Processing of High Value Payments

Payments made through this system take place instantaneously and the funds for each transaction are transferred between the two banks involved in the transaction in the books of the South African Reserve Bank before confirmation of completion of the transaction is given. Depending on the functionality provided by a bank to its customers the immediacy of processing via this system may vary. Such transactions are final and irrevocable. This means that a transaction cannot be reversed. Any errors have to be corrected by way of a new transaction.

These transactions are performed through the Immediate Settlement Payment Clearing House and payments of any amount may be processed through this mechanism as long as the customer and the paying bank have enough funds available in the books of the SARB at the point of initiating the transaction.

Credit Transfers of more than R5 million per instance can only be made using this system.

In the payments industry these transactions are settled on a Real Time Gross Settlement basis. Each individual transaction is settled (transferred between the accounts of the two banks in the books of the SARB) immediately.

Some banks have integrated their customer systems in such a way that transactions over R5million are automatically routed through this system. Funds received via this medium are automatically applied to the account specified in the transaction although not all banks have automated their systems and manual intervention is required before funds are credited to the specified account.

Customers need to understand the following:

• Payments made through this system cannot be recalled.
• Funds so transferred will be available immediately upon being credited to the specified beneficiary, without fear of recall.

Payments are made on the basis of the account number of the receiving customer, the date and the amount only. No other information, which may be supplied by the paying customer, will be used in performing the transaction. The paying customer is responsible for providing the correct account number to the paying bank. Neither the paying nor the receiving bank can be held liable if they acted on incorrect information supplied by the paying/initiating customer.

Resolving problems

A customer experiencing problems with any payment made or received through this system must take the matter up with their own bank.