Mandated by the European Payments Council (EPC) in EC Regulation 2560/2001, and as part of Single Euro Payment Area (SEPA), valid International Bank Account Numbers (IBANs) and connected Bank Information Codes (BICs) are required for banks' and their customers' cross-border Euro currency transfers effective 1 January 2006.
In addition, an even greater number of transactions will be impacted by the regulation's formal repair charge mechanism for correcting and/or supplying valid details with the 1 January 2006 transaction threshold increase from Euro 12,500 to Euro 50,000.
These new regulations make providing the valid IBAN and SWIFT-connected BIC essential to any institution that makes euro currency payments to EU institutions as well as those in Norway, Iceland, Liechtenstein and Switzerland. Organizations both in the EU and abroad must provide complete and accurate payment data to increase their straight through processing rates (STP) and reduce expenses associated with transaction error corrections.
Accuity's IBAN Solutions are perfectly suited to address these needs. Accuity's IBAN Solutions allow users to match any IBAN with its connected SWIFT/BIC. In cases where a non-connected SWIFT/BIC is present, the solutions provide override codes for accurate processing. In addition the solutions provide essential information such as branch addresses, individual bank or branch codes, country codes and other additional contact information. Bi-monthly updates provide customers with access to the most up-to-date information available.
Brian Leibforth, product manager of Accuity's IBAN Solutions commented, "Strict processing with IBANs adds another facet to the already complex operation of processing cross-border payments. It is just one more piece of information that has to be correct before a payment is sent. Our IBAN Solutions, available as an electronic file or as an Internet look-up tool, provide users the capability to research and confirm the structure of an IBAN and its connected BIC for the most accurate processing possible."