Bank account holders across Canberra may be wondering about the recent information from banking institutions promising faster, simpler payments when transferring funds.
Many banks have sent this information out via email, or made it available when you log in to your account, so for those who haven’t had time to read through it, here is a quick and simple overview on what it is, how it works, and when you can start using it.
What it is
The New Payment Platform (NPP) system was developed by international payments specialist SWIFT, to speed up digital payments without compromising security.
In essence, it does away with the traditional 2-3 day wait on bank transfers, and allows payments to be processed in real time (less than a minute).
- Transferring to accounts with the same bank
- Transferring to accounts with a different bank (if they are also registered with NPP)
How it works
Instead of trying to remember your BSB and account number, early adopters of this new technology will be happy to learn that you can now attach what is called a PayID to your account.
A PayID is as simple as registering your phone number or email, or your ABN for business account holders, against your bank account. You can choose multiple PayIDs for your account (i.e.: give people your email or phone number and they’ll be able to pay you), but you can only register a PayID once. So if you have multiple accounts, you’ll need to choose a different email, or separate email and phone between accounts.
If you decide not to register a PayID and want to keep giving people your BSB and account number, this is fine too. You will still be able to send and receive faster payments.
When you can start using it
Through Bendigo Bank, the platform was first made available to staff and selected participants, and is now being rolled out to all eBanking customers.
Chief Customer Officer, Marnie Baker, says the platform is a revolution in Australian banking.
“We’re pleased to offer the New Payments Platform to Australian consumers, giving them a simple, fast and secure way to manage their finances with confidence. Our staged approach to rolling out this new technology means we can ensure every participating Bendigo Bank customer has the kind of exceptional experience they can expect from our Bank.
“We look forward to offering this new technology to our customers, and proudly join the financial services industry in rolling out this payment capability,” she said.
To send or receive payments with a different bank, both banks must be registered with NPP. So far, the banks offering this service include:
- Bendigo Bank (including Bendigo Community Bank branches)
- Commonwealth Bank
- Beyond Bank
- Teachers Mutual Bank
Most are taking a staged approach to roll out, so you will need to check with your bank to see if it has been fully implemented. Almost all banks are promising complete integration by the end of 2018, so having to wait days for money to appear in your bank account should be a distant memory by next year.
For more information about the New Payments Platform or PayIDs, visit Bendigo Bank or pop into any one of our local community branches in:
Curtin: 1/20 Curtin Place, Curtin. Ph: 6260 5140
Jerrabomberra: 2a/2 Limestone Dr, Jerrabomberra. Ph: 6299 8357
Wanniassa: Wanniassa Shopping Centre, Sangster Place. Ph: 6231 9024
Calwell: Calwell Shopping Centre, Webber Crescent. Ph: 6291 3385
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