PTSB hires Citi to manage SEPA transactions
State-owned bank Permanent tsb is moving its system for processing domestic payments to a single euro payments area (SEPA) platform managed by global bank Citi.
It comes ahead of the February deadline when all bank payments inside the 33 countries of the euro payments area will have to use a common system for processing payments. The move is aimed at simplifying financial transactions and should make doing business easier.
When it happens, our existing domestic payment system-based sort codes and account numbers will be scrapped and all electronic payments will be processed through SEPA, which relies on an international account number (IBAN) and a bank identifier codes (BIC) instead.
Those codes are already used for international money transfers and from February will be used for commercial transfers in Ireland. Permanent tsb said the move to the Citi platform gives clients full access to the SEPA schemes ahead of the February 2014 end date. Citi is expected to process approximately 45 million transactions a year for the bank.
The implications for individual businesses of the shift over to SEPA has been compared to the introduction of the euro in terms of the work to be done ahead of the February deadline.