.py          # Tool unit tests
│   ├── test_database.py       # Database operation tests
│   └── test_integration.py    # Integration tests
├── demo/
│   └── walkthrough.py         # End-to-end demo script
├── docs/
│   ├── api-reference.md       # Tool, resource, and prompt specifications
│   ├── testing.md             # Testing guide and scenarios
│   └── configuration.md       # Detailed configuration instructions
├── requirements.txt           # Python dependencies
├── README.md                  # This file
└── CLAUDE.md                  # Context for AI assistants working on this repo

Key Files

• src/mcp_server/server.py - Entry point that registers and exposes all tools
• src/mcp_server/tools.py - Implementation of the 9 banking operations
• src/database/init_db.py - Run this to create and populate the database
• data/banking.db - SQLite database (created automatically)

API Overview

Tools (9)

• create_customer - Create a new customer
• create_account - Open a bank account
• get_balance - Check account balance
• get_last_10_transactions - View transaction history
• transfer_funds - Transfer money between accounts
• update_customer_address - Update customer address
• update_customer_phone - Update customer phone number
• get_customer_info - Retrieve customer details
• get_customer_accounts - List all accounts for a customer

Resources (5)

• customers://all - List all customers
• accounts://all - List all accounts
• accounts://{id} - Get specific account details
• transactions://recent - View recent transactions
• transfers://history - View transfer history

Prompts (3)

• customer_summary - Generate customer profile summary
• account_summary - Generate account overview
• spending_pattern - Analyze spending patterns

For detailed specifications, see docs/api-reference.md.

Database Schema

The SQLite database contains 4 tables:

• CUSTOMER - Customer information (ID, name, email, phone, address)
• ACCOUNT - Bank accounts (account number, customer ID, type, balance, status)
• TRANSACTION - Transaction history (ID, account, date, amount, type, description)
• FUND_TRANSFER - Transfer records (ID, from/to accounts, amount, status, timestamp)

Sample data includes 20 customers and 50 accounts with realistic balances and transaction history.

Troubleshooting

Server not appearing in Claude Desktop:

• Verify the config file path is correct
• Check that the absolute path to server.py is correct
• Restart Claude Desktop after config changes
• Check Claude Desktop logs for errors

Database errors:

• Ensure data/banking.db exists (run init_db.py if not)
• Check file permissions on the database file
• Re-run init_db.py --seed to recreate the database

Import errors:

• Verify virtual environment is activated
• Run pip install -r requirements.txt again
• Check Python version is 3.14+

License

Educational project for the Claude Champion Program.

Additional Documentation

• API Reference - Complete tool, resource, and prompt specifications
• Testing Guide - Test scenarios and troubleshooting
• Configuration - Detailed MCP client setup instructions