Serial Payments Vs Cover Payments: Whenever a customer to financial institution payment is made, it can either fall under serial mode of transfer or else under cover mode of transfer. Its very essential to know what is “Serial” and what is “Cover” and the messages related to them. Q: What are “Serial Payments”? Serial Payments …
SWIFT MT Message Categorization Category 1 – Customer Payments and Cheques Category 1 consists of the following types of customer related payment messages: customer credit transfers customer debit transfers cheque payments The messages in this category deal with payments, or information about payments, in which the ordering party or the beneficiary, or both, are not …
Terms and definition used in Payments Debtor (Originator, Ordering Party Buyer): The Party whose account is debited with the payment Creditor (Beneficiary, Seller): The Party whose account is credited with the payment Initiating Party: The Party on the initiative of which the payment data is established. This might be the payer itself, an agent, or the company service center …
Some of the basic components in “Payments” Amount & Currency: In Banking terms an “Amount” is nothing but the quantity or value of money, whose unit of measurement is Currency. Ex: 100 INR, 2001.25 EUR, 0.55 USD etc.. Note: ISO length: Field length of 18,5 for Amount and 3 Character is for Currency. Total 18 digit amount …
Correspondent Banking Explained: In banking “Correspondence” refer to a ‘Bank to Bank’ relationship. In general one financial or non-financial institution can have relationship with other institution (financial or non-financial). A bank in one country opens an account with another bank in other (or same) country this is called as correspondent banking. Correspondent Banking also refer to …
SWIFT in Banking: SWIFT stands for the “Society for Worldwide Inter-bank Financial Telecommunications“. It is a messaging network that financial institutions use to securely transmit information and instructions through a standardized system of codes. SWIFT assigns each financial organization a unique code that has either eight characters or 11 characters. The code is called interchangeably the …
