Session16- ISO20022 standard Message Implementation Knowledge Question Answer Phase1–33 to 36

 33. What data is to be provided in PaymentTypeInformation ?

 This mandatory field contains set of elements used to further specify the type of transaction. Type: This message item is composed of the following PaymentTypeInformation element(s):3

i) InstructionPriority Presence: 

[1..1] Definition: Indicator of the urgency or order of importance that the instructing party would like the instructed party to apply to the processing of the instruction. Data Type: Code The default priority assigned to every message is HIGH

ii) ServiceLevel

Presence: [0..1] Definition: Agreement under which or rules under which the transaction should be processed. Type: This message item is composed of one of the following ServiceLevel Choice element(s): 

 

 Proprietary Presence: [1..1] 

Definition: Specifies a pre-agreed service or level of service between the parties, as a proprietary code. For RTGS processing priority is in range 00 – 99. This field also contain the Transaction Type code (TTC) along with the priority value. TTC values will be used to differentiate the transactions within the same type of transaction. e.g. in the pacs.009 transaction message the MNSB Own account transfer and Interbank transaction will have different TTC values. Use: To be used for managing queues by sending bank before settlement. 

Data Type: Max35

Text Format: maxLength: 35:

For RTGS lower the number highest will be the priority. For Banks priority range is from 11 to 99. Priority from 00 to 10 is reserved for RBI. 

 [TTC=xxxx],[PRI=xx]  

iii) LocalInstrument

Presence: [1..1] Definition: User community specific instrument. Usage: This element is used to specify a local instrument, local clearing option and/or further qualify the service or service level. Type: This message item is composed of one of the following LocalInstrument2Choice element(s): 

Proprietary Presence: [1..1] 

Definition: Specifies the local instrument, as a proprietary code. Type of local instrument. 

For RTGS pacs.008 use: -- ‘RTGSFIToFICustomerCredit’ 

For RTGS, pacs.009 use: -- ‘RTGSFIToFICredit’ -- ‘RTGSOwnAccTransfer’ -- ‘RTGSNetSettlementXXzNN’ 

For Return Payment use: -- ‘RTGSPaymentReturn’ Data Type: Max35Text Format: maxLength: 35

iv) CategoryPurpose Presence: 

[1..1] Definition: Specifies the high level purpose of the instruction based on a set of pre-defined categories. Purpose of the Instrument. Payment purpose must be a value listed in ISO category purpose code Type: This message item is composed of one of the following CategoryPurpose Choice element(s):

Code Presence: [1..1] Definition: Category purpose, as published in an external category purpose code list. Data Type: ExternalCategoryPurpose1Code Format: maxLength: 4 minLength: 1 Default value: CASH 

FROM ISO 20022External Code list The following codes are available. CASH: CashManagementTransfer CORT: TradeSettlementPayment DIVI : Dividend GOVT: GovernmentPayment HEDG: Hedging INTC : IntraCompanyPayment INTE : Interest LOAN: Loan PENS: PensionPayment SALA: SalaryPayment SECU: Securities SSBE: SocialSecurityBenefit SUPP: SupplierPayment TAXS: TaxPayment TRAD: Trade TREA: TreasuryPayment VATX: ValueAddedTaxPayment WHLD: WithHolding

The generic code for the normal funds transfer may be 'CASH'. Example: CASH

34. How the funds are pushed and sweep back at the time of SOD (Start of Day) and EOD (End of Day) respectively? 

The message format used for balance sweeping is Pacs.009 MNSB transaction? a) For SOD: - one debit against the settlement account of RBI in amount equal to the sum of all credits - multiple credits against the settlement accounts of the Participants that have their balances initialized b) For EOD: - multiple debits against the settlement accounts of all Participants with a non-zero balance in NG-RTGS - one credit against the settlement account of RBI in amount equal to the sum of all debits Distinct TTC values are used for these two transactions For SOD the TTC value is 5050 whereas for EOD the TTC is 5051

 35. What data is to be entered in InterbankSettlementAmount field? 

This mandatory field is used to provide details about the amount of money moved between the instructing agent and instructed agent. Settlement amount + currency. Datatype is amount.

36. What is meant by ChargeBearer field? 

It is a mandatory field providing details about the party bearing the transaction charges. Data type is code. It is defined as DEBT charges borne by Debtor CRED charges borne by Creditor SHAR-charges are shared SLEV following service level. As per the current RBI policy the charges are borne by the Debtor.