SEPA - Lost in transaction - adherence and reachability
One of the major requirements for processing SEPA-compliant transactions is the use of correct Bank Identification Codes (BICs) and International Bank Account Numbers (IBANs). Using correct reference routing data improves the processing capabilities of a bank and ensures its reachability within SEPA.
A Logica survey, undertaken by Coleman Parkes Research Limited, the independent research company, examined the core issues around the usage of correct reference data for the new SEPA schemes and services. The survey, of over 100 leading banks across the Euro zone, but including the UK and Sweden, found that many banks expect problems in routing transactions. A major factor behind this is the quality of reference data and absence of authoritative directories. This is likely to impact straight through processing (STP), leading to high costs for failed transactions. The banks not only stand to incur financial losses, but also risk damage to their reputation.
Click here for a copy of the research report – “Lost in transaction”.
Logica is working with major European companies to meet the infrastructure and data requirements for SEPA. We have launched The SEPA Directory, the first SEPA-dedicated routing directory. The SEPA Directory is powered by CB.Net’s comprehensive and continuously maintained payments routing data. To find out more or to register for the service, please visit www.thesepadirectory.org. Click here to find out more about our SEPA testing solutions.
In October 2006, Logica also published research on SEPA testing and other practical challenges related to SEPA implementation. Please click here for a copy of the research report, “SEPA – taking the right action?”
For further information or to speak with one of our experts contact financial.services@logica.com