UK transaction processing house VocaLink is to operate a Market Infrastructure Closed User Group utilising SwiftNet Bulk Payments for its euro services business.
The closed user group will offer secure access through a single channel to shared services for banks and their customers allowing them to originate and manage both Sepa and non-Sepa formatted transactions. VocaLink says the approach will reduces cost and complexity for banks and corporates using SwiftNet to connect to the VocaLink euro CSM clearing and settlement system.
VocaLink's euro CSM taps into the infrastructure of participating bank members and includes facilities for managing corporate payments and Sepa-based transaction flows. ABN Amro, Bank of America, Citi, Dexia Bank, Fortis, Lloyds TSB, RBS and Santander are among first banks to sign up for the platform.
The ACH has teamed up with Eiger Systems and IdenTrust to provide a secure bank-controlled and branded channel for funelling corporate euro payments.
Vocalink says the latest upgrade opens the market for European banks wishing to move large amounts of domestic traffic to Sepa from the public sector, utilising SwiftNet. Recent research suggests that up to 29% of automated payments traffic could come from the public sector.
Martin Wilson, chief marketing officer of VocaLink says: "The use of the Bulk Payments feature for Sepa in FileAct will dramatically drive down costs for our customers and enable true transaction-based pricing."