Pilot banks lined up for EBA priority payment scheme

The EBA has signed up 24 banks to pilot a new priority payment scheme, designed to ensure irrevocability of payments for beneficiaries within four hours of a credit transfer.

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Pilot banks lined up for EBA priority payment scheme

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The pan-European payments group - which is to provide a detailed description of the intra-day scheme at a 16.00 session at the Swift banking conferenece in Sydney, Wednesday - says the programme will be available to all euro zone banks later this year.

The EBA is also inviting banks to participate in the pilot trials of a new Sepa credit transfer service (SCT), which is set for launch on the Step2 ACH platform in late-2007.

The pilot group will define detailed requirements in order to fine-tune the service for the EU-mandated single euro payments area following its November 2006 go-live date in Italy, when the seven largest domestic banks are set to begin their migration to the upgraded Step2 platform.

The pilot banks will work together to refine the SIA-developed credit transfer service to the EPC Rulebook and Implementation Guidelines as well as to the ISO20022 messaging standards. EBA Clearing says the objective is to be ready for live Sepa credit transfer operations in January 2008, following a two-month testing programme and phased migration schedule.

Further details of the programme, and of EBA's progress in developing a Sepa direct debit service for launch in mid-2007, will be outlined in Wednesday's Sibos session.

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